Federal tax debt relief companies usually offer an array of services to accommodate the diverse needs of their customers. Here are the services our partner companies commonly offer.
This form of federal tax debt relief if offered by the IRS if you cannot pay your tax debt in full and cannot feasibly make payments toward your tax debt. As the IRS sees it, this is a last resort after you've exhausted all the other options available to you. Many of our federal tax debt relief companies find that most consumers with tax burdens cannot pay their debt in full, nor can they make payments on the debt and still cover their living expenses. Basically, an offer in compromise is an arrangement with the IRS to settle tax liabilities for a reduced amount under specific circumstances. You may qualify for this form of federal tax debt relief under any of three circumstances: doubt as to liability (uncertain that the tax assessed is correct), effective tax administration (taxpayer must demonstrate full repayment of tax would be unfair or would cause economic hardship), and doubt as to collectability (uncertainty exists that you could ever repay the required amount of the debt.
After the IRS fails to collect tax debts by sending threatening letters to you, their next step will be to collect the debt directly from your income source: your employer. If your wages are garnished by the IRS, it can be a very degrading and embarrassing experience. It might strain your budget and can cause financial difficulties in the future if you depend on that income for living expenses. With federal tax debt relief, wage garnishments can be lifted within one to two weeks. Your federal tax debt relief company can then explore other options to find a permanent solution to your tax debts.
For those taxpayers that cannot settle their tax debts through an offer in compromise or cannot pay the settlement amount of your offer in compromise, then your best bet for federal tax debt relief might be to set up a payment or installment plan. Setting up a payment plan will make the harassing letters and calls from IRS agents stop and also halt the progression of any liens or bank levies. Usually, federal tax debt relief companies find the IRS to be rather accommodating in setting up a payment plan, which can be a good start for arranging other settlement services. See how federal tax debt relief works on the following page.
