Archive - January 2023

Taxpayers who owe back taxes often feel trapped. They’ve already paid their penalties, interest, and fines, and now they’re being hounded by collection agencies. It feels like there’s nowhere left to run. The IRS Fresh Start program can help taxpayers struggling to pay their federal taxes. The program was expanded in 2018 to include more flexible Offer-in-Compromise terms, which will enable some of the most financially distressed taxpayers to clear up their tax problems more quickly. In this post, I’ll share with you four Fresh Start options for taxpayers who owe back taxes, and explain how each option works.  This will help you to get back on track without having to pay additional fees. 4 Fresh Start Options For Taxpayers Behind On Their Tax Payments:  Installment...

If you owe back taxes and don’t know how you’re going to pay the debt, don’t panic. Take a deep breath and consider your options.  The FTC, the nation’s consumer protection agency, says that if you are having trouble paying bills, it’s often better to try to work out a payment plan with the IRS yourself than to pay someone else to negotiate a plan for you.  But is it? There are many companies offering tax relief services online. Some of these companies claim to offer free consultations and help with filing taxes. Others promise to get rid of penalties and interest charges. Still others will even file your return for you. Unfortunately, not all tax relief companies are legitimate. They prey on desperate taxpayers who are looking for quick fixes. These scammers...

Tax Tips for Expats Living Overseas Many countries are popular destinations for American Expats – like Mexico, Costa Rica, Panama and others. These countries are popular because the cost of living and housing is often much cheaper than in the US. Additionally, these countries offer a variety of cultural experiences and the opportunity to learn new languages. It may sound like a great idea, but it’s not always the right move. Before you move overseas for cheaper living costs or other reasons, research whether you’ll end up paying more in taxes.  If you are living abroad, you will need to file a tax return every year and declare all your income from sources outside the United States, such as a job, investments, or rental properties. The good news is that you will be...

The consequences of not paying your IRS taxes can be severe. Once you have accrued back taxes, they will not go away on their own. In fact, they will continue to grow larger as time goes on, due to the addition of interest and penalties.  This can become unmanageable, and put a significant strain on your finances and peace of mind. If you receive notices from the IRS about unpaid taxes, it is crucial that you take action immediately. Determine how much you owe, and start exploring payment options or seeking out a back taxes relief plan.  If you fail to respond or take any action, you may face liens, wage garnishment, property seizure, or even criminal charges. If you think you will have trouble paying your taxes this year, it is important to know what options are available to help you. In...

Tax relief loans from the IRS can help taxpayers who can’t pay their taxes due to unexpected circumstances. These loans are intended to help those facing hardship, and they can be a great way to get the financial help you need. Tax relief loans come in two varieties: federal and state   Federal tax relief loans are offered through the IRS and are only available to those who owe taxes.    State tax relief loans are offered by individual states and are generally offered to those who owe less than $50,000.    There are many tax relief loans available on the market. It is important to do your research before selecting a loan to ensure you are getting the best deal.  Before agreeing to a loan, it is important to compare the fees and rates that different lenders charge. One...