Tax relief services can be a great boon to individuals who have got trouble with their taxes. This service offers great assistance especially to taxpayers who have due taxes with the Revenue Authority or the IRS (Internal Revenue Service) of their respective countries.
These services are usually provided usually outweigh the cost incurred by the individual. Tax relief services are an area that is also prone to scum thus taxpayers is highly advised to be vigilant to avoid the loss of his/her hard earned money.
In this article, we are highlighting some of the services provided by a tax relief firm and ways on how to avoid scum.
When an individual is choosing a relief firm, he/she ought to consider several factors such as his compliance with the IRS and his financial situation amongst other factors that are specific to the case.
Some companies offer free tax consultations – this is a session that barely lasts longer than a 30 min duration. At this time, the tax professionals who are Certified Public Accountants, Attorney or enrolled agents, ask plenty of questions concerning your current tax situation and state of your finance to finding out the best options for you. After the consultation, one is able to get a good sense of what services you will get from that firm. Upon hiring the company they take you through the process of tax resolution.
Tax Resolution and settlement Process
When tax resolution process begins the professionals ensure that you acquire full compliance with all tax filing. This is where tax filing are ensured to be up to date. Once an individual is in full compliance, the tax relief firm has the role of looking for the most practical method of tax settlement or method of resolution. This can be in form of installment agreements, offer in compromise, penalty abatement, innocent spouse relief. The firm finds the most suitable method that will not put any financial stress on you.
Settlement is approved and taxpayer is in full compliance
Once the IRS has approved the filling, this would mean that the resolutions will be complete and IRS will completely be out of your business. The tax advisors of the firm give you advice on how you can remain compliant to avoid future troubles.
In order to avoid being a victim of a scam, an individual should put the following factors into consideration.
What promise the tax resolution companies are offering
Though these firms negotiate on your behalf at a fee with the IRS, it is unrealistic to agree that by engaging with some of this firms, you will pay the IRS far less the amount you owe them.
Offer of compromise
It is worth noting that there is a difference between Tax Relief Service Firms and legitimate professional accountant and attorney who can fully represent your interests when dealing with the Internal Revenue Service for an audit. This can be advised especially when the unsettled amount is significant.
It is very realistic if a Tax Relief firm will negotiate with IRS on how you can settle the debts in installments so as to ease the burden of having to hand in a lump sum tax liability.
Featured Image Source: Thinkstock/gustavofrazaoPosted on May 5, 2023