If you are experiencing a buildup of debt because of unpaid taxes and are getting bullied by the IRS, you need to contact an attorney. Without an attorney, unmanaged debt can lead to anxiety and excess stress. We understand the struggle debt can cause and how difficult it can be to repay taxes. Our knowledge about the best methods to take when alleviating debts to the IRS comes from years of experience. With the help of an attorney who focuses on tax debt resolution, you can be on the road to being debt-free.
For over 25 years, Bradford Law Offices has guided people through the twisted world of tax collection and the IRS. Our firm has helped over three thousand people going through rough financial patches in their lives. We have experience with tax problems at the residential, commercial, and government levels. It’s so easy to fall into tax debt these days that it almost seems like they designed the system to trap innocent people. But if you find yourself in that trap, know that you do not have to get out of it alone. We are here to help.
Our firm has been a pillar of the community of North Carolina since our founding in 1996. Our clients are families and local businesses, neighbors, and friends who are much more than the IRS sees them—a number. We believe that everyone deserves a second chance. Don’t let your tax debt control your life. Call a Raleigh business bankruptcy attorney who focuses on helping people like you start down the road to becoming debt-free. Call us at (919) 758-8879 to schedule an initial consultation with an experienced representative.
Do I Need a Tax Debt Resolution Attorney?
If you have a large amount of tax debt that you can’t reasonably pay in a timely manner, then you need to call an attorney. The IRS collects taxes through a blanket system that doesn’t take each person’s specific circumstances into consideration. This makes debt under your name unmanageable without an attorney. A professional knows the many installments or compromising programs you could qualify for.
However, the specifications and intricacies of these programs hide within hundreds of pages of tax codes and regulations. An attorney will wade through all the codes and regulations to find you a specific plan of action to start resolving your debt. With their help, you can work towards a life free of burdening financial stress.
Why Should I Choose Bradford Law Offices to Help Resolve My Tax Debt?
As a firm that has been in business for over two decades, we have seen nearly every kind of case come through our doors. We have garnered considerable experience and can approach the problem of tax debt from many conceivable angles. As an adaptable firm, we have kept up to date with the fluctuating tax code. That way, we can provide the most accurate information to every person we assist. Our tax debt resolution attorneys have the experience and resources to handle any tax debt you may have taken on. We believe nobody should live their lives in the shadow of debt.
When it comes to repaying the IRS, there is a multitude of plans and choices to make. You need a firm that has been around long enough to understand the law and who knows how to navigate your financial situation to the best possible outcome. You should choose Bradford Law Offices to take on your case because you deserve to have peace of mind.
The Ways We Can Help You Can Resolve Your Tax Debt
You just want to be debt-free as soon as possible. That’s where our attorneys come in. When it comes to owing the IRS an outrageous amount of debt in taxes, there are a variety of legal avenues to pursue. Attempting these financial plans without the help of a legal professional can be difficult and can lengthen the process. A list of some of the plans our firm can help you with includes:
- Installment Plan: This complex procedure is extremely technical. There are numerous recouping amendments in the tax code with a wide spectrum of eligibility requirements. All this is coupled with differing interest rates depending on your financial status. Setting up this type of plan is complex, to say the least.
- Offer in Compromise: This plan allows those who qualify to repay their tax debts at a lower settlement than what was originally owed. Meeting its qualifications often requires thorough proof that the debt is far outside of the sum of one’s assets and financial earnings. There are also other requirements one must meet.
- Currently Not Collectible: With this program, the IRS will choose not to collect on someone’s tax debt for a window of a year or two. This allows the taxpayer time to form an explanation and thorough description of how they plan to repay their tax debt without the IRS reclaiming everything. Having legal help negotiate this kind of plan is critical.
- Bankruptcy: One should consider bankruptcy if they are eligible for tax discharges. There are numerous types of bankruptcy depending on your financial status and currently held assets. Our firm has experience in practically all bankruptcy areas and can help determine which chapter best suits your situation.
Thankfully, we can tailor multiple plans to anyone facing a large amount of tax debt. However, due to the intricacies of tax codes and law, the best solution is never apparent and often hides in muddy regulations. Our attorneys can help anyone facing unreasonable tax debt find the best solution to their dilemma.
What Do I Do If I Get a Notice from the IRS?
The IRS sends out millions of notices to citizens for a whole host of reasons. Receiving a notice from the IRS requires immediate attention and, if ignored, could lead to federal action against you. According to the IRS’s official website, the main reasons that you will receive a notice and letter from them include:
- You have a balance due on your taxes.
- Having a larger or smaller tax refund due.
- The IRS wants to ask a question about something on a tax return.
- The IRS wants to verify your identity.
- The IRS needs additional information.
- The IRS changed your tax return.
- They need to inform you of any delays in processing your tax return.
Our firm can help you move forward if you have received any kind of notification from the IRS recently. If there is a potentially long and drawn-out debt collection process ahead of you, contacting an attorney specializing in tax debt resolution should be your first step toward financial freedom.
What Types of Installment Plans Does the IRS Offer?
The complex system of IRS tax debt installment plans includes five potential options:
- Guaranteed Installment Agreement (GIA) – A GIA requires you to pay back the balance owed plus interest in three years or less or by the Collection Statute Expiration Date (CSED). This method is open only to individuals who owe less than $10,000.
- Streamlined Installment Agreement (SIA) – Individuals who owe $100,000 or less can take up to 84 months to pay. Active businesses that owe $25,000 or less have 36 months to pay income tax debts and 24 months to pay trust fund taxes. Businesses that are no longer active, with more than $25,000 in debt, may also apply for this option. SIAs do not require disclosure of finances.
- Financially Verified Installment Agreements – are available to individuals who do not qualify for the SIA option. This option requires extensive paperwork submission and financial disclosures and typically entails the assistance of a professional.
- Partial Payment Installment Agreements (PPIA) – This settlement technique is generally easier to obtain than an Offer in Compromise (OIC), particularly if you are rejected for an OIC. It entails an agreement with the IRS in which the individual pays smaller monthly payments than is typically required, along with an IRS assessment of your financial situation every two years.
- Direct Debit IRS Installment Agreements (DDIA) – These are monthly payments withdrawn from your bank account. Individuals are eligible if they owe $50,000 or less and they are seeking a tax lien. For $50,000 or more tax debt, the IRS requires a direct payroll deduction.
Bradford Law Offices can help you determine which option is right for you.
How can I qualify for an Offer in Compromise, and how long does it take?
Unfortunately, the IRS rarely grants Offer in Compromise (OIC) filings. Less than half of applicants are typically accepted each year. The agency grants this status to those who:
- Are not financially able to repay their debt in a timely manner
- Are not in bankruptcy
- May have incorrect tax bills
Businesses may be eligible for this option in addition to individuals, but filing requires the help of a professional. The IRS generally takes six to nine months to respond to your case. If the IRS rejects your application, you have 30 days from the date of denial to appeal.
What types of tax debt can I discharge in Chapter 7 Bankruptcy?
If an individual files for Chapter 7 bankruptcy, they can discharge income tax debt if it is at least three years old and they filed their tax returns at least two years ago. These taxes must be assessed at least eight months (240 days) before you file for bankruptcy, and there must be no evidence of fraud or evasion on your part. However, many loopholes are involved in this process, which you should discuss with an experienced tax attorney. Filing for bankruptcy may not be the best course of action to settle IRS debt simply because not all tax debts are discharged, particularly if they are less than three years old.
The Prevalence of Tax Debt in North Carolina
According to statistics posted to the Tax Policy Center, the federal government collected $107.1 billion in taxes total from North Carolina in 2021. Out of the $4.1 trillion collected across all fifty states, this means that our state contributes 2.6 percent of all taxes to the federal government. Our tax contributions are more than even than our representation in the Senate! Moreover, the majority of government funding from taxes comes from the citizens. About three-quarters of the government’s tax collection comes from income, employment, estate, and trust taxes. Only about 10 percent of tax revenue comes from business taxes. With numbers like this, it can seem like the IRS is trying to trap citizens in debt.
Being in debt can feel like it is just you, one citizen, against the IRS. However, tax debt is a much more common issue than many people think. According to former IRS chief Charles Rettig, roughly $1 trillion in federal taxes each year go unpaid. That shortfall is made up of both unfiled claims and under-reported incomes, and many people so desperately need the repayment plans that exist for them. No two situations are the same for any of these people suffering from unpaid debts, which is why there are so many different programs for people to utilize. Knowing which program you are eligible for can be extremely difficult, especially if you have no knowledge of the tax codes. Navigating federal tax codes and financial documents can be a headache of information and wording unless you have the help of an experienced lawyer.
Contact a Raleigh Tax Debt Resolution Attorney Today
If an unreasonable amount of tax debt is looming ominously in your future, you need an experienced attorney today. With the experienced guidance of an attorney, your financial stress doesn’t have to be your burden to bear alone. At Bradford Law Offices, our lawyers believe that everyone deserves a second chance in the form of a fair method of debt repayment.
The tax code changes with the current political climate. That’s why it’s vital to have someone fighting for you who is adept at keeping up with changing regulations. Call us today at (919) 758-8879 to schedule a consultation, and we can walk you through your options for a debt-free future.