Tax Settlement
Our Mission is to help save you thousands of dollars with the aid of our tax experts, programs, and resources.
the benefits of Tax Settlements
A tax settlement is when the Internal Revenue Service (IRS) will accept an amount that is considerably lower than the liability owed. Frequently, the IRS will accept such settlements in pressing circumstances. Tax Settlements can help drastically reduce the amount you owe to the IRS and bring you the peace of mind that you’re owed.
What Are The Main Benefits To A Tax Settlement ?
You pay les than you owe!
Protection from Liens, Levies & Wage Garnishment
keep in mind, although tax settlements are favored, they aren’t needed for every tax issue.
negotiating a tax settlement
There are millions of tax payer across the country that get stuck with tax liabilities every year. It can be burdensome however, it’s not something that should go unresolved. If you wait too long on paying your tax liabilities, it can lead to incurred fees and penalties. Also, liens may be placed on your property and bank accounts. if you ever find yourself in such a situation it is not the end of the world.
Depending on your current circumstance, the IRS will allow a negotiation regarding your tax liabilities in the form of a tax settlement. Paying less than you owe is always ideal. For example, if you own $50,000, the IRS may accept a settlement for $15,000. If that $15,000 is too much to pay in one payment, you could always break it down into smaller payments of $2-3,000. Now let’s talk about the steps you’d have to cross off your list.
Submit unfilied taxes
Any unfilled taxes need to be submitted immediately. There will be no tax settlement consideration if you have unfilled returns. If there was any Substitute For Return (SFR) created by the IRS for any outstanding returns, also seek to amend them.
Submit unfilied taxes
There are a variety of different tax settlement options available to you. Here are a few examples :
Offer In Compromise(OIC)
OIC may be difficult to get accepted, however if you are you can pay 20% of the settlement amount at the beginning, you can pay the rest in smaller increments over the months. This is commonly know as the lump sum OIC. You can also opt for periodic payments which can be 6 months or 2 years.
Partial payment installment agreements
With a partial payment installment agreement, you make monthly payments over the length of several years, However during that time some of your taxes will expire. Even though you haven’t negotiated a lower amount for your tax liabilities, you’ll end up paying lower than the amount agreed on.
Penalty abatement
Know as one of the easier ways to lower tax liabilities when penalties have caused it to balloon. You’ll have to give a well explained reason as to why you couldn’t pay or file in a timely manner. When approved, the IRS will remove some if not all your tax liability penalties.
If these plans may not work for you or you’re not accepted, you could always apply for a regular payment plan. You can also see if you’ll be approved for uncollectible status.
Submit Your application
The application process can be very stressful. It includes forms to fill out, documentation to provide, and fees to be paid. You can try handling this on your own, however bringing in a tax expert who understands and has dealt with the IRS many times before is crucial for a successful application process. Safeway Tax Relief has helps thousands of clients save millions of dollars in tax liabilities. Our team makes it their mission in securing you in the best possible settlement.
Once the application is submitted, the Internal Revenue Service (IRS) will review and decide if they will accept the settlement. When accepted, the IRS will consider you in good standing for the duration of the settlement. Should you fail to make a payment or default, the IRS will no longer consider you in good standing.
vetting a tax settlement company
There are tax settlement that may be fraudulent, however most of them are vetted and legit. Avoid tax settlement companies that guarantee a specificities outcome without properly reviewing you tax issue.
When it comes to tax settlement, make sure you partner with a company that has a clear understanding of your circumstance before guaranteeing a favorable outcome. A tax settlement company should have tax experts, Enrolled Agents, Tax Attorneys, and CPA’s ready to work for you.
Safeway Tax Relief is always prepared to tailor you into a program that fits the needs of your tax debt issues. We provide you with the our plan and provide you with the associates fee before taking action. Once comfortable will our offer we begin working tenaciously for you.
tax settlements and state taxes
Just like with federal taxes, the IRS is open to tax liability settlements when it comes to state taxes. like federal taxes, The minimum requirements are still needed for state. At Safeway Tax Relief, we are prepared to handle both federal and state tax liability settlements.
settling state tax debt on your own
You can attempt to settle your own state taxes, however it is a difficult process that includes a lot of difficult paperwork. This is not the IRS’s intentions, however they need the proper documentation and proof to vet applicants for acceptance . This is why it is recommended that you partner with a tax expert to give you your options before attempting to settle your state tax liability.
ready for tax relief?
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