The IRS has recently announced an effort to help struggling taxpayers get back on track with their tax liabilities. The goal is to assist small business and individuals with meeting their tax obligations, without adding unnecessary burden. With this in mind the IRS has announced new programs and policies to help taxpayers pay their back taxes and avoid tax liens.
Recently (August 2011), the IRS put out their Summertime Tax tip which lists 10 Tips for Taxpayers who owe money to the IRS.
Taken from the IRS website (http://www.irs.gov/newsroom/article/0,,id=172694,00.html), here are the 10 tips:
- Tax bill payments. If you get a bill this summer for late taxes, you are expected to promptly pay the tax owed including any penalties and interest. If you are unable to pay the amount due, it is often in your best interest to get a loan to pay the bill in full rather than to make installment payments to the IRS.
- Additional time to pay. Based on your circumstances, you may be granted a short additional time to pay your tax in full. A brief additional amount of time to pay can be requested through the Online Payment Agreement application at www.irs.gov or by calling 800-829-1040.
- Credit card payments. You can pay your bill with a credit card. The interest rate on a credit card may be lower than the combination of interest and penalties imposed by the Internal Revenue Code. To pay by credit card contact one of the following processing companies: Link2Gov at 888-PAY-1040 (or www.pay1040.com), RBS WorldPay, Inc. at 888-9PAY-TAX (or www.payUSAtax.com), or Official Payments Corporation at 888-UPAY-TAX (or www.officialpayments.com/fed).
- Electronic Funds Transfer. You can pay the balance by electronic funds transfer, check, money order, cashier’s check or cash. To pay using electronic funds transfer, use the Electronic Federal Tax Payment System by either calling 800-555-4477 or using the online access at www.eftps.gov.
- Installment Agreement. You may request an installment agreement if you cannot pay the liability in full. This is an agreement between you and the IRS to pay the amount due in monthly installment payments. You must first file all required returns and be current with estimated tax payments.
- Online Payment Agreement. If you owe $25,000 or less in combined tax, penalties and interest, you can request an installment agreement using the Online Payment Agreement application at www.irs.gov.
- Form 9465. You can complete and mail an IRS Form 9465, Installment Agreement Request, along with your bill in the envelope you received from the IRS. The IRS will inform you (usually within 30 days) whether your request is approved, denied, or if additional information is needed.
- Collection Information Statement. You may still qualify for an installment agreement if you owe more than $25,000, but you are required to complete a Form 433F, Collection Information Statement, before the IRS will consider an installment agreement.
- User fees. If an installment agreement is approved, a one-time user fee will be charged. The user fee for a new agreement is $105 or $52 for agreements where payments are deducted directly from your bank account. For eligible individuals with lower incomes, the fee can be reduced to $43.
- Check withholding. Taxpayers who have a balance due may want to consider changing their W-4, Employee’s Withholding Allowance Certificate, with their employer. A withholding calculator at www.irs.gov can help taxpayers determine the amount that should be withheld.
If you have any quesions about this or need any assistance with your tax matters, please contact our A+ BBB rated team by clicking on the button below.
Having to deal with any tax debt on your own can be emotionally draining and time consuming. Reputable and experienced Tax Resolution service companies can provide relief to those that would rather let professionals handle their tax matters. Once contacted, a tax resolution service firm will take over the case and they will be the point of contact for any IRS correspondence. The calls and letters will now be directed to the tax resolution firm handling your case. This should provide instant emotional relief so you can go about day to day life without worrying about the next phone call or the next letter in the mail.
Levy and Associates has been around for over 20 years and has represented thousands with their various tax matters.
Some of the tax resolution services offered are:
- a Full-Service Accounting Firm for Corporations and Individuals;
- Access to experienced CPAs, Accountants, Former IRS Revenue Officers, Enrolled Agents, Tax Consultants and Attorneys.
- Dedicated Administrative Staff that is available 24 hours a day, 7 days a week.
Levy and Associates has been able to maintain an A+ Rating with the Better Business Bureau because customer service has been a priority from day 1. If you feel that you are not receiving the care that you deserve, give us a try. Our initial consultation is free so give us a call or click on the button below and a representative in your area will call you shortly. We know our experience and customer service will win you over.
Yesterday the IRS announced a new voluntary worker classification settlement program that will allow many employers to resolve past worker classification issues.
This new program will now enable employers the opportunity to get into compliance by making a minimal payment covering past payroll tax obigations instead of waiting for an IRS audit. Here is the rest of the press release taken from the IRS.gov website:
This is part of a larger “Fresh Start” initiative at the IRS to help taxpayers and businesses address their tax responsibilities.
“This settlement program provides certainty and relief to employers in an important area,” said IRS Commissioner Doug Shulman. “This is part of a wider effort to help taxpayers and businesses to help give them a fresh start with their tax obligations.”
The new Voluntary Classification Settlement Program (VCSP) is designed to increase tax compliance and reduce burden for employers by providing greater certainty for employers, workers and the government. Under the program, eligible employers can obtain substantial relief from federal payroll taxes they may have owed for the past, if they prospectively treat workers as employees. The VCSP is available to many businesses, tax-exempt organizations and government entities that currently erroneously treat their workers or a class or group of workers as nonemployees or independent contractors, and now want to correctly treat these workers as employees.
To be eligible, an applicant must:
- Consistently have treated the workers in the past as nonemployees,
- Have filed all required Forms 1099 for the workers for the previous three years
- Not currently be under audit by the IRS, the Department of Labor or a state agency concerning the classification of these workers
Interested employers can apply for the program by filing Form 8952, Application for Voluntary Classification Settlement Program, at least 60 days before they want to begin treating the workers as employees.
Employers accepted into the program will pay an amount effectively equaling just over one percent of the wages paid to the reclassified workers for the past year. No interest or penalties will be due, and the employers will not be audited on payroll taxes related to these workers for prior years. Participating employers will, for the first three years under the program, be subject to a special six-year statute of limitations, rather than the usual three years that generally applies to payroll taxes.
If you have any questions on this particular announcement or any other IRS questions, please click the link below and one of our Tax Consultants will respond immediately.
We are available 24 hours a day, 7 days a week.
Our firm has been doing Tax Relief since the early 90's. That is 20 years in this industry. Looking back at what has transpired over these years we pause to appreciate the growth. However, over the last few years, many questionable firms have moved into this space putting a black-eye on our industry and have threatened our very existence. Last year at this time the FTC began to impose regulations on the Debt Relief Industry as a result of numerous consumer complaints directed at unscrupulous Debt Relief Companies. This regulation almost included the Tax Relief Industry as well but at the last minute, our industry was spared. The FTC regulations imposed on the Debt Settlement Industry made it almost impossible for Debt Settlement Companies to continue. As a result, many of the Debt Settlement Companies began to step into the Tax Settlement arena assuming that it would be easy to crossover. Unfortunately, this was not the case.
With the influx of new companies entering the Tax Settlement Industry along with issues that some of the larger firms have had due to false advertising claims, the Tax Resolution industry is back in the hotspot and once again being looked at for possible regulation. It is now more important than ever to make sure you are working with an experienced, reputable firm. With the growth of the internet, it takes minutes for anyone to create a website. That means, a business can be up in running in seconds. It takes years of experience, hundreds or thousands of satisfied clients, industry acknowledgements and approval from consumer organizations (such as the BBB) to qualify as a reputable individual or firm. Having a website means nothing.
Therefore, when searching for a Tax Resolution Firm on the internet, don't get fooled by the fancy graphics or bold font, look deeper into the company behind the flash pages. Make sure you know a little bit about the company before you pick up that phone or fill out a form online.
To contact a firm that has been in business for over 20 years in the Tax Resolution Industry, has full-time CPAs, Attorneys, Enrolled Agents and Former IRS Revenue Officers on staff and has an A+ rating with the BBB, please click the button below:
The Tax Resolution Industry has been under fire as of late due to company specific issues. Over the last year we have seen at least 2 major firms shut down as a result of investigations into deceptive advertising practices and unfortunately, others are still being investigated. While this temporarily imposes a negative tag on the tax relief industry there are many firms that play by the rules and provide excellent, honest customer service to their clients.
To avoid falling prey to an unscrupulous tax resolution firm make sure you do your research on not only the firm but the person doing the representation. The internet is obviously a great place to do as much digging as you can. Sites like www.bbb.org or www.ripoffreport.com can provide valuable information on a company that you may be considering. Signing up with a company without doing any research may provide costly in the end, especially if you sign up with a less than reputable firm. However, if you do get burned, try these tips to try and get your money back or at least a portion.
Go right to the top; find out the owner or someone that has the authority to deal with your situation. Write a letter stating your dissatisfaction and include all the individuals listed on the Power of Attorney (Form 2848). Include in the letter your intentions to file a report with the BBB and the Attorney General of the State where the company does business. Also, indicate that the Office of Professional Responsibility for the IRS will be notified as well. By expressing your concerns along with notification of your intent to report the company should get someone to notice and address your situation in a timely manner.
If you have any questions or would like to consult with an A+ BBB rated firm, please click on the button below and an expert tax consultant will contact you immediately.
Realizing you need tax help is the first step in the Tax Resolution process. Once you take that first step it is necessary to get with a tax professional to help with your tax problems and put you on the right path for a desired tax resolution. To receive tax relief, being organized and prepared can help dramatically not only in the resolution but in the amount of time it may take to achieve a solution.
One's current financial situation is vital in determining what relief may be available. Therefore, having all the pertinent documents and information is a requirement that any tax resolution will need. We at Levy and Associates have put together a Tax Resolution Financial Information Checklist together that can help clients in their preparation before they meet with their assigned representative on their case. This checklist gives a good understanding on the type of information that is needed in order to move towards establishing a tax resolution. To download our Free Tax Resolution Financial Information Checklist, please click on the checklist picture below:
Many Tax Resolution firms offer a "free consultation" to entice potential clients to contact them but when they are contacted, the "free consultion" becomes more of a sales call. Any "free" information will only be given if a credit card is taken or if an appointment is booked. Anyone seeking a free consultation should make sure that they are contacting a firm with a solid repututation and/or a strong BBB rating. Before you pick up the phone and place a call for a "free consultation" make sure you are calling a reputable firm. It does not cost much to make a phone call, especially to a toll-free number. However, if you contact a firm that is not reputable you run the risk of being bombarded by an aggressive sales staff and no answers to the questions that you are asking about.
If you have IRS or State Tax problems and need a true free consultation from a reputable A+ Rated BBB firm, please click on the button below.
There are many Tax Resolution firms out there and the industry seems to be growing every day. Many firms have contibuted to their own demise by focusing on growth while failing to concentrate on customer service. A great way to see who is taking care of their customers is by looking at a firm's BBB Rating. The BBB report of a company gives great insight into a company's history and how well they take care of their clients. Levy and Associates, Inc. proudly maintains an A+ rating with the BBB. To view our report, please click on this link.