Jacksonville Tax Relief
Fresh Start Program for Taxpayers in Jacksonville Florida
The number one question we often get during the consultation is if the fresh start program actually reduces back taxes. The short answer is, yes. The IRS has created such programs to help taxpayers struggling with tax debt, wage garnishment, and IRS tax liens. However, to get the best out of the program working with a tax professional will enable you as a taxpayer to positively leverage your current situation. Aside from working with a tax relief expert, you need a tax professional by your side who is going to be negotiating on your behalf to settle for a reasonable amount and payment plan.
Why Struggling Taxpayers Look into Tax Relief?
As an American taxpayer, you have the opportunity to tap into any of the tax relief services. Facing financial situations during a job loss or decrease of income can make it difficult paying the tax bill at the end of the year. Now more than ever, the economy is unstable and having trouble paying tax bills is common. By tapping into the tax relief services will make it easier paying an outstanding tax debt.
What does Tax Relief Really Mean For Taxpayers?
Tax relief programs were designed by the IRS to help taxpayers properly reduce or settle an outstanding tax liability. By working with a tax specialist you will tap into unfamiliar information and simultaneously provide an honest assessment of your financial situation. By having the opportunity to work with a tax attorney you will find out which of the situations below apply to you.
5 Solutions for Taxpayers Struggling Financially
We are going to be covering wage garnishment solutions, back taxes solutions, IRS tax liens solutions, IRS payment plans, and offers in compromise. These are the five most common solutions for taxpayers struggling to pay back their taxes. The outcome as a taxpayer is to lower your outstanding tax debt balance to avoid having your wage garnished and more.
1) Wage Garnishment Solution:
If the IRS proceeds with garnishing your wages from your employer this means that they’ve attempted notifying you via mail with no luck. In other words, taxpayers who find themselves getting their wage garnished is due to not getting back to the IRS. From the IRS perspective, this simply means you’re failing to resolve tax debt, therefore the IRS takes immediate action by going after wage garnishment.
Wage garnishment means that a portion of your wages is directly held by your employer. That’s why it is important to protect your rights and income. The first step is connecting with the IRS and negotiating your rights as a taxpayer to potentially reduce or eliminate wage garnishment.
By addressing your wage garnishment yourself, you will miss a lot of useful information you can use to your advantage. Global gate CPA is currently offering a free thirty-minute consultation to provide you with an honest assessment of your situation and provide you useful options.
2) Back Taxes Solution:
Owing back taxes means that taxes from the prior year were not paid. Back in 2009, the IRS estimated that American taxpayers owed up to $83 million in back taxes to the Federal Government. Fast forward to 2023 that number has grown significantly as the population of the US has also grown.
By avoiding back taxes, the American taxpayer will only accumulate additional fees such as penalties, fines, and even take legal action. To find out your back taxes amount, either contact the IRS directly or connect with a tax resolution specialist from Global Gate and ask them to provide you with more information.
3) IRS Tax Liens Solution:
A tax lien is normally the IRS’s last choice for collecting taxes by going after your personal assets such as your home. Once the IRS puts a tax lien on your property it will limit your ability to sell it. In essence, the IRS has now a legal claim on personal assets for failure to pay the tax burden.
Eliminating a tax lien takes a lot of back and forth directly with the IRS. The good news is you have options as a taxpayer. To better provide you with an honest assessment you can request a free tax consultation.
4) IRS Payment Plans:
Through the Fresh Start Program, the IRS provides the American taxpayer affordable and simple plans. One of the most common IRS payment plans is the “installment agreement.” The biggest factor to be approved for installment agreements is only if your tax debt is lower than $50,000. With the help of a tax professional you even potentially reduce the total balance due.
If the tax debt exceeds $50,000, then the process is slightly different as there is more detailed financial documentation such as having to provide the IRS with income statements, bank accounts, assets, and investments.
The most important qualification for the installment agreements is being up to date with filing your taxes. To better provide you with an honest assessment you can request a free tax consultation.
5) Offer in Compromise:
An Offer in Compromise (OIC) means a taxpayer and the IRS have an agreement to pay back taxes on a reduced amount. The IRS utilizes the reasonable collection potential to determine the new balanced owed. The IRS will require personal information such as bank accounts, bank statements, vehicle information, or any other type of asset under the taxpayer’s name.
When the IRS agrees on an Offer in Compromise, the taxpayer has the option to pay in a lump sum cash or periodic payment plans. However, there are qualifications for each of these two payment plans within the OIC.
Taxpayers… Here’s How Tax Relief Works
Free 30-Minute Consultation:
A tax specialist will give an honest assessment of your situation and discuss available options.
Investigation:
Initiate client protection by establishing a communication channel with the IRS to review your case summary and list out viable options.
Resolution:
We will establish IRS compliance to achieve the best resolution within the next 3-9 months.
Freedom:
Congratulations, your case has been closed and your tax debt reduced with an affordable payment structure.
Get Immediate Help with a Free Confidential Consultation
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What to Expect During Your Free Consultation!
Speak Directly With a Tax Expert
During the 30-minute consultation, you will get an answer to your burning questions and shared details about your current situation. During the consultation, we keep your information confidential and private.
Honest assessment Of Your Situation
Our tax expert will provide you with an honest assessment based on your situation. Your goal is to have a reasonable roadmap in place to potentially decrease your tax debt balance..
When it comes to paying off the tax debts that you owe to the IRS or the Internal Revenue Services, there is rarely a case where the IRS will forgive your debt. The same goes for approaching a compromise on the debt amount. However, in such cases, if you are genuinely facing a financial crisis and have no option of paying off your debt, the IRS provides you with various options to ease your burden. One such program developed by the IRS is the Fresh Start Program. Down below, we have a few necessary information on the Fresh Start Program for you to get started with it.
Guidelines for IRS Fresh Start Program in Jacksonville, FL
As for the guidelines, there are a few parameters that you must qualify for if you want to apply for the Fresh Start Program. Down below are few of the most common requirements for your eligibility for the Fresh Start Program:
- For starters, your debt amount needs to be $50,000 or less.
- You will need to present proof for a 25% drop in your net income if you are self-employed
- If you are a joint filer, for example, a married couple, then your net income should not exceed $200,000 annually
- If you are a single filer, then your net annual income should not exceed $100,000
The Fresh Start Program analyses your assets and current income to determine the amount that you would need to pay back within six years. Also, remember that there are regular new updates to the Fresh Start Program, and that may imply an all-new set of the underlying tax codes. Therefore, it is necessary to assess your tax filing to make sure the changes don’t get to halt your tax relief program.
Where can I talk to someone for the IRS Fresh Start Program?
If you are looking for ways to apply, then you can opt for these options, but before that, make sure you have filed all your tax returns, whether you have paid them or not.
- You may visit the official site of IRS (IRS.gov) and apply for the IRS Fresh Start Program via their Online Payment Agreement tool. This tool allows you to choose your preferred choice of payment.
- If you do not prefer online enrollment, then you may fill up the IRS Form 9465 available on the official site and request to be a part of the program.
The process of enrollment and the program may be a bit complex and hard to understand. To be on the safe side that you have enrolled successfully and are aware of what is happening, we advise you to consult a professional tax consultant. A tax expert can help you head straight with the facts and figures to simplify the whole process and strive to set things to work in your favor.
How much does a tax lawyer cost?
Tax lawyers have various rates considering different circumstances. But the most basic ground of charges is an hourly rate and flat fees. Under hourly rates, a lawyer will charge according to the hours. Different attorneys will have a different price, but on average, it usually is around $200 to $400 an hour. Attorneys with higher experience, or the ones working in big firms, might charge more than $1,000 per hour. As for the flat fees, the attorney will charge a particular sum altogether despite the hours he works on your case. This completely varies from attorney to attorney and the matter for which they are hired. The cost also relies on the complexity of your case and the place you live in.
Should I get my tax debt taken care of?
It is advised that you better take care of your tax debts, if you have any, as fast as possible. It is better not to ignore it or keep piling it up as it becomes a bigger mess later that may negatively affect you. The amount of tax debt can also help you determine whether you’re competent to make the settlements, or you’ll need to consider a tax consultant for the matter. In case you have problems taking care of your tax debts where you absolutely cannot pay it back, then you may apply for an ‘Offer in Compromise’ to the IRS or try and negotiate your debt amount. Also, you should always file your tax returns, even if they are unpaid.
How long can the IRS collect back taxes?
IRS has a maximum of ten years to collect the tax debt. After this period, the debt is waived off the records. It is known as the IRS Statute of Limitations. The rule might seem simple but is followed by strict guidelines. Hence, it is advised to reach out to a tax expert for any assistance concerning the program.
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