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Ways to repay the IRS debt and unload your tax burden

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Hi All,

I hope you find the above resource helpful in paying off your tax dues faster.

Regards
Vikas




This is great, Vikas! I know we are going to put this to good use. Thanks Again!

Sub: #1 posted on Fri, 01/05/2007 - 07:58

kscornell kscornell
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Vikas, I'm sure this will be a hot topic, especially with tax season here.

Sub: #2 posted on Fri, 01/05/2007 - 08:30

dbaker6 dbaker6

(Posts: 1600 | Credits: 147.48)

I owe around 15k in back income taxes. I had $11,5 of it in a chapter 13 bankruptcy that I was not able to complete do to job loss. I have not filed a tax return since 2004. Can anyone tell me would it be better to try and set up an installment plan with the IRS or to go back into a Chapter 13 bankruptcy? I have talked to one of the IRS tax relief companies that advertise, but they want a $2000.00 fee to negotiate this for me. Could I handle this myself, and also have a concern that the payments will be so high that I won't be able to afford them. I am struggling from going through a period of not having stable employment and still trying to play catch up now that I do have a good job.

Sub: #3 posted on Fri, 01/18/2008 - 08:18

trinity5048 trinity5048

(Posts: 6 | Credits: 4.33)

Trinity, welcome! Glad to have you with us. Let's take this step-by-step, OK? The first thing you must do in the long road to resolve this with the IRS is to become compliant and file ALL back tax returns with them. I can tell you from personal experience that they will not even begin to work with you until this is done. You must also agree to file all other returns on time.
You probably could handle this by yourself. Once your tax returns are filed, I would call them back with a figure that you could afford monthly. They will require that the amount you're proposing pays your debt off within a certain number of months, and I do forget what that figure is, sorry.
Since you owe 15g, you will probably have to fill out a financial information form. This spells out how much money you make and what your expenses are.
The IRS will either accept your offer or propose a higher figure.
One other thing you could do is an offer in compromise, where you propose a flat settlement of your debt.

Sub: #4 posted on Fri, 01/18/2008 - 10:28

kscornell kscornell
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My fear is that the payment will be so high it will unrealistic for me to comply. What would qualify someone for the Offer in Compromise? I am just now having steady employment since things went wrong for me, had new job for four months. I have also developed some health issues that are probably going to add up to some on going expenses.

Would there be any advantage to going through a tax attorney or accountant rather than trying to do this myself? To be honest I am terrified about this whole thing.

Sub: #5 posted on Tue, 01/22/2008 - 05:44

trinity5048 trinity5048

(Posts: 6 | Credits: 4.33)

The IRS will need to take information on your financial situation from you since you do owe 15G. And based on your income, they will propose what you can afford.
Download the offer in compromise info at IRS.gov. I do know that you need to agree to file and pay all other tax debts in the future. Good luck!

Sub: #6 posted on Sun, 01/27/2008 - 06:51

kscornell kscornell
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Try this company: XXXXXXXX. They helped out a couple buddies of mine that were dealing with the same problems. The number is (XXX)XXX-XXXX. Call in, and they'll find out if your debt/liens can be worked out with them.
Hope this can help!
Cheers and good luck!!

Sub: #7 posted on Tue, 10/21/2008 - 23:43

Unregistered


In 2004 I cashed out a 401K and made a mistake on my tax return owing the irs 15K. I've been mostly unemployed since then and I find I owe them 20K now and the state (CO) 3k. I have no income at all and I'm not sure how to stop the intereste and penalties from adding up. I'm also considered homeless. I'm feeling hopeless and scared of never being able to take care of this. I don't have a Drivers licence and it's very hard finding a job for any more than 7.00 an hour which my exwife takes all of and then none left for uncle sam. Summary... Homeless, jobless, last tax return 2004, last job one month in two years, jail for 6 months in 2007. Owe 20k as of today. State 3k. Thanks so much. I feel better already.

Sub: #8 posted on Tue, 11/04/2008 - 12:54

Unregistered


You should speak with an attorney at your local Legal Aid at your earliest opportunity. Here's their website:

http://colorado legalservices.org/co/homepage.html

Or find'em in the phonebook.

Sub: #9 posted on Wed, 11/05/2008 - 06:10

unclewulf unclewulf
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(Posts: 3173 | Credits: 315.03)

I have a wage levy in place (paid monthly), and IRS garnished Dec pay. This has left unable to pay for essential expenses and threat of eviction. I'm comtemplating PDL, although its illegal in my state. I've contacted the TPAdvocate and provided 433A data and other requested information. Outstanding years were filed back in 8/97 and all taxes are up to date. I became disabled after filing outstanding taxes as was unable to resolve this issue, in addition getting bad assistance from a attorney. Any thoughts on the PDL....if I'm going to do it, it needs to be done tonight.

Sub: #10 posted on Fri, 12/12/2008 - 06:25

Unregistered


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