by Jim Magary | Apr 27, 2016 | Tax Help
Before you spend your money to settle your tax debt what you need to know first.
I have worked more offers in compromise to settle tax debt than I care to admit.
Being a former IRS agent teaching instructor I have looked and reviewed thousands of cases since 1973.
I am a true expert when it comes to settling tax debt. There are many misconceptions about settling your tax debt for pennies on the dollar with the Internal Revenue Service.
Everyone calls us wanting to settle their debt for pennies on a dollar.
You need to know there are very specific formulas that govern the tax debt settlement offered by Internal Revenue Service.
Before anyone filing offering compromises should walk to the IRS pre-qualifier tool to make sure they are a qualified candidate before giving anybody their money.
You can call us today and we will walk you through the pre-qualifier tool to find out if you are an eligible candidate to file the offer in compromise. At fresh start tax we do not take any client unless are a true candidate for the program.
Statistics for offers in compromise.
If you are thinking of settling your tax debt through the offer in compromise know that the latest statistics show that there were 77,000 offers in compromise filed last year and acceptance rate of 39% from average settlement of around $5000.
Keep in mind these are based on national averages and completely dependent on your current financial statement.
So, what is the Offer in Compromise
An offer in compromise allows you to settle your tax debt for less than the full amount you owe.
It may be a legitimate option if you can’t pay your full tax liability, or doing so creates a financial hardship.
IRS consider your unique set of facts and circumstances:
• Ability to pay;
• Income;
• Expenses; and
• Asset equity.
IRS generally approve an offer in compromise when the amount offered represents the most we can expect to collect within a reasonable period of time. payment options before submitting an offer in compromise.
The Offer in Compromise program is not for everyone.
Make sure you are eligible to settle your tax debt
Before IRS can consider your offer, you must be current with all filing and payment requirements.
You are not eligible if you are in an open bankruptcy proceeding. Use the Offer in Compromise Pre-Qualifier to confirm your eligibility and prepare a preliminary proposal.
Submit your offer to settle your tax debt
You’ll find step-by-step instructions and all the forms for submitting an offer in the Offer in Compromise Booklet, Form 656-B (PDF).
Your completed offer package will include:
• Form 433-A (OIC) (individuals) or 433-B (OIC) (businesses) and all required documentation as specified on the forms;
• Form 656(s) – individual and business tax debt (Corporation/ LLC/ Partnership) must be submitted on separate Form 656;
• $186 application fee (non-refundable); and
• Initial payment (non-refundable) for each Form 656.
Select a payment option
Your initial payment will vary based on your offer and the payment option you choose:
• Lump Sum Cash:
Submit an initial payment of 20 percent of the total offer amount with your application. Wait for written acceptance, then pay the remaining balance of the offer in five or fewer payments.
• Periodic Payment:
Submit your initial payment with your application. Continue to pay the remaining balance in monthly installments while the IRS considers your offer.
If accepted, continue to pay monthly until it is paid in full.
If you meet the Low Income Certification guidelines, you do not have to send the application fee or the initial payment and you will not need to make monthly installments during the evaluation of your offer.
Understand the Settling Tax Debt process
While your offer is being evaluated:
• Your non-refundable payments and fees will be applied to the tax liability (you may designate payments to a specific tax year and tax debt);
• A Notice of Federal Tax Lien may be filed;
• Other collection activities are suspended;
• The legal assessment and collection period is extended;
• Make all required payments associated with your offer;
• You are not required to make payments on an existing installment agreement; and
• Your offer is automatically accepted if the IRS does not make a determination within two years of the IRS receipt date.
Settling Tax Debt + What You Need to Know First
by Jim Magary | Apr 27, 2016 | Tax Help
We are an Affordable Christian Professional tax services firm with over 65 years of direct IRS work experience. Since 1982.<><
We worked in the audit, collections, and appeals division as well as former IRS teaching instructors. We are true Settling IRS tax debt experts.
We know the system inside and out and are some of the most affordable, trustworthy and notable experts.
Proverbs 11:14 <><
Where there is no guidance, a people falls, but in an abundance of counselors there is safety.
Proverbs 19:20-21 <><
Listen to advice and accept instruction, that you may gain wisdom in the future. Many are the plans in the mind of a man, but it is the purpose of the Lord that will stand.
If you want to file an offer in compromise/settling IRS tax debt, I thought you’d like to know what the statistics are.
Last year over 78,000 offers in compromise were filed by taxpayers and over 38% of those were accepted for average of $6500 per case. Much of the success of this program is due to the pre-qualifier tool.
Keep in mind this is a national average in your case is completely dependent on your individual financial statement. Knowing the formulas that IRS uses is the best way to settle your debt for the lowest amount possible.
We will not file for an offer in compromise unless you are a true candidate for the program. There is an IRS pre-qualifier tool that we review with our clients before we file for the offer in compromise.
Upon your initial tax consultation we’ll let you know if you are eligible to have an accepted offer in compromise by the Internal Revenue Service.
As a former IRS agent, I was a teaching instructor for the offer in compromise, the IRS tax debt settlement program. Due to the new fresh start tax initiative Internal Revenue Service had made it easier to file for the program.
However this settling tax debt program is not for everybody.
Everyone wants to settle with IRS but there is a very specific format and methodology that must be followed.
You could hear the truth about the offer in compromise program when you call us.
There are many myths about the pennies on the dollar program so you need to hear the truth before spending any money.
I know the system inside and out. As a former IRS agent I used to accept and reject offers in compromise.
I have heard countless horror stories from taxpayers who called me about firms that have ripped them off promising settlements.
As a former IRS agent I taught the offer in compromise program at the district training center as a former employee.
The question is pennies on the dollar possible to settle IRS tax debt?
Yes, it is as a matter of fact, over 38,000 taxpayers got their debt settled with the Internal Revenue Service for average settlement of $6500 last year.
With that being said there is much to say about this pennies on the dollar program called the offer in compromise.
At our firm we will take no clients money until we are no they are a true candidate for the settlement program.
There are many myths about the offer in compromise so IRS and in their great wisdom provides a pre-qualifier tool to find out if taxpayers are eligible for the offer in compromise program so taxpayers do not give their hard-earned money to unsuspecting tax firms promising tax settlements.
I would suggest anyone who wants to go ahead and settle their tax debt through the pennies on the dollar, offer in compromise program contact an experienced an honest tax professional, have them walk them through the pre-qualifier tool before they give their money to anybody.
If you have any questions or issues about the offer in compromise program to settle your debt for pennies on the dollar, call us today and we will review your case to let you know if you are a qualified and suitable candidate.
The IRS spends a lot of due diligence before they accept an offer in compromise. It is possible for the IRS to spend over 20 hours working an offer in compromise.
On cases over $100,000 it is typical they will check your credit report for the accuracy of your financial statement. The higher the dollar case the greater the due diligence.
Many people ask why is this process not that simple. The answer is this, all accepted offers in compromise are a matter of public record for one year in the regional office where the offer was accepted.
The Internal Revenue Service does all that it can to make sure there is a matter of consistency within the offer in compromise program if not still be a tremendous public outcry.
Right now there are over 7500 cases in the offer queue to be worked.
We are a full-service firm with an expertise in any IRS tax debt matter including offering compromise.
One base rule for the offer in compromise program. IRS is only concerned about your income and assets. this includes your equity in your home, pension plans are IRA’s.
One nice thing about the IRS accepting your offer in compromise is that once you meet the terms of the settlement they will release your federal tax lien.
Below you will find out what you need to know about the offer in compromise program.
TYPES OF OIC PAYMENTS
• Lump Sum Cash Payment:
Submit an initial payment of 20 percent of the total offer amount with your application. Wait for written acceptance, then pay the remaining balance of the offer in five or fewer payments.
• Periodic Payment:
Submit your initial payment with your application.
Continue to pay the remaining balance in monthly installments while the IRS considers your offer. If accepted, continue to pay monthly until it is paid in full.
If you meet the Low Income Certification guidelines, you do not have to send the application fee or the initial payment and you will not need to make monthly installments during the evaluation of your offer.
Understanding the process of OIC
While your offer or your settlement is being evaluated:
• Your non-refundable payments and fees will be applied to the tax liability (you may designate payments to a specific tax year and tax debt);
• A Notice of Federal Tax Lien may be filed;
• Other collection activities are suspended;
• The legal assessment and collection period is extended;
• Make all required payments associated with your offer;
• You are not required to make payments on an existing installment agreement; and
• Your offer is automatically accepted if the IRS does not make a determination within two years of the IRS receipt date.
Call us today for free initial tax consultation to see if you are a certified an eligible candidate for the offer in compromise program.Christian Tax Services Firm.
We call our office you will speak to a true IRS tax professional. So yes pennies on a dollar is possible, however make sure you’re a qualified candidate.
Call us today for a free initial tax consultation and speak to a true IRS expert about the offer in compromise the way to settle your tax debt for pennies on a dollar if you qualify.
When you call our office you will speak to true IRS tax expert to learn more about the offer in compromise and tax debt settlement program to reduce your IRS tax debt.
Settling IRS Tax Debt = Christian Tax Services Firm + OIC
by Jim Magary | Apr 27, 2016 | Tax Help
If you owe back taxes there’s a good chance that you can lose your passport. Call us today for a free initial tax consultation.
Former IRS Agents and Managers who know the system!
If you are in danger of losing your passport because of the new law passed contact us today and we can review with you different tax solutions and options to keep your passport. getting a payment plan with the Internal Revenue Service can avoid this huge problem which may be crouching at the door.
Passed by Congress and signed into law allows the US Government to revoke the passports of seriously tax delinquents. The thresholds seem to be set at $50k plus
Under legislation signed recently by President Obama (H.R. 22 – Fixing America’s Surface Transportation Act), the State Department has been given new powers to revoke or deny passports for individuals who are “seriously delinquent” in their federal tax payments.
The new passport rule indicates the government wants to get serious about collecting unpaid tax debts.
The IRS reported 12.4 million delinquent accounts owing nearly $131 billion in assessed taxes, interest and penalties in 2014.
The passport-revoking provision allows the Department of the Treasury and the IRS to authorize the State Department to take away U.S. passports from individuals with seriously delinquent tax liabilities.
The State Department is now authorized:“to deny, revoke or limit use of a taxpayer’s U.S. passport, and it isn’t supposed to issue a passport to anyone owing that much money (with exceptions for emergencies or for humanitarian reasons)”
Americans however, out of the country when their passports are revoked may be allowed to return home.
FACT : The number of valid U.S. passports has surged in recent years, from roughly 30 million in 1995 to 126 million this year.
The bottom line, Congressional analysts expect the passport-revocation rule to raise about $400 million over the next 10 years. At the end of the day is all about raising revenue for the US government.
Getting a simple payment agreement could allow your complete freedom of traveling back and forth without recourse.
Call us today for free initial tax consultation and we will go over with you to different remedies available.
If You Owe You Can Lose Your Passport = Tax Help Available
by Jim Magary | Apr 27, 2016 | Tax Help
If you owe back taxes there’s a good chance that you can lose your passport. Call us today for a free initial tax consultation.
Former IRS Agents and Managers who know the system! If you are in danger of losing your passport because of the new law passed contact us today and we can review with you different tax solutions and options to keep your passport.
Passed by Congress and signed into law allows the US Government to revoke the passports of seriously tax delinquents. The thresholds seem to be set at $50k plus
Under legislation signed recently by President Obama (H.R. 22 – Fixing America’s Surface Transportation Act), the State Department has been given new powers to revoke or deny passports for individuals who are “seriously delinquent” in their federal tax payments.
The new passport rule indicates the government wants to get serious about collecting unpaid tax debts.
The IRS reported 12.4 million delinquent accounts owing nearly $131 billion in assessed taxes, interest and penalties in 2014.
The passport-revoking provision allows the Department of the Treasury and the IRS to authorize the State Department to take away U.S. passports from individuals with seriously delinquent tax liabilities.
The State Department is now authorized:”to deny, revoke or limit use of a taxpayer’s U.S. passport, and it isn’t supposed to issue a passport to anyone owing that much money (with exceptions for emergencies or for humanitarian reasons)”
Americans however, out of the country when their passports are revoked may be allowed to return home.
FACT : The number of valid U.S. passports has surged in recent years, from roughly 30 million in 1995 to 126 million this year.
The bottom line, Congressional analysts expect the passport-revocation rule to raise about $400 million over the next 10 years.
Getting a simple payment agreement could allow your complete freedom of traveling back and forth without recourse.
Call us today for free initial tax consultation and we will go over with you to different remedies available.
Owe Back Taxes + Lose Your Passport + Options to Help
by Jim Magary | Apr 27, 2016 | Tax Help
If you owe back taxes there’s a good chance that you can lose your passport. Call us today for a free initial tax consultation.
Former IRS Agents and Managers who know the system!
Passed by Congress and signed into law allows the US Government to revoke the passports of seriously tax delinquents. The thresholds seem to be set at $50k plus
The new passport rule indicates the government wants to get serious about collecting unpaid tax debts.
The IRS reported 12.4 million delinquent accounts owing nearly $131 billion in assessed taxes, interest and penalties in 2014.
The passport-revoking provision allows the Department of the Treasury and the IRS to authorize the State Department to take away U.S. passports from individuals with seriously delinquent tax liabilities.
The State Department is now authorized:“to deny, revoke or limit use of a taxpayer’s U.S. passport, and it isn’t supposed to issue a passport to anyone owing that much money (with exceptions for emergencies or for humanitarian reasons)”
Americans however, out of the country when their passports are revoked may be allowed to return home.
FACT : The number of valid U.S. passports has surged in recent years, from roughly 30 million in 1995 to 126 million this year.
The bottom line, Congressional analysts expect the passport-revocation rule to raise about $400 million over the next 10 years.
Getting a simple payment agreement could allow your complete freedom of traveling back and forth without recourse. Call us today to learn more.
Owe Back Taxes + Lose Your Passport + Options to Help
