Installment Agreement
IRS
Most debts with the IRS are settled through payment plans. The name of the game with installment agreements is how much you end up paying each month. And how much you end up paying is all based on a simple financial form. If the taxman has his way, you are on the hook for a huge monthly payment. (Often that is the result of trying to handle a tax debt yourself or hiring a big tax relief company.) The main thing we’ve done for the past decade is complete that financial form with our clients’ best interest in mind. If you are looking for affordable payments for your tax debt, please contact us for a free consultation today.
Questions?
Why should I hire you if I can set up my own payment plan on the IRS website?
If you are capable of making the payments they request, you don’t need to spend money you could use for payments to hire a power of attorney. Ideally, you get a bill from the IRS and set up a payment plan on your own with terms you can afford. It’s when you can’t afford the payments that you need to hire a power of attorney. Unfortunately, most taxpayers who owe taxes are in a tough place financially or they would have simply paid the tax. So when you petition Uncle Sam for a payment plan, and they’ve thrown on penalties and interest, the payments are just too high to be sustainable. That’s when you should hire a representative to put your best foot forward and get the payments as low as possible.
What can you do that’s different than what I can do?
The same could be asked of your dentist or your plumber. You hire a professional for their expertise, so that you don’t have to learn a trade or profession unfamiliar to you. You hire a professional so that they take care of everything and you don’t have to worry, because they’ve done it countless times before and they do it everyday. So if you are considering a DIY approach, we’d be happy to talk through the debt with you to help you make that determination. Some taxpayers we’ve helped in the past were more than capable of doing it on their own—hiring someone else saved them time, energy, and worry, so even after we repeatedly told them they were capable of negotiating their own tax debt, they still retained us as their power of attorney because it made sense to them. Reach out today for assistance with your IRS payment plan.
Do the penalties and interest stop once I set up a payment plan?
Unfortunately, no—the meter keeps running and, with compounding penalties and interest, will start to outpace your payments unless your contributions are considerable. We’ve seen taxpayers make diligent payments for years with barely a dent in the debt from the ‘pyramiding’ liabilities (a term IRS coined for the way their debts grow over time: exponentially, like a pyramid). The good news is that once you are on a payment plan that is in good standing, you can petition IRS for an abatement of the penalties. Please call us today if you are worried your payments are not keeping up with the ongoing accruals.