It has been just over a month since this year’s tax deadline, but that doesn’t mean taxes aren’t still on your mind. If you filed your 2017 federal tax return and were unable to pay the balance you owed, you likely are beginning to get collection notices from the IRS. Maybe this is the first year you’ve owed the IRS and you aren’t sure what to do. That fear can be paralyzing to anyone and the constant letters only make it worse. Maybe you’ve owed the IRS before but never gotten around to resolving it as other life events have taken priority. Or maybe you didn’t withhold enough on your W-2. We understand that you did not end up here on purpose. Regardless of how you ended up here or what has kept you from resolving it, you need to know there are options out there!
If it is your first time to owe the IRS, you likely qualify for a first-time penalty abatement. Penalty abatements can help lower your overall tax liability. There are certain requirements you must meet to qualify for a first-time penalty abatement, so it’s important to read those over or talk to a tax attorney to see if you may qualify. Just because you get a penalty abatement, it doesn’t mean you can’t also get a resolution like an Offer in Compromise with the IRS. 
Are avoiding liens important to you? Depending on how much you owe, there are options in paying the balance over time while avoiding liens being filed. One option is an Offer In Compromise (OIC). And OIC is a resolution that allows you to make a one-time payment to settle your tax debt completely. The payment can be as low as $5. You can also choose a full-pay option and if your balance is low enough, you can have liens removed.
If you don’t qualify for those options, there are other types of resolutions such as a partial pay installment agreement. If you qualify, this installment agreement resolves your tax liability for less than your full tax debt. Another option is Currently Not Collectible status. Being placed in this status stops all collection activity against you, doesn’t make you make some sort of payment, but the IRS will keep all previous liens filed until the balance is resolved.
Taking on the IRS by yourself can be scary. Don’t go at it alone. Call Polston Tax for help. Our team of tax attorneys can help you get the best resolution for your finances. Give us a call at (844) 841-9857 or click below to schedule your free consultation!
