Tax Resolution - Resolution firm that frees you from the IRS

• We help you discover more income • A top notch service company • Best local area company that works with you • Tax Shark is a highly reviewed firm. • We are located by you, or near me. • Nearby Douglas Street makes us easy to find. • A California based company • Better service than companies in the surrounding area • In my area is where we are located • We are open now, meaning 24/7. • Our phone number is (916) 542-9244 • We are by near my location • Working with all business places in the Roseville area

Your Top-Rated Tax Resolution Partner In Roseville.

Tax Shark works with taxpayers and business owners to provide tax relief from tax debt.

As a taxpayer, it is your responsibility to ensure that you file and submit your taxes to the IRS on time. Failure to do so may attract stiff penalties and even a jail term. Unfortunately, most people find it difficult dealing with the IRS and end up with tax debts. Most people are left wondering whether it is possible to clear tax debts or what are the implications of having a tax debt. The confusion gets worse when you come across tax resolution companies’ commercials claiming that they can help you get rid of any debt issues with the IRS. In this post, we will help you understand what it means having a tax debt and what it takes to deal with it. At Tax Shark, we help residents of Roseville deal with their tax issues and offer the best Roseville tax resolution options. 

What Is Tax Resolution Work?

Tax resolution refers to all the processes and actions taken to help you get rid of your tax debt. For you to get formal tax relief, you need the services of a tax relief organization that works with the IRS. A tax resolution company like ourselves is one way you can negotiate with the IRS to attain some form of tax relief. There are many processes involved in tax resolution work. Some of the undertakings of a tax resolution process include;



Reduction or Removal of Penalties

For most people and even companies, the tax burden is caused by penalties. One of the most effective ways of dealing with the tax debt burden is getting rid of the penalties. There are terms that must be met for you to qualify for penalty abatement as we will see later on. During the tax resolution process, the tax resolution company works with you to help negotiate with the IRS for penalty abatement. In some cases, only a small percentage of the penalty will be abated. The negotiations for abatement only apply if you wish to pay your taxes in lump sums.


Installment Payments

The other important option when it comes to tax resolution is paying in installments. You can negotiate an appropriate repayment plan with the IRS so that you can pay your debts in installments. The services of a tax resolution company are vital during such negotiations.


Tax debt reduction

Tax reduction is a method of tax resolution but it is rarely used. Getting a tax reduction is not easy. If you have limited ability to settle your tax debt, you may be legible for tax reduction. However, this may involve a legal process where you have to prove beyond reasonable doubt that you are unable to pay your tax debt. If you chose to go for this option, you will need a qualified tax expert and an attorney.


Postponement of tax debt

The other option when it comes to tax resolution is postponement. In other terms, this means that your tax activity has been suspended until you are in a position to pay. You must qualify for Current Not Collectible CNC status to be able to file for a tax postponement. You need an expert tax professional to help determine if you are unable to pay your debt. At our Roseville tax resolution, we are always ready to help you prove such cases.


Removal of federal tax lien and levy

Federal tax liens or levies cause panic to many people. You may be faced with the federal lien or levy if you default paying your taxes for a long time. It is one of the aggressive actions taken by the IRS. However, this is not the time to panic. If you are faced by such a situation, talk to a tax professional immediately. We have helped many Roseville residents get rid of federal lien or levy. Using the services of a licensed tax professional, you can obtain a long lasting resolution to your tax issues and avoid federal action.


How Does The IRS Penalize People For Not Paying Taxes?

Missing to pay your taxes is a serious offense. Most people underestimate the consequences of missing to pay taxes. You may face a jail term or even lose all your properties by missing to pay your taxes. There are several ways that the IRS uses to deal with tax defaulters. You may file your taxes but fail to pay them while on the other hand you may ignore filling and paying your taxes. Both of these situations attract penalties.

First, it is important to file your taxes. You can use the services of a tax professional to avoid all the work that goes into filling your taxes. If you fail to file your taxes, you will have to face the Failure-to-file penalty. This penalty is set at 5% unpaid taxes for the months you are late. If you fail to file your tax for more than two months, you will have to pay at least $135 or 100% of the tax you owe. The 100% only applies if it is less than the stipulated $135. Failing to file your taxes just worsens your tax debt situation. It is advisable to have your taxes filed and deal with the payment later.

Filling your taxes and failing to pay them may also have consequences. If you fail to pay after filling you will be charged with Failure-to-pay penalty. IRS will charge you 0.5% of the unpaid taxes each month up to 25%. Further, interest accumulates on unpaid taxes. The rate is equal to the federal short term interest rate plus an extra 3 percent. Failing to pay your taxes for a long time may be detrimental since each missed payment accrues interest.

Failing to pay your taxes even for a few months may lead to a pile-up caused by the fees and interest. You may also miss out on your refund if you do not file on time. According to IRS, the state keeps over $1billion unclaimed refunds every year. Surprisingly, the refunds average around $700 per individual. Failing to collect your refund only means that you will have to pay extra taxes.

As you may have realized from the figures above, the penalties for failing to file are stiffer than those for failing to pay. Even if you cannot pay the tax immediately, make sure you file. If you have long-standing debts with the IRS, the best way is to apply for start a resolution process. You cannot file and pay taxes for the current year while you have outstanding debts for previous years. If you want to start your compliance journey, you need to find a way of dealing with the backlog. The best option is trying the tax resolution mechanisms mentioned above. You need the help of a tax expert. At Tax Shark, we are ready to help you with all matters regarding Roseville tax resolution. We can file your taxes and negotiate a resolution mechanism. 

If you default paying your taxes for a long time, the IRS will have to implement forceful methods. Some of the consequences of failing to pay your taxes for a long time include:

– The IRS may file a notice of tax lien or levy which may claim your property.
– IRS may seize your home
– IRS may forfeit your refund
– The IRS may take you to court for tax evasion 
– Your passport may be revoked and limitations placed on your travel arrangements.

The only long term solution to your tax problem is paying your taxes. Make sure you file your taxes on time to avoid such problems. However, if you are already behind and need a way out, we are always ready to help. Our Roseville tax resolution experts can help you file your returns or start the tax resolution process right away. To avoid getting your property seized or being sued for defaulting, just talk to us. We will help you find a long lasting solution.


How Can Individuals Settle With The IRS?

Now that you know the consequences of defaulting to pay taxes, you are probably wondering how you can settle with the IRS. If you have no tax debt, settling with the IRS is as simple as filling your annual taxes and paying them. You can use the services of tax experts to file and submit your taxes to the IRS if you do not want to deal with IRS officials. However, if you have outstanding debts, the only way to settle with the IRS is through tax resolution.


There are many tax resolution companies that promise to get rid of your tax debt in a flash. You should be aware that some of these firms are only out to get your money. In reality, the only way to settle your debt without paying is getting the IRS to accept an Offer in compromise( OIC). An OIC is an agreement between you and the IRS that completely settles tax liabilities for an amount that is less than the required one. However, reaching such an agreement is not easy. The IRS will only accept an OIC from you if you can prove that:

i) You are totally unable to pay the full amount within a reasonable timeframe, either as a lump sum or in installments. This means that your tax liability falls into a category known as unusual. 

ii) If the full payment of your tax liabilities will result in economic hardship, will be unfair or inequitable. For instance, if you are unable to work due to health complications.


To arrive at these determinations, the IRS has to review your assets and income. If your assets and income do not meet Reasonable Collection Potential RCP, you may be deemed legible for OIC. In the review process, you will be required to disclose your financial situation in detail on an IRS form 4343-A for individuals or IRS form 433-B for businesses. 


Collection Information Statement. 

The collection information statement involves all the variable information about your cash investments, assets, income, available credit, and debt. The RCP also caters for anticipated future income less the amounts owed for basic living expenses. If you want to determine if you qualify for OIC, you can visit the IRS website and select the “Offer in Compromise Pre-qualifier” option and prepare your preliminary proposal.

Conclusion

There are many details that go into clearing your debt burden. If you have skipped filing or paying your taxes for a while, you will need to work harder towards paying them. The best way is by paying your tax debts either as a lump sum or in installments. If you chose to pay your taxes in a lump sum, try negotiating for a waiver on the penalties and interests. However, you still have to pay the taxes. If you fee that you are in a position where you may never be able to settle your tax debts, you may apply for OIC. However, qualifying for OIC is not easy. You must prove beyond reasonable doubt that you are unable to pay your tax debt. If you have enough assets and income to clear your tax debt, do not even think about applying for OIC. It is also important to note that, before you submit your Offer to the IRS, you have to fulfill some important process. 

i) You must file your tax returns
ii) Make all the estimated tax payments for the current year
iii) Make the required deposits for the current quarter for businesses

However, if your business is already in an open bankruptcy proceeding, you are not allowed to apply for an offer. The IRS does not interfere with the court process and so, your debts will have to be resolved by the bankruptcy hearing.

Talk To Experts

At Tax Shark Roseville tax resolution, we understand your situation. For over six years, we have helped the residents of Roseville save over $1 million thanks to our tax resolution processes. We can help you get a good deal that will help you only pay part of your tax debt. If you have valid reasons, we will also help you get rid of your tax debt without paying a dime. When it comes to tax resolution, you need an experienced tax professional. We have the experience and expertise to help you resolve all your current and pending tax issues.