IRS

IRS Installment Agreements – Which One Is Right For You?

February 22, 2023 | Indiana

An Installment Agreement is nothing more than an agreement with the IRS to pay the tax owed over an extended timeframe.  Installment Agreements are an excellent way to stay compliant with the IRS if a taxpayer cannot pay their taxes when they are due.  The IRS is not really interested in seizing a taxpayer’s assets.  The IRS would much rather work with the taxpayer to pay his or her taxes over time. The IRS has four types of Installment Agremeents: Guaranteed Installment Agreement, Streamlined Installment Agreement, Financially Verified Installment Agreement, and a Partial Pay Installment Agreement.  Which payment plan is best for a taxpayer depends on the facts and circumstances of the taxpayer’s case.  There are different rules governing different payment plans.  Knowing the rules of each plan can help a taxpayer pick the best plan for them. Guaranteed Installment AgreementThe first type of payment plan is an “Guaranteed Installment Agreement”.  This … Continued

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The 10-Year Collection Statute – Why is it so Important?

February 8, 2023 | Carmel

In tax resolution cases, there are many strategies that come into play when formulating a plan to resolve a tax debt.  From allowable expenses, to equity in assets, and many other items, effectively solving a tax problem for a taxpayer has many angles.  One angle is using the “Collection Statute Expiration Date” or CSED to a taxpayer’s advantage.  The CSED is important because the amount of time remaining on the collection statute helps determine which solution the practitioner should select. What is the Collection Statute Expiration Date or CSED?  Once the IRS assesses tax on a taxpayer, the IRS has, by statute, 10 years from the date of assessment to collect the tax.  In most cases, after 10 years the tax debt becomes unenforceable and the IRS writes-off the debt on the taxpayer’s account.  This makes the CSED a very useful tool in planning a tax resolution case for a client. If … Continued

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