IRS Tax Debt Relief in Ohio
If you owe back taxes to the Internal Revenue Service or the Ohio Department of Taxation, the government can impose fines and interest charges, garnish your wages, seize your bank accounts and even sell your property to satisfy the tax debt. But there is an easier way to solve your unpaid tax problem, and an Ohio tax attorney can help.
It's estimated that about 20 percent of state and federal income taxes go unpaid each year. That's the equivalent of $300 million annually. If you owe just a few thousand dollars in unpaid taxes, you might assume that the IRS and Ohio Department of Taxation will ignore your debt and focus on people and companies that owe more. But that's not the case. The federal and Ohio government aggressively pursue taxpayers who owe back taxes.
How an Ohio Tax Attorney Can Help You
If you've received a tax bill, you might be tempted to ignore it and hope it will go away. That's actually the worst thing you can do. Instead, if you're unable to pay the bill in full or you believe the tax bill is incorrect, you should contact an Ohio tax lawyer.
An Ohio tax relief attorney can help you find a workable solution to your tax problem. Your lawyer can:
- Review your tax bill to ensure it is accurate and file a tax appeal if the bill contains errors.
- Analyze your financial situation to help determine how much you can afford to pay to the IRS and Ohio Department of Taxation. Your Ohio tax relief lawyer may discuss both lump-sum and monthly payment options with you.
- Discuss the pros and cons of various tax relief solutions and help you decide which would work best for you.
- Communicate with the government on your behalf and, if necessary, help you apply for a suitable tax payment plan.
Dealing with tax issues can be stressful, but an experienced Ohio tax debt attorney can help make the process much less nerve-wracking.
Possible Tax Relief Solutions
If you owe back taxes to the government, there are a number of possible payment options, including some that can possibly reduce your total tax bill. Your Ohio tax lawyer will discuss the solutions for which you are eligible.
One of the most common options is an installment payment plan. This allows you to gradually pay off your unpaid taxes, as well as any interest and penalties you've been charged. When you apply to participate in an installment payment plan, you'll commit to paying a fixed amount on a monthly basis until your taxes are paid in full.
If you are not in the midst of bankruptcy proceedings, you may be eligible for an offer in compromise, where the IRS agrees to settle your tax bill for less than the full amount that is owed. The IRS will consider an offer in compromise if:
- There's reasonable doubt as to whether you actually owe all of the taxes for which you've been billed, or
- The IRS doubts you're able to pay your full tax bill, or
- The IRS thinks that full payment of the outstanding taxes would cause you financial hardship.
If you don't pay your taxes by the due date, the government typically charges late-payment penalties and interest on your unpaid balance. If your back taxes are the result of an honest mistake or serious financial hardship, your Ohio tax attorney can ask the government to waive some or all of those fees. This is known as penalty abatement.
You may be eligible for other less common tax relief solutions. For example, if your back taxes are at least three years old and you've filed your tax returns in a timely manner, the debt may be discharged through personal bankruptcy.
If You Ignore Your Tax Debt
If you ignore tax notices, the government will take legal action in an effort to collect the money it's owed. Typically, the government begins by charging tax penalties, such as interest and late-payment fines. These can add up quickly.
The government's next step is to file a tax lien against your property. This is a legal claim on your assets—such as your home or car—and you will be unable to sell the property until the taxes are paid and the lien is cleared. (In some instances, the government may file a tax lien against your property even if you're communicating with them and making payments toward your tax debt.) A tax lien may also appear on your credit report, making it more expensive, difficult or impossible to get new credit.
Your wages may be garnished to pay your tax debt, and tax refunds and Social Security payments can be seized. Any money that's intercepted will be applied to your tax bill, interest and penalties.
Finally, the government can impose a tax levy, which gives it the power to seize and sell your property. This would include bank accounts, real estate and motor vehicles.
Needless to say, penalties, interest charges, tax liens and tax levies are serious. The government will take every action it can to collect what it's owed. It's in your best interest to work with an Ohio tax lawyer to solve your tax problem before the government takes legal action against you.
Find & Hire an Ohio Tax Relief Attorney Today!
Are you ready to take the first steps toward solving your federal and Ohio tax problem? Congratulations, you've made a smart decision! And an Ohio tax relief lawyer can guide you through the process.
Attorneys.com can quickly and easily connect you with a local Ohio tax attorney. Simply complete the form on this page or call us at 877-913-7222. After answering a few simple questions, we'll put you in touch with a local attorney—then you're ready to get started and solve your tax problems.