We start with a Free Consultation to determine your specific needs. From there we determine how best to negotiate the most favorable resolution with the IRS.
Tax Services We Provide
Our attorneys resolve a wide range of tax issues including wage garnishments, bank levies, liens, and penalties. The W Tax Group prides itself on negotiating the most favorable tax liability settlements allowed under law.
If you can’t pay your tax liability in full, or if paying in full will create a financial hardship for you, an offer in compromise (OIC) may be an option.
An OIC is an agreement between you and the IRS, where the IRS agrees to accept less than the full amount you owe. You can submit an offer on taxes owed individually and for your business.
There are two main reasons the IRS may agree to accept less than the full amount:
- Doubt as to Collectibility: This means you don’t have enough income or assets to pay your balance in full.
- Effective Tax Administration: You can pay all your balance due, but it would create an economic hardship, or would be unfair or inequitable.
Another reason the IRS may accept payment of less than the full amount you owe is doubt as to liability (that is, you don’t believe you owe the tax, or you don’t believe the amount is correct).
Offer payment options
There are two kinds of payment options for an offer —
- Lump Sum Offer: Generally, you’ll be required to pay 20 percent of the total amount you’re offering when you submit the offer. You’ll need to pay the rest in five or fewer payments, within five or fewer months of the date the IRS accepts the offer.
- Periodic Payment Offer: Generally, you’ll make the first payment when you submit the offer and the rest within 24 months, according to the terms of your offer.
For the IRS to accept an offer, you must file all tax returns due and be current with estimated tax payments or withholding. If you own a business and have employees, you must file all returns and be current on all your federal tax deposits.
The offer in compromise process is nuanced and lengthy. It may take anywhere from 6-9 months for the offer to be reviewed.
For the best chances in successfully negotiating an offer in compromise, you’ll want a licensed professional on your side. The W Tax Group’s tax attorneys are highly experienced in preparing and settling these cases. An installment agreement is an option if you can’t pay your taxes in full. These agreements are monthly payment plans, and allow you to pay your liability over time.
Routine Installment Agreements
The IRS will ask you for supporting documents for your income, expenses, and other amounts you owe (For example: Home and car loan payments, other obligations.) The IRS publishes and uses national and local standards to determine allowable monthly expenses and arrive at the appropriate monthly payment.
Partial Pay Agreements
In this situation, you have some ability to pay your taxes but can’t pay in full within the remaining time the IRS has to collect. The IRS may allow you to make payments until this collection period expires.
For the best chances in successfully negotiating an Installment Agreement, you’ll want a licensed professional on your side. The W Tax Group’s tax attorneys are highly experienced in negotiating Installment Agreements.
There are times where you agree you owe the IRS, but you can’t pay due to your current financial situation. If the IRS agrees you can’t both pay your taxes and your reasonable living expenses, you may be eligible for Currently Not Collectible (CNC) status.
While your account is in CNC status, the IRS generally won’t try to collect from you. For example: It won’t levy your assets and income. However, the IRS will still assess interest and penalties to your account, and may keep your refunds and apply them to your liability. The IRS may also file a Notice of Federal Tax Lien (NFTL) even if your account is placed in CNC status.
If you request CNC status, the IRS may ask you to provide financial information, including your income and expenses, and whether you can sell any assets or get a loan.
For the best chance in successfully negotiating Currently Not Collectible status, you’ll want a licensed professional on your side. The W Tax Group’s tax attorneys are highly experienced in negotiating CNC status.