IRS & South Carolina Tax Debt Attorney – Summerville, SC
Do you owe money to the IRS or State of South Carolina? Don’t go take them on alone! We can help you solve the problem!
When you owe money to the IRS or State, you may feel a range of emotions – worried, confused, angry, hopeless, etc. But the truth is, you don’t have to feel any of those things!
Tax law is hard to understand. There are so many rules and regulations it will make your head spin! A tax debt attorney can fully explain your situation to you and the options available to help take care of the problem.
A tax debt attorney can also take over any negotiation that needs to occur between the taxpayer and the IRS or State – this means no more threatening phone calls and letters. Your tax debt attorney becomes your “go between.”
What types of resolutions are there for tax debts?
So you understand the problem. What can you do to fix it?
There are a few different types of solutions to this problem. The most common are Offers in Compromise, Installment Agreements, and “Currently Non-Collectible” status.
We will go over them each a little more below.
Offers in Compromise
An Offer in Compromise is an agreement between the taxpayer and the IRS or State that settles the taxpayer’s debt. It means that the amount you owe is reduced to a lower amount, and when that amount is paid your account is considered paid in full.
The IRS or State doesn’t have to accept your offer. They will only accept if you can show one of the following reasons:
- You aren’t able to pay the full amount now and won’t be able to do so in a reasonable amount of time.
- The actual amount of your tax liability is in doubt.
- If you are made to pay the full amount owed it would cause an economic hardship or be unfair due to exceptional circumstances.
The most common solution to the problem is an Installment Agreement. It is exactly what it sounds like – a payment plan to pay back the IRS or State.
Keep in mind that the IRS or State can refuse an Installment Agreement. If one of the following reasons are true, the IRS or State can reject your proposal:
- All of your living expenses aren’t “necessary.”
- Information on your Financial Statement isn’t complete or isn’t accurate. (This basically means that the IRS or State thinks you are hiding assets from them.)
- You defaulted on a previous Installment Agreement with the IRS or State.
“Currently Non-Collectible” Status
If an Installment Agreement isn’t a feasible option for you, the IRS or State may determine that your account is “currently not collectible.” This means that all collection and enforcement efforts stop. This includes wage garnishment, levies, and installment agreements that you may have already entered into. The most common reasons why the IRS or State would put your account in “CNC” status are:
- Collection would cause economic hardship.
- The statutory period for collection has expired.
- The IRS or State isn’t able to locate the taxpayer or the taxpayer’s assets.
- The taxpayer is deceased, and the debt can’t be collected from the remaining assets.
“CNC” status is not permanent! In most cases, this is a temporary solution to the problem.
Are you facing tax debts? Are you looking for answers to your tax issues with the IRS or the State of South Carolina?
If you need a solution to your problem, give us a call. We can walk you through your situation and discuss the options available to you. You are not alone! We are here to help. Dial 843-771-4791 and ask for SC tax debt attorney John Witherspoon.
REMEMBER…ALL INITIAL CONSULTATIONS ARE FREE!