Offer in Compromise Resolves $40,000 Tax Debt

Offer in Compromise Resolves $40,000 Tax Debt

Mr. J came to Professional Tax Resolution through a referral form a close friend. With a wedding on the horizon, he was looking for a reputable tax resolution firm that could help him clear up his back tax issues in a quick and efficient manner so that he would have a clean slate going into his new marriage. Although the initial contact was though email, Mr. J immediately set up a face to face meeting with our tax professionals. Upon his own admission, he had failed to file his income tax returns for the previous two years because he could not afford to pay the tax balances owed. At the time of our first meeting with him, he had accumulated an outstanding tax balance of over $41,000, an amount that he was unable to pay.

Our tax specialists immediately sprang in to action, submitting his past due tax returns and evaluating possible methods for resolving his outstanding tax liability. After a complete financial analysis which showed that that Mr. J did not have the current income or the available assets to pay the full amount of his accumulated tax debt, our tax professionals decided that he would be a good candidate for an IRS Offer in Compromise. Having determined that his income and expenses together with the amount of his back tax balance fell within guidelines established by the Fresh Start Initiative, our firm prepared and submitted an Offer in Compromise proposal for a settlement amount of $6180. Following a two month waiting period, this settlement amount was accepted by the IRS with no objections.

The case of Mr. J highlights the importance of using a knowledgeable and experienced tax resolution firm when resolving a back tax balance with the IRS. In order to successfully resolve his back tax issues, our tax specialists completed a thorough analysis of his financial situation in addition to making an accurate determination of the exact amount of his tax debt. Following this, we applied our knowledge of the specific Offer in Compromise eligibility criteria in order decide whether he would be a good candidate for this particular tax settlement option. Once this had been determined, our professionals completed and submitted the Offer in Compromise request according to the strict guidelines established by the IRS. As we do for all of our clients, we did the necessary footwork to present Mr. J’s best offer upfront in order to minimize negotiations and not allow the IRS any room to question his financials. With our help, Mr. J is now tax free and ready to begin his life with his new bride.

If you have tax questions or a tax debt you are unable to pay, our tax settlement professionals are happy to discuss your tax resolution options free of charge. For more information about our services, visit us today at www.professionaltaxresolution.com or call us at 877.889.6527. With over 16 years in the business of resolving tax debt, we have a thorough understanding of tax law together with the experience to know which settlement option will be the best fit for your specific set of circumstances.