Question 1

How long does it typically take to resolve tax problems with the IRS?

Accepted Answer

The timeline depends entirely on your specific situation and which resolution option works best for you. Simple installment agreements can be set up within a few weeks once we have all your information. More complex cases like Offer in Compromise settlements typically take 6-12 months because the IRS requires extensive financial documentation and review.

What matters most is that we stop collection actions quickly. Once we establish representation, the IRS typically halts garnishments and levies while we work on your resolution. So while the final settlement might take months, the immediate pressure usually stops within days of us taking your case.

Question 2

Can you really settle tax debt for less than what I owe?

Accepted Answer

Yes, through the IRS Offer in Compromise program, but it's not automatic and it's not for everyone. The IRS accepts about 26% of these applications, and they require extensive financial documentation to prove you either can't pay the full amount or that paying would create genuine financial hardship.

We evaluate your income, expenses, assets, and future earning potential to determine if you're a good candidate before we recommend this route. If you qualify, we handle all the complex paperwork and negotiations. If you don't qualify for an Offer in Compromise, we explore other options like installment agreements or Currently Not Collectible status that might work better for your situation.

Question 3

What happens if I haven't filed tax returns for several years?

Accepted Answer

Unfiled returns are actually one of the most common problems we handle, and the IRS takes them seriously because they increase your total tax liability through penalties and interest. The good news is that getting compliant is usually straightforward once you have professional help.

We start by determining which years need to be filed and gathering all necessary documentation. If you're missing W-2s or 1099s, we can request transcripts from the IRS. We prepare all the back returns, file them properly, and then negotiate payment arrangements for any balance due. The key is addressing this quickly because the IRS can file substitute returns on your behalf, and those almost always result in higher tax bills than if you file yourself.

Question 4

How do I know if a tax resolution company is legitimate?

Accepted Answer

This is a smart question because there are unfortunately many scams in this industry. Legitimate tax resolution firms will never guarantee specific outcomes, demand large upfront fees, or pressure you to sign immediately. They should have proper credentials, a physical office location, and be willing to explain their fee structure clearly.

At All County Tax Resolution, we're a QuickBooks Gold Level ProAdvisor with an established office in Lake Ariel. We offer consultations where we assess your situation honestly - sometimes that means telling you that you don't need our services. We credit consultation fees toward resolution work if you hire us, and we never make promises about outcomes we can't control.

Question 5

What's the difference between federal and Pennsylvania state tax problems?

Accepted Answer

Federal and state tax problems are handled by different agencies with different rules and procedures. The IRS handles federal taxes, while the Pennsylvania Department of Revenue handles state taxes. Pennsylvania has become stricter with payment agreements in recent years, and their appeal periods work differently than federal procedures.

State tax problems can actually move faster than federal issues - Pennsylvania often acts more aggressively on collection, but they also sometimes offer quicker resolution options. We handle both federal and state tax problems, and often clients have issues with both agencies simultaneously. The key is coordinating the resolution strategies so one doesn't interfere with the other.

Question 6

Can you stop wage garnishments and bank levies immediately?

Accepted Answer

In most cases, yes, but the process varies depending on whether it's a federal or state garnishment. Once we establish power of attorney representation with the IRS, we can usually get levies released quickly by demonstrating that we're working on a resolution. Pennsylvania state garnishments follow different procedures but can often be stopped through similar representation.

The key is acting fast. If you've received a final notice of intent to levy, you typically have 30 days before collection actions begin. Even if garnishments have already started, establishing professional representation and showing good faith effort to resolve the debt usually stops further collection while we negotiate. Time is critical, which is why we prioritize these emergency situations and can often take action within 24-48 hours of being retained.

Tax Preparation Avoy, PA