Question 1

What happens if I can't afford to pay my tax debt all at once?

Accepted Answer

You have several options even when you can't pay the full amount immediately. The IRS offers installment agreements that let you pay over time, sometimes for as long as 72 months depending on how much you owe.

We can also explore penalty abatements if you have reasonable cause for not paying on time, which can significantly reduce what you owe. In some cases, an offer in compromise might be possible if you truly can't pay the full debt due to financial hardship.

The key is acting quickly before the IRS starts enforcing collection actions like wage garnishments or bank levies. Once we establish a payment plan, the IRS typically stops aggressive collection efforts while you're making payments.

Question 2

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

Accepted Answer

Simple cases like setting up payment plans can often be resolved within 30-60 days. More complex situations involving audits or offers in compromise typically take 6-12 months, sometimes longer if there are complications.

The timeline depends on several factors: how responsive you are in providing needed documents, the complexity of your tax situation, and how backlogged the IRS is at the time. We work to move things along as quickly as possible while ensuring everything is done correctly.

What's important is that once we start the process, we can often get the IRS to pause collection actions while we work toward a resolution. This gives you breathing room and stops the situation from getting worse while we negotiate.

Question 3

Can you help if I haven't filed tax returns for several years?

Accepted Answer

Yes, unfiled returns are one of our specialties. The IRS becomes increasingly aggressive when returns aren't filed, and they can file substitute returns that often show much higher taxes than you actually owe.

We start by gathering your income documents and preparing the missing returns accurately. This often results in lower tax liability than what the IRS calculated on their substitute returns, and we can get penalties reduced for reasonable cause.

The sooner we file those missing returns, the sooner we can negotiate payment arrangements and get you back into compliance. Waiting only makes the problem worse as penalties and interest continue accumulating on the unfiled returns.

Question 4

What should I do if I receive an IRS audit notice?

Accepted Answer

Don't panic, but don't ignore it either. You typically have 30 days to respond to audit notices, and how you handle the initial response can significantly impact the outcome.

First, gather all records related to the items being questioned in the audit. This includes receipts, bank statements, and any documentation that supports what you reported on your return. Organization is crucial because auditors pay attention to how prepared you are.

We recommend having professional representation for any audit, especially if significant amounts are involved. We can handle all communication with the auditor, help you understand what they're looking for, and negotiate the best possible outcome if adjustments are proposed.

Question 5

How much do tax resolution services cost in Lower Tannersville?

Accepted Answer

Our fees depend on the complexity of your situation and the services needed. Simple payment plan setups cost less than complex audit representation or offers in compromise that require extensive documentation and negotiation.

We provide transparent pricing upfront during your free consultation, so you know exactly what to expect before we start work. We don't charge hidden fees or surprise costs that some firms add later in the process.

Most clients find that professional representation saves them far more than it costs through reduced penalties, better payment terms, and faster resolution. The cost of not resolving tax problems - through accumulating interest, penalties, and collection actions - is usually much higher than getting professional help.

Question 6

Do you handle both federal and Pennsylvania state tax problems?

Accepted Answer

Yes, we handle both federal IRS issues and Pennsylvania Department of Revenue problems. Many taxpayers face challenges with both authorities simultaneously, especially small business owners dealing with payroll taxes and sales tax issues.

Pennsylvania has its own audit procedures and collection processes that differ from federal requirements. We understand both systems and can coordinate resolution strategies that address all your tax obligations efficiently.

Wayne County taxpayers sometimes face additional complications with local tax issues, and we can help navigate those as well. Having one team handle all your tax problems ensures nothing falls through the cracks and all resolutions work together rather than against each other.

Tax Preparation Lower Tannersville, PA