Question 1

Can I really settle my tax debt for less than I owe?

Accepted Answer

Yes, through the IRS Offer in Compromise program, you can potentially settle your tax debt for a fraction of what you owe. The IRS accepts about 26% of these applications overall, but experienced tax professionals have success rates up to five times higher.

The key is proving to the IRS that you either can't pay the full amount due to financial hardship, or that there's doubt about whether you actually owe the full amount. We analyze your income, expenses, assets, and future earning potential to determine if you qualify and what settlement amount the IRS is likely to accept.

This isn't about hiding money or playing games - it's about using legitimate IRS programs designed to help taxpayers who genuinely cannot pay their full tax liability.

Question 2

What happens if the IRS is already garnishing my wages?

Accepted Answer

We can often stop wage garnishments quickly, sometimes within days of taking your case. The IRS typically garnishes most of your paycheck, leaving you barely enough to survive, which is exactly why immediate action is critical.

First, we contact the IRS to request an immediate release of the garnishment while we work out a permanent solution. Then we negotiate a payment arrangement you can actually afford, or pursue other resolution options like an Offer in Compromise or Currently Not Collectible status.

The key is acting fast. Every day you wait is another paycheck that gets garnished. Once we're representing you, the IRS has to work with us instead of continuing to take your wages.

Question 3

How long does the tax resolution process typically take?

Accepted Answer

Most cases resolve within 3-6 months, though complex situations involving multiple years or business taxes can take longer. The timeline depends partly on which resolution option works best for your situation.

Simple payment plans can often be arranged within weeks. Offers in Compromise typically take 6-12 months because the IRS requires extensive financial documentation and review. Currently Not Collectible status can often be achieved quickly if you clearly qualify due to financial hardship.

What's important is that we stop collection actions immediately when we take your case. Even if the final resolution takes several months, you get relief from garnishments, levies, and collection calls right away.

Question 4

Will this affect my credit score or ability to get loans?

Accepted Answer

Tax liens can definitely hurt your credit score, but resolving your tax problem actually helps your credit long-term. Once we negotiate a resolution and you complete the terms, any liens get released, which improves your credit.

Many of our clients find that their credit scores improve significantly after resolving their tax problems, even if there was a temporary impact from liens or other collection actions. Lenders also view favorably that you took responsibility and resolved the issue professionally.

The worst thing for your credit is letting tax problems go unresolved. The IRS will eventually file liens and levy accounts, which creates much more damage than working out a solution proactively.

Question 5

Can you help with Pennsylvania state tax problems too?

Accepted Answer

Absolutely. We handle both federal and Pennsylvania state tax problems, which is crucial because the state has its own collection powers and procedures. Pennsylvania has gotten stricter with payment agreements in recent years, making professional representation even more important.

We're familiar with Pennsylvania's tax forgiveness program, which can eliminate your state tax liability entirely if you qualify based on family size and income. Many Elmhurst residents qualify for this program but don't know it exists.

We also handle Pennsylvania Department of Revenue audits, appeals, and collection issues. Having someone who understands both federal and state systems means you get coordinated representation instead of dealing with multiple problems separately.

Question 6

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

Accepted Answer

Unfiled returns are actually one of the most serious tax problems because the IRS can assess taxes against you at any time - there's no statute of limitations when you don't file. But we can resolve this situation and often reduce what you end up owing significantly.

First, we prepare and file all your missing returns. We use IRS records and any documentation you have to reconstruct your tax situation for each year. Often, you're entitled to deductions and credits that reduce what you owe, sometimes dramatically.

Then we negotiate payment arrangements or other resolution options based on your actual financial situation. Many people are surprised to discover they owe much less than they feared, or that they qualify for programs that can eliminate penalties and reduce their overall liability.

Tax Resolution Elmhurst, PA