Question 1

How much can I actually save on my tax debt in Pennsylvania?

Accepted Answer

The amount you can save depends on your specific financial situation and the type of tax debt you have. We've helped clients reduce tax debts by up to 95% through offers in compromise, but that's not typical for everyone.

More commonly, we help clients set up payment plans that fit their budget, remove penalties that can account for 25-50% of what you owe, and stop the accumulation of additional interest and fees. For Mount Cobb residents dealing with both federal and state tax issues, we often resolve multiple problems simultaneously, which can result in significant overall savings.

The key is acting quickly. Every month you wait, penalties and interest continue to grow, making your situation more expensive to resolve.

Question 2

Will the IRS really accept a lower amount than what I owe?

Accepted Answer

Yes, but only under specific circumstances. The IRS accepts offers in compromise when they determine you can't pay the full amount, or when paying the full amount would create financial hardship.

We analyze your income, expenses, assets, and future earning potential to determine if you qualify. The IRS has strict formulas they use, and most applications get rejected because they're not prepared correctly or don't include required documentation.

Our team knows exactly how to present your case to maximize your chances of acceptance. We've been doing this for years and understand what the IRS looks for in approved applications. If an offer in compromise isn't realistic for your situation, we'll tell you upfront and recommend better alternatives.

Question 3

How long does tax resolution actually take in Pennsylvania?

Accepted Answer

Simple payment plans can be set up in 30-60 days. More complex resolutions like offers in compromise typically take 6-12 months, sometimes longer if the IRS requests additional documentation.

The timeline depends on several factors: the type of resolution you're pursuing, how quickly you provide required documents, and current IRS processing times. Pennsylvania state tax issues often resolve faster than federal cases.

We provide realistic timeframes upfront and keep you updated throughout the process. While you're waiting for final resolution, we work to stop collection actions immediately, so you get relief from garnishments and levies right away. The key is starting the process as soon as possible.

Question 4

What happens if I can't afford to pay anything right now?

Accepted Answer

The IRS has hardship programs for people who genuinely can't pay. If paying your tax debt would prevent you from meeting basic living expenses, you may qualify for Currently Not Collectible status.

This temporarily stops IRS collection actions while you get back on your feet. However, interest continues to accrue, and the IRS reviews your case periodically to see if your situation improves.

We help determine if hardship status is your best option or if there's a better path forward. Sometimes a small monthly payment plan is more beneficial long-term than hardship status. We analyze your complete financial picture and recommend the strategy that makes the most sense for your Mount Cobb household's specific circumstances.

Question 5

Can you help with Pennsylvania state tax problems too?

Accepted Answer

Absolutely. Pennsylvania state tax problems often go hand-in-hand with federal issues, and we resolve both simultaneously. This includes state income tax debt, business tax problems, and issues with local earned income taxes that many Wayne County municipalities collect.

Pennsylvania has its own payment plan options, settlement programs, and penalty abatement procedures. The state can also garnish wages and seize assets, just like the IRS.

We understand Pennsylvania's tax structure, including the flat 3.07% income tax rate and how local municipality taxes affect your total burden. Mount Cobb residents sometimes face multiple tax authority issues at once, and we coordinate resolution efforts to get you the best overall outcome while minimizing costs and complexity.

Question 6

How do I know if I should handle this myself or hire help?

Accepted Answer

If you owe less than $10,000 and can afford monthly payments, you might be able to set up a payment plan yourself through the IRS website. But if you're facing wage garnishments, have complex financial situations, or owe substantial amounts, professional help usually saves you money in the long run.

The IRS rejects most offer in compromise applications because they're not prepared correctly. Penalty abatement requests require specific legal arguments and documentation. Audit representation demands knowledge of tax law and IRS procedures.

Consider the cost of mistakes. Getting denied for programs you actually qualify for, accepting payment plans that are too high, or missing deadlines can cost you thousands more than professional fees. We see the results when people try to handle complex cases alone – they usually end up paying more and taking longer to resolve their problems.

Tax Resolution Mount Cobb, PA