IRS Debt Negotiation

Effective Debt Negotiations with the IRS

Simply mentioning the Internal Revenue Service is enough to bring up feelings of fear and worry in most consumers, and owing them money can understandably be quite stressful. In contrast to other debt collectors, the IRS has the ability to take severe actions against their debtors. The potential consequences can be wage garnishments, frozen bank accounts and other assets, and even criminal charges in some circumstances. Needless to say, owing Uncle Sam money is not something that should be taken lightly and requires immediate action.

Consumers often will receive a statement or demand from the Internal Revenue Service that details the amount owed. The total is often much higher than anticipated due to the fact that penalties and interest are added in as well as the original debt. While some individuals attempt to make payment arrangements, the monthly required payments are often not manageable and will typically result in a delinquency sooner or later. The most important thing for consumers to do in this situation is collect all received paperwork and statements and total them up. IRS debt negotiation can only be approached once an individual is able to determine exactly how much they owe and why they owe the money.

After determining exactly how much the IRS claims is owed, a wise consumer will seek a professional tax problem attorney or a CPA or Enrolled Agent (EA) who is familiar with tax problem resolution. Immediately!  Although it may be possible to negotiate with credit card companies and other financial institutions, the Internal Revenue Service will very seldom pay any attention to an individual that is trying to enter debt negotiations without legal representation. Nobody would ever make a conscious decision to face criminal charges without a lawyer, but this is exactly what uninformed consumers are doing if they approach the IRS alone.

Effective IRS debt negotiation will help reduce the amount of money that is owed and can even result in a total payment that is merely pennies on the dollar. Any wage garnishments or tax liens can be removed and a consumer can take the necessary steps to get back on track and move on with their life. The severe stress that is associated with undealing with the Internal Revenue Service will be alleviated, but only if the process is handled appropriately by a qualified and experienced professional.