Behind on Taxes? Learn How the IRS Will Work with You
Uncollectible Status
One option that you will have if you are behind on payments with the IRS is to apply for uncollectible status. With uncollectible status you could end up having your penalty waived altogether, or the IRS will delay your payments for a specified period of time.
Receiving uncollectible status from the IRS will require you to apply and discuss your situation with the IRS. Generally speaking, if you can show that paying your tax bill will bankrupt you, threaten your ability to pay your mortgage or rent, or cause another unreasonable risk, you could qualify for uncollectible status.
Negotiated Settlement and Plan
If you owe the IRS for back taxes, another helpful solution can be to negotiate a settlement and repayment plan. The IRS is always willing to work with you and negotiate your individual situation. This can include working together to develop a repayment plan that will work for you. This can often include waiving all fees and interest charges and delaying payments until you are back on your feet.
Contact Civic Tax Relief for more information on working with the IRS if you’re behind on taxes.