Tax debt occurs when you forget to file or pay your taxes, it may also occur when there is a mistake made during the filing process. When mistakes happen on your taxes the IRS may say that you owe money as a result of that. One of the biggest myths about debt is the idea that taxes are immune to debt-relief strategies like creditor negotiation and bankruptcy. Although the IRS is arguably the most intimidating debt collector in existence, our attorney at the Napoleon Law Firm, PLLC has spent years helping clients manage and even reduce their overwhelming tax debt.
Taxes are, however, one of the most difficult forms of debt to discharge. As such, you will need assistance from someone with a combined background in finance and law. While many consumers trust financial representatives like Certified Public Accountants with their most important information, Attorney Yancey has handled countless cases in which CPAs could not handle the legal implications of a highly complex situation. A financial representative may understand how to do your taxes, but our attorney knows the ins and outs of all surrounding laws and can work them to your advantage.
Ready to see what our Memphis tax debt relief lawyer can do for you? Call us today.
Tax debts can be incredibly overwhelming. Let's work together toward a solution.
Discharging tax debt may be the first form of relief that comes to mind, but we can employ a broad variety of strategies if you are in need of tax resolution.
We handle cases involving all of the following:
Abatement of tax penalties. Did you know that tax penalties often make up nearly a third of a person's tax debt? Even if we are unable to discharge your original tax debt, we may be able to secure an abatement, which is a lessening or complete elimination of the penalties you incurred over time. If interest accrued on the penalty, the abatement may eliminate the interest as well.
Currently Not Collectible (CNC) status. CNC status is like the automatic stay invoked by bankruptcy. If the IRS grants you CNC status, all collection actions (e.g. levies, wage garnishments, etc.) will cease. The IRS will grant this status to people who cannot pay both their taxes and their basic living expenses. You will, however, continue to receive an annual bill, and you may still accrue penalties and interest.
Innocent spouse claims. When a married couple files a joint tax return, both people become equally responsible for their tax debt and any subsequent penalties or interest—even if the couple divorces, or if only one spouse earned the taxable income. If you have been held accountable for your spouse's (or ex-spouse's) tax debt, you may qualify for innocent spouse relief, separation of liability, or equitable relief.
Offers in Compromise. When you owe the IRS, it may accept less than what you owe if you make an Offer in Compromise (OIC). The OIC program is designed to fulfill what is best for both the taxpayer and the government. While the acceptance rate is generally 40%, you can significantly raise your chances of success if you retain qualified support.
Payment/installment agreements. If you owe less than $100,000, the IRS will very likely accept your request for a payment plan or installment agreement. This option benefits taxpayers who are unable to pay off their debt in full. If your debt exceeds this amount, you may still qualify, but you will need to present your case carefully and submit extensive documentation.
Tax liens and levies. A tax lien is essentially a claim against you by the federal government when you don't pay your taxes. Typically, tax liens are not public, and the IRS is not obligated to record a tax lien before levying (i.e. taking) your property. The levying process may involve seizing your real or personal property to cover your tax debt. Levies are preventable, however, and Attorney Yancey can quickly assess your situation to determine the best course of action to help you keep your property.
Wage garnishment. Wage garnishment is a collection action in which the IRS orders your employer to withhold a portion of your wages until you no longer owe taxes. Some individuals who experience IRS wage garnishment are left with only a few hundred dollars per month. If you are facing wage garnishment, our firm can help you implement the defensive strategy you need.
IRS and state tax disputes. When you owe the IRS or state government, they may invoke aggressive collection strategies that could threaten your ability to make ends meet. No matter the type of collection action you face nor the strategy we employ on your behalf, the Napoleon Law Firm, PLLC has the financial skills and legal knowledge needed to help you navigate this high-stakes dispute.
As they say, nothing is certain except death and taxes. With our attorney's counsel and representation, however, you may no longer face a lifelong struggle with tax debt. With meticulous attention to detail and passion for assisting consumers in the fight against the IRS, our attorney has what you need to regain control over your financial future.
Due to COVID-19, we now offer consultations via email, phone, or video. Call us or fill out our online contact form to request yours today!