The 2013 tax season is on pace to match 2012 where 148 million returns were filed with almost 38 million of those owing unpaid taxes. Direct Tax Relief (DTR) assists clients who have filed and owe back taxes.
The IRS reported that as of April 18, 2014, the IRS has received more than 131 million returns, of which 88 percent were e-filed. Of those 131 million returns 94,809,000 were due refunds (IR 2014-56).
“That means,” noted DTR’s senior enrolled agent and former IRS revenue officer Maurice Rosaler, “that over 36 million returns already filed this year with the IRS had balances due.”
“So here we already have 36 million taxpayers who owe for the tax year 2013,” pointed out Rosaler who was with the IRS for over eighteen years as a revenue officer and manager, “with another 12 million-plus applying for extensions (IR-2014-49, April 10, 2014). My experience has shown that many of taxpayers who file extensions expect to owe when they do file so that indicates millions more individuals and couples will end up owing back taxes for 2013.”
For instance pointed out DTR’s senior enrolled agent who has been doing tax resolution now for 27 years, in 2012 148,390,000 returns were filed with 110,470,000 due to refunds leaving 37,920,000 returns with balances due and tax year 2013 is on about the same pace.
“That means there are tens of millions of people,” continued Rosaler, “who is going to end up owing the IRS back taxes and don’t know what to do next. Yes, some can pay the balance off but the majority most likely cannot and many of those people will be anxious about what happens next and what their options are and what the IRS can do to them to collect on the delinquent tax.”
Most taxpayers don’t know that there are alternatives available to them if they can’t pay their taxes explained Rosaler.
“The IRS,” Rosaler went on, “is looking out for its best interest and basically wants full pay on the back tax as quickly as possible and does not go into the details of the other options available to taxpayers.”
Rosaler elaborated on some of those options available to taxpayers who have filed their returns but owe on the tax due including extensions to pay; various payment plans depending on the amount of the tax owed and the taxpayer’s financial status; reduction of the liability through penalty abatement; and settlement on the balance due for less than what is owed which is known as an Offer in Compromise.
“Most people don’t know the difference or their options,” said the senior enrolled agent, “and don’t know what to do to handle this crisis in their lives as owing the IRS back taxes is a crisis. This really is rather complicated and the best way to handle it is to get professional help by looking for and retaining a trusted tax relief firm with attorneys and enrolled agents who specialize in the field of tax resolution. The best way is to look for an authentic tax relief firm like Direct Tax Relief which is listed with the BBB with an A rating and zero complaints.”
“The other thing to remember,” Rosaler warned, “is that if you don’t address the issue of owing back taxes and make arrangements then the IRS can take collection action against you such as levy action including attaching your bank accounts or garnishing your wages as well as filing liens against you and your property.
“Tax professionals can help you avoid that,” the 27-year tax resolution veteran stated, “or if your case has already gone that far and the IRS has already levied you or filed liens a tax resolution expert like the ones here at DTR can help and get that garnishment or attachment released and the liens are withdrawn.”
“If you file your return,” concluded Rosaler, “and you owe and can’t pay remember you’re not alone. Last year almost 38 million others had the same problem and for 2013 the number is already at 36 million.
Don’t panic and then do get help from a tax professional. Keep in mind the IRS is looking out for the best interest of the government and you want to get someone to look out for your best interest.”
Direct Tax Relief has extensive experience as a tax debt resolution company and has represented numerous clients since 2007 providing professional legal tax advice to resolve tax matters including Offer in Compromise, levy and garnishment release, appeal penalties, and establishing minimal payment plans to the government.