Bradenton Tax Debt Settlement Lawyer

Bradenton Tax Debt Settlement Attorney

When you owe the Internal Revenue Service (IRS) or the Florida Department of Revenue (DOR) taxes, you must pay these agencies back. If your debt has exceeded your financial ability to repay it, you might be able to negotiate alternate methods of payment that lower how much you owe. A Bradenton tax debt settlement lawyer can help you assess these options and negotiate with the tax agency you owe.

It can be unfortunately easy to fall behind on tax payments, especially when there is a sudden financial or family emergency. If the debt isn’t paid, it can grow from penalties and interest. This can make an otherwise simple tax debt much more significant and harder to repay. For some taxpayers, debt settlement is the only option. Finding the right attorney is essential to protecting your rights.

Managing Tax Debt Settlement Cases With TaxSmith, LLC

For years, our firm has helped taxpayers manage their tax debt. We have seen the many ways that tax debt can accrue over time and how it can affect a taxpayer’s life. Our goal is to help you understand how to handle your tax debt. We answer your questions and concerns and help you find the ideal way to resolve your tax debt.

What Is Tax Debt Settlement?

Tax debt settlement includes several methods to reduce tax debt, eliminate the amount you owe, or give you more time to pay it off.

Only certain taxpayers will qualify for these tax debt settlement options. In most cases, the IRS or Florida DOR expects you to pay the tax debt you owe in full. These agencies are willing to negotiate the debt when you don’t have the financial ability to pay it fully or when paying it would prevent you from paying your basic living needs. In 2024, the IRS helped over 62 million taxpayers.

It’s useful to hire a tax debt settlement lawyer in Bradenton if you need help resolving your tax debt. They can protect your financial interests during the process, potentially saving you money on your debt settlement. When you owe the IRS tax debt, you can discuss your case with a nearby Taxpayer Assistance Center Office. The closest office for Bradenton residents is in Sarasota at 5971 Cattleridge Boulevard.

Options for Debt Settlement

When you owe the IRS back taxes that you cannot pay, there may be several potential methods for resolving it. Some of these include:

• Penalty abatement. In fiscal year 2024, the IRS assessed over $84 billion in civil penalties. Certain tax penalties can be erased from your total tax debt for reasons like a first-time penalty or having a reasonable cause for incurring the debt.
• Installment agreement. This is a payment plan you make with the IRS. It does not remove any of the debt you owe, but gives you more time to repay the debt, pausing most collection actions as you make regular payments.
• Innocent spouse relief. This is a method of tax relief available if the tax debt is your spouse’s or ex-spouse’s, but is considered yours due to joint tax filing. As long as you did not benefit from the money your spouse gained from failing to pay and were unaware of the failure to pay, you could qualify for this relief.
• Currently Not Collectible status. This is a temporary pause on collection actions when you only have a short-term reason preventing you from repaying your debt.
• Offer in compromise. When you negotiate an offer in compromise with the IRS, you can resolve the entire tax liability you owe by paying a lesser amount. This is the most traditional type of debt settlement, but it is tricky to obtain. You must try other options for debt settlement first. The IRS accepted 7,199 offers in compromise in 2024, totaling over $163 million. Few taxpayers qualify, and fewer are approved.

FAQs About Bradenton, FL Tax Debt Settlement Law

Can a Lawyer Help With Tax Debt?

Yes, a lawyer can help with tax debt if they are a tax debt attorney and are licensed to deal with tax agencies. They can assess your financial situation, review your options for debt settlement, and negotiate with the IRS or DOR on your behalf. These agencies are usually open to negotiations when you don’t have the financial ability to pay off your tax debt. An attorney can help you determine financially beneficial options that you are likely to qualify for.

How Much Is a Debt Settlement Attorney?

How much a debt settlement attorney costs depends on the type and amount of debt you owe. When you owe tax debt, there are more options for resolving your debt compared to commercial debt, but it can also be complex to negotiate with the IRS. An attorney manages this for you, and their fees depend on the complexity of your case and the experience of the attorney you hire. Discuss costs with an attorney upfront when you meet for your initial consultation.

Is It Better to Settle a Debt or Go to Court?

Whether it is better to settle a debt or go to court will depend on your situation, including your financial ability and whether there is a genuine case against you by the creditor. Going to court could result in a judgment against you, or the court may determine that the creditor does not have a case. A settlement can save you time, but it can also be complicated to negotiate. It can be beneficial to get advice from a debt settlement attorney.

Is It Worth Getting an Attorney for a Tax Debt Case?

It can be worth getting an attorney for a tax debt case if you can’t pay the debt and need to negotiate a settlement, payment plan, or other way to pay off or reduce your debt. When you work with a licensed tax attorney, they might be able to save you significant money by finding the right option for resolving your debt, freeing up your ability to pay more quickly.

Hire a Tax Debt Settlement Lawyer in Bradenton

When you owe tax debt, agencies can take action to collect the money you owe by garnishing your wages, putting claims on your property, and seizing assets in your bank account. Settling your tax debt can pause or prevent these financially harmful actions. Reach out to TaxSmith, LLC, today to learn how our Bradenton tax debt settlement lawyers can help.