Back taxes are a thing that no one wants to deal with. Whether you are a business owner or an individual who has failed to pay off your taxes from previous years, it is important to take the time to pay these off as soon as possible. From the moment you become late on these taxes, you will start to accrue penalties such as late fees and interest payments. If the amount becomes too large, you could have wage garnishment and levies on your property. Over time, this may seem like too big of a project for you to handle.
Rather than letting your back taxes ruin your life, take the time to hire a professional tax advisor to go over the work with you. The professionals at James Wells can help to take over this issue and get you back on track. Whether you are just a few days late with your payments or you have been avoiding your taxes for years, let our professionals get this taken care of in a way that works best for you.
What are Back Taxes?
Back taxes are basically any taxes that you have not paid even though they are past due. Your tax bill becomes back taxes the day after tax season is over, so as early as April 16. If you miss by a day, you may have to pay a bit more in interest for that one day, so it is not a big deal. But most people who have back taxes have avoided paying taxes for a long time and are now several years behind in the process. They could have very large tax bills that they are not able to pay. Even if they would like to start paying this money back, they may be worried that the amount is too big or that the IRS is going to come down hard on them for missing payments.
While it is a serious matter to be late on your taxes, there are some options set up to help you get this taken care of. Let the professionals at James Wells take over your tax return and get that tax bill back to size.
Ways to Pay Back Taxes
There are several ways to pay off your back taxes. The easiest one is to just pay it all off in one lump sum. This does not require for you to contact the IRS at all and you can avoid any more late fees and penalties. But if you have avoided paying your taxes for this long, there is probably some reason and usually it is because you are not able to afford that much all at once. Luckily, there are a few other options that you can choose to go with.
The first option is to set up a payment plan with the IRS. The professionals at James Wells Tax Office will be able to go through and come up with a payment plan that will fit well into your budget. We will then help to present this to the IRS to give you the best outcome. If the IRS approves your request, it is important to stay on the payment plan and get the taxes paid off at once.
If it has been a few years since you paid your taxes and the bill is just too high to handle, we can work with you to create an offer in compromise. This is when we look at your income and figure out how much you can reasonably afford to pay based on your current situation. We will then submit this for approval to the IRS. This helps you to get a lower tax payment overall and can make it easier to pay. You can also choose to either make payments or pay it all off at once. This is a great option if you have had something change in your financial life, such as unemployment or a disability.
Each option has its benefits and its negatives so you will have to find the one that is going to work the best for your situation. Our professionals will be able to sit down and talk over the options with you so you can make the best choice for your situation. We can also talk to the IRS for you to help make this process easier and to get the results that you are looking for.
Getting Professional Help
Often one of the most difficult things to do is figure out how to pay these taxes. Most people are scared to talk to the IRS. They see this as a big scary institution that will come down hard on them and make it impossible to come up with a deal. This is why it is so important to hire a professional to help you out. The processions at James Well Tax Offices will be able to talk to the IRS for you. We have the experience needed to get you the best deal possible on your taxes so you can get them paid off in full without having to be scared any more.
When you need help with your tax issues and don’t know which way to turn, make sure to contact Jim Wells with James Wells EA MBA Tax Office in Santa Cruz, CA. Our professionals will be able to take over your case and get a positive resolution in no time at all and for a price you can afford. Contact us today to get started.
James Wells EA MBA Tax Office
