Tax Debt Lawyer Glendale, AZ

Don’t Fight The IRS Alone—Our Glendale, AZ Tax Debt Lawyer Can Help You

Owing taxes is scary; owing back taxes is even scarier. If the Arizona Department of Revenue (ADOR), the IRS, or another tax agency is pursuing you for unpaid taxes, we want to help you. We know that negotiating with the IRS can feel overwhelming for many people. Fortunately, as your Glendale, AZ tax debt lawyer, we can help you, even if you owe the IRS!

The IRS, the ADOR, and other tax agencies aren’t just your run-of-the-mill creditors. They’re government agencies, and they’re first in line to get their money, with the power of the federal government behind them. You need a strong ally to negotiate your tax liability. You need Wright Law Offices. Call us today, don’t put it off.

How Our Attorneys Can Help Settle A Tax Debt With The IRS

Settling your debt with the IRS can happen; sometimes, you can pay less than you initially owed. However, any errors or omissions with your paperwork can delay the process or cause the IRS to reject your offer. Our lawyers prepare your paperwork and can negotiate with the IRS on your behalf.

Your settlement relief starts with submitting a formal Offer-in-Compromise (OIC) to the IRS. Be cautious; the application can be complex and sometimes confusing. We can handle the application on your behalf if you wish. You must meet one of the following criteria for the IRS to approve your application:

• Paying the debt in full would create an economic hardship for you, or full repayment would be inequitable or unfair due to extenuating circumstances, such as a debilitating illness or sudden disability that prevents you from working
• You cannot pay the full amount in a reasonable amount of time, even in installments, rather than a lump sum
• Your tax liability is in dispute. While this is rare, it can happen

Your OIC includes an offer to the IRS to settle your tax debt for less than the full amount you owe. It’s based on your current income and your assets, plus what the IRS calculates as your reasonable earning potential. For example, if the IRS believes that you have a higher earning potential than you state or you have more assets to liquidate to settle your debt, it may reject your initial offer.

Our role is to help develop a realistic offer based on our knowledge of the IRS’s formulas when considering OIC letters. As your Glendale tax debt lawyer, we balance the offer we help you present with an eye toward the most favorable settlement on your behalf. We can also help you get the rest of your financial affairs in order so you can stave off aggressive action from creditors and start working toward your financial goals. Call Wright Law Offices today for a personalized consultation about your tax debt.

Common Strategies For Resolving Tax Debt

Our Glendale, AZ tax debt lawyer assists clients with finding effective tax debt relief options. When faced with tax debt, it is important to take the right steps to address the situation effectively. The IRS and state tax agencies offer several options for taxpayers who need relief. Choosing the best approach depends on factors such as income, assets, and the total amount owed.

Payment Plans As A Practical Solution

One of the most common ways to handle tax debt is through a structured payment plan. The IRS offers installment agreements that allow taxpayers to make monthly payments over time. These agreements are available to those who owe less than a certain threshold and can demonstrate the ability to make regular payments. The length and terms of the plan vary based on the total debt and financial condition.

For larger amounts, a partial payment installment agreement may be an option. This plan reduces the total balance over time, but only if the taxpayer qualifies based on a financial review. A well-structured plan can help prevent further penalties and collection actions.

Settling For Less Than What Is Owed

An Offer in Compromise (OIC) provides an opportunity to settle tax debt for less than the full amount owed. This option is available to individuals who cannot pay their full tax liability without significant financial hardship. The IRS reviews factors such as income, expenses, and asset equity to determine eligibility.

Submitting an OIC requires providing detailed financial documentation and a reasonable offer based on what can realistically be paid. If accepted, the taxpayer agrees to pay the agreed amount either as a lump sum or through a structured payment schedule. This solution is not guaranteed, but when approved, it can significantly reduce the overall tax burden.

Temporary Relief Through A Hardship Status

For those who cannot afford any payments, requesting Currently Not Collectible (CNC) status may be an option. When approved, the IRS temporarily halts collection efforts, allowing time for financial circumstances to improve. While penalties and interest continue to accrue, no immediate payments are required.

CNC status is granted after demonstrating an inability to cover basic living expenses while paying off the debt. According to our Glendale tax debt lawyer, this option does not eliminate tax obligations, but it does provide temporary relief from enforced collection actions.

Reducing Penalties And Interest

Penalties and interest can quickly increase the total amount owed. In some cases, penalty abatement may be available, particularly for those who have a history of timely tax payments. The IRS may remove certain penalties if there is a reasonable cause, such as serious illness or natural disasters.

Interest reductions are more difficult to obtain, but taxpayers may benefit from adjusting their payment methods to minimize further accrual. Negotiating these reductions requires a formal request and supporting documentation.

Choosing The Best Approach

Each tax debt resolution strategy has its own requirements and benefits. The right approach depends on financial circumstances and the amount owed. Our Glendale tax debt lawyer has over ten years of experience in helping clients determine the best course of action to avoid further financial hardship.

If you are facing tax challenges, contact our office at Wright Law Offices for a free consultation. Taking proactive steps today can prevent additional financial strain in the future.