Are you caught up with your taxes?
Late or incomplete taxes can have serious repercussions. Wondering what the IRS can do?
For one, the Internal Revenue Service (IRS) has the authority to collect portions of employee wages, before you are able to even see or touch them, directly from your employer.
As if that is not bad enough, tax debt problems can become so severe that the IRS is able impose a levy, which is a fancy term for seizing your personal property as compensation for taxes you have not paid.
But there are things you can do and steps you can take when you are plagued with Irs problems.
1. Give Yourself a Break
Sometimes, or depending on who you are talking to a lot of the time, taxes do not make sense.
Taxes can seems confusing and arbitrary. In Chicago, taxes for fountain sodas are up to nine percent. But, if you purchase the same soda in a can or a bottle, you will only be paying three percent tax. Confusing, right?
You are not the only one confused, and problems with IRS and back taxes are more common than you think.
2. Learn About Taxes
Help with irs tax debt problems can start by understanding what taxes you are paying and why. Even if you only understand a little bit.
For example, one helpful thing to know is who you are paying to and how much tax you are paying in each instance. In 1787, the United States Constitution granted the federal government permission to impose and collect taxes. The Constitution, however, also mandated that some of these taxes would be paid to the states. States with higher populations are paid a greater amount of these taxes.
3. Know Your Options
Many need help paying and dealing with the IRS and back taxes. Thanks to the Fifth Amendment, local and federal US governments cannot seize property without first undergoing due process of law.
That gives those in debt with the IRS time to seek help and learn more about the IRS and back taxes. Check out this site for more: problemswithirs.org