{"id":7688,"date":"2023-10-23T09:28:51","date_gmt":"2023-10-23T09:28:51","guid":{"rendered":"https:\/\/authorityarrow.com\/?p=7688"},"modified":"2023-10-23T09:28:54","modified_gmt":"2023-10-23T09:28:54","slug":"what-are-the-common-ways-law-advocates-can-help-you-reduce-your-tax-debt","status":"publish","type":"post","link":"https:\/\/authorityarrow.com\/what-are-the-common-ways-law-advocates-can-help-you-reduce-your-tax-debt\/","title":{"rendered":"What Are The Common Ways Law Advocates Can Help You Reduce Your Tax Debt?"},"content":{"rendered":"\n<p>Taxes: a subject that fills many of us with dread. While paying taxes is an inescapable reality of life, what if you find yourself owing more than you can afford? <\/p>\n\n\n\n<p>Sometimes, circumstances can lead to mounting tax debt, making it nearly impossible for individuals to see a way out. <\/p>\n\n\n\n<p>But fear not, for this is where tax law advocates come into the picture. These professionals are trained to help you navigate the intricate labyrinth of tax laws and find the best ways to reduce or even resolve your tax debt.<\/p>\n\n\n\n<p>If you&#8217;re drowning in tax debt, here are some common strategies employed by law advocates to help provide relief:<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_47_1 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"ez-toc-toggle-icon-1\"><label for=\"item-6644eead58fca\" aria-label=\"Table of Content\"><span style=\"display: flex;align-items: center;width: 35px;height: 30px;justify-content: center;direction:ltr;\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/label><input  type=\"checkbox\" id=\"item-6644eead58fca\"><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/authorityarrow.com\/what-are-the-common-ways-law-advocates-can-help-you-reduce-your-tax-debt\/#Negotiating_An_Offer_In_Compromise_OIC\" title=\"Negotiating An Offer In Compromise (OIC)\">Negotiating An Offer In Compromise (OIC)<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/authorityarrow.com\/what-are-the-common-ways-law-advocates-can-help-you-reduce-your-tax-debt\/#Setting_Up_An_Installment_Agreement\" title=\"Setting Up An Installment Agreement\">Setting Up An Installment Agreement<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/authorityarrow.com\/what-are-the-common-ways-law-advocates-can-help-you-reduce-your-tax-debt\/#Applying_For_Temporary_Hardship\" title=\"Applying For Temporary Hardship \">Applying For Temporary Hardship <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/authorityarrow.com\/what-are-the-common-ways-law-advocates-can-help-you-reduce-your-tax-debt\/#Penalty_Abatement\" title=\"Penalty Abatement\">Penalty Abatement<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/authorityarrow.com\/what-are-the-common-ways-law-advocates-can-help-you-reduce-your-tax-debt\/#Bankruptcy_Filing\" title=\"Bankruptcy Filing\">Bankruptcy Filing<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/authorityarrow.com\/what-are-the-common-ways-law-advocates-can-help-you-reduce-your-tax-debt\/#Defending_Against_IRS_Liens_And_Levies\" title=\"Defending Against IRS Liens And Levies\">Defending Against IRS Liens And Levies<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/authorityarrow.com\/what-are-the-common-ways-law-advocates-can-help-you-reduce-your-tax-debt\/#Assisting_With_Audit_Reconsiderations\" title=\"Assisting With Audit Reconsiderations\">Assisting With Audit Reconsiderations<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/authorityarrow.com\/what-are-the-common-ways-law-advocates-can-help-you-reduce-your-tax-debt\/#Conclusion\" title=\"Conclusion\">Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Negotiating_An_Offer_In_Compromise_OIC\"><\/span><a><\/a><strong>Negotiating An Offer In Compromise (OIC)<\/strong><strong><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>One of the most sought-after solutions when it comes to reducing tax debt is the Offer in Compromise. This strategy involves the taxpayer and the IRS reaching an agreement to settle the tax debt for less than what is owed. <\/p>\n\n\n\n<p>For those who genuinely can&#8217;t pay their full tax liability, this can be a lifesaver. But securing an OIC isn&#8217;t a straightforward process.<\/p>\n\n\n\n<p>It demands a thorough understanding of the rules and an ability to convincingly present one&#8217;s financial situation. <\/p>\n\n\n\n<p>This is where tax law advocates come in handy. Firms <a href=\"https:\/\/taxlawadvocates.com\/the-irs-fresh-start-program\/\" target=\"_blank\" rel=\"noreferrer noopener\"><u>such as Tax Law Advocates<\/u><\/a>\u00a0possess the expertise to navigate this terrain and improve your chances of having your offer accepted.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Setting_Up_An_Installment_Agreement\"><\/span><strong>Setting Up An Installment Agreement<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full is-resized\"><img loading=\"lazy\" decoding=\"async\" width=\"624\" height=\"416\" src=\"https:\/\/authorityarrow.com\/wp-content\/uploads\/2023\/10\/image-1.png\" alt=\"\" class=\"wp-image-7691\" style=\"aspect-ratio:1.5;width:840px;height:auto\" srcset=\"https:\/\/authorityarrow.com\/wp-content\/uploads\/2023\/10\/image-1.png 624w, https:\/\/authorityarrow.com\/wp-content\/uploads\/2023\/10\/image-1-300x200.png 300w\" sizes=\"(max-width: 624px) 100vw, 624px\" \/><figcaption class=\"wp-element-caption\">source: Pexels\u00a0<\/figcaption><\/figure><\/div>\n\n\n<p>If paying your tax debt all at once seems impossible, you can opt for an installment agreement. This allows you to make monthly payments towards your tax liability over time.<\/p>\n\n\n\n<p>Tax law advocates can help negotiate a favorable monthly payment amount that aligns with your financial situation. They ensure that while you&#8217;re working to settle your debt, you&#8217;re not strained beyond your means.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Applying_For_Temporary_Hardship\"><\/span><a><\/a><strong>Applying For Temporary Hardship <\/strong><strong><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>In cases where you genuinely cannot afford to pay anything towards your tax debt due to severe financial hardship, the IRS might declare your account as &#8220;Currently Not Collectible&#8221; (CNC).<\/p>\n\n\n\n<p>This means the IRS temporarily halts attempts to collect your debt. While this doesn&#8217;t erase what you owe, it provides breathing room until your financial situation improves. A tax advocate can guide you in assembling the necessary documentation and arguing your case effectively to the IRS.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Penalty_Abatement\"><\/span><a><\/a><strong>Penalty Abatement<\/strong><strong><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Sometimes, a significant portion of tax debt comprises penalties rather than the original tax owed.<\/p>\n\n\n\n<p>If you have a legitimate reason for not meeting your tax obligations on time (such as a personal crisis, natural disaster, or lack of understanding), you might qualify for <a href=\"https:\/\/www.irs.gov\/payments\/penalty-relief\" target=\"_blank\" rel=\"noreferrer noopener nofollow\"><u>penalty abatement<\/u><\/a>. Law advocates can aid in making a compelling case for the removal of these penalties.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Bankruptcy_Filing\"><\/span><a><\/a><strong>Bankruptcy Filing<\/strong><strong><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"624\" height=\"416\" src=\"https:\/\/authorityarrow.com\/wp-content\/uploads\/2023\/10\/image-2.png\" alt=\"\" class=\"wp-image-7692\" srcset=\"https:\/\/authorityarrow.com\/wp-content\/uploads\/2023\/10\/image-2.png 624w, https:\/\/authorityarrow.com\/wp-content\/uploads\/2023\/10\/image-2-300x200.png 300w\" sizes=\"(max-width: 624px) 100vw, 624px\" \/><figcaption class=\"wp-element-caption\">source: Pexels\u00a0<\/figcaption><\/figure><\/div>\n\n\n<p>As a last resort, some taxpayers consider filing for bankruptcy to discharge their tax debts. However, not all tax debts are dischargeable, and there are strict criteria to be met.<\/p>\n\n\n\n<p>It&#8217;s crucial to understand which taxes can be eliminated through bankruptcy and how it will impact your overall financial health. Tax law advocates can provide clarity on these issues and guide you on the best path forward.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Defending_Against_IRS_Liens_And_Levies\"><\/span><a><\/a><strong>Defending Against IRS Liens And Levies<\/strong><strong><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Failing to pay your tax debt can result in the IRS placing a lien on your assets or even levying (seizing) them. These actions can be financially and emotionally devastating.<\/p>\n\n\n\n<p>Tax advocates can challenge these measures, negotiate with the IRS on your behalf, and work towards a solution that prevents such drastic actions.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Assisting_With_Audit_Reconsiderations\"><\/span><a><\/a><strong>Assisting With Audit Reconsiderations<\/strong><strong><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>If you believe the IRS made errors during an audit, leading to an inflated tax debt, you can request <a href=\"https:\/\/www.irs.gov\/pub\/irs-pdf\/p3598.pdf\" target=\"_blank\" rel=\"noreferrer noopener nofollow\"><u>an audit reconsideration<\/u><\/a>. This process involves presenting new or previously unconsidered information that supports your case. A seasoned tax law advocate can help identify these avenues and champion your cause during the reconsideration.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span><a><\/a><strong>Conclusion<\/strong><strong><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Tax debt can feel overwhelming, but it&#8217;s essential to remember that there are avenues available for relief. Seeking the expertise of tax law advocates can be a game-changer. These professionals are equipped to evaluate your situation, recommend the best strategies, and negotiate on your behalf, ensuring you get the best possible outcome.<\/p>\n\n\n\n<p>So, before panicking about that looming tax debt, consider consulting with a tax advocate who can help guide you to a brighter financial future.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Taxes: a subject that fills many of us with dread. While paying taxes is an inescapable reality of life, what if you find yourself owing more than you can afford? Sometimes, circumstances can lead to mounting tax debt, making it nearly impossible for individuals to see a way out. But fear not, for this is [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":7689,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[],"_links":{"self":[{"href":"https:\/\/authorityarrow.com\/wp-json\/wp\/v2\/posts\/7688"}],"collection":[{"href":"https:\/\/authorityarrow.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/authorityarrow.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/authorityarrow.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/authorityarrow.com\/wp-json\/wp\/v2\/comments?post=7688"}],"version-history":[{"count":2,"href":"https:\/\/authorityarrow.com\/wp-json\/wp\/v2\/posts\/7688\/revisions"}],"predecessor-version":[{"id":7693,"href":"https:\/\/authorityarrow.com\/wp-json\/wp\/v2\/posts\/7688\/revisions\/7693"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/authorityarrow.com\/wp-json\/wp\/v2\/media\/7689"}],"wp:attachment":[{"href":"https:\/\/authorityarrow.com\/wp-json\/wp\/v2\/media?parent=7688"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/authorityarrow.com\/wp-json\/wp\/v2\/categories?post=7688"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/authorityarrow.com\/wp-json\/wp\/v2\/tags?post=7688"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}