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Q. What is tax relief?

A.  Tax relief is a generalized term that covers dozens of tax laws and program created by the IRS and State taxing authorities. For example, one may have their debts reduced by up to 99% of what owed. Penalty abatement is another commonly used program that allows for a reduction in penalties and in more rare cases a reduction of interest. Tax relief isn’t only limited to individual debts, but also to any business entity. Contact us today to find out which program you qualify for.

Q. How do I qualify?

A.  There are many different ways in which a business or individual may qualify to receive help. There are three important factors that the IRS looks at when reducing a tax bill and these are: Income, expenses and assets. Another example could be health issues, emotional distress, bad accounting advice, and natural disasters to name a few. To view a more detailed explanation of the different tax laws please view our services tab or call us Toll Free: + 1 (800) 680-6095

Q. Can you help me if I’m not local?

A.  Yes, we are licensed to represent clients in all 50 states. Everything with the IRS and State taxing authorities is done through phone, fax and email. Most people don’t know that hiring someone that’s not local to you is in fact cheaper. This is because you don’t have to pay an hourly rate to have representation. Also, 90% of business these days is done through different methods of technology.

Q. How long does this take?

A.  Depending on the complexities involved, case completion can vary from one week to 120 days. This mainly depends on how quickly our clients can return documentation and what type of program they qualify for. We have been recognized for having the quickest turn around time in the industry amongst our competitors.

Q. What is Offer In Compromise?

A.  An Offer in Compromise is an agreement between the taxpayer and the IRS that allows the taxpayer to settle their tax debt for less than the amount owed. This program may reduce the tax debt, including penalties and interest, of taxpayers who cannot afford to repay the full amount.

If a taxpayer qualifies for an Offer in Compromise, the IRS will substantially reduce the tax debt. A tax debt can be legally compromised for one of the following reasons:

  • Doubt as to Collectability: There is some doubt as to whether the IRS is able to collect from a taxpayer within the Statute of Limitations.
  • Doubt as to Liability: There is a doubt as to whether the taxpayer actually owes debt to the IRS.
  • Effective Tax Administration: The taxpayer has sufficient assets to pay in full but, due to an unusual situation, a payment would create an economic hardship that would be unfair or inequitable.

Q. How do Installment Agreement works?

A.  A taxpayer agrees to make regular monthly payments to the IRS until the balance is paid in full when they agree to an Installment Agreement. The IRS calculates the amount of the monthly payment for each person based off of the taxpayer’s income, allowable monthly expenses, and the time remaining in their Statute of Limitations.

An Installment Agreement can be affordable due to taxpayers paying the back taxes to the IRS over a period of time based on their monthly income and expenses. However, taxpayers should be aware the IRS charges penalties and interest on the amount of tax debt that is yet to be paid. To set up an Installment Agreement, taxpayers will need to be in compliance, ensuring all required tax returns are filed.

AMERICAN ACCOUNTING SERVICES INC. network suggests taxpayers to determine the largest monthly payment they can make to quickly satisfy the tax debt and save money on interest.

The IRS approval will largely be based on the income, assets and liabilities of the taxpayer.

Q. Can you help me with Un-filed Taxes?

A.  Yes, If a taxpayer neglects to file their taxes every year, the IRS will file a tax return for them using a Substitute for Return. These filings usually do not contain many of the tax deductions or credits a taxpayer may qualify for. This also may leave the taxpayer with a tax debt.

When the IRS sends a “Notice of Demand for Payment” letter, it is an opportunity for a taxpayer to make arrangements for repayment of the tax debt before any IRS collection actions are taken. If a taxpayer fails to reach an agreement with the IRS, the IRS will commence collections.

The IRS has the authority to take collection actions against a taxpayer’s wages, bank account, property, and assets when a taxpayer has an outstanding tax debt. If the tax debt remains unpaid after notification, the IRS will take a variety of measures to satisfy the debt, including:

  • Tax Lien
  • Tax Levy
  • Wage Garnishment

It's essential that all taxpayers are fully up-to-date on all their filings. American Accounting Services INC helps different taxpayers, such as W2 employees, self-employed filers, independent contractors, and small-businesses file all past years to lower or possibly eliminate a tax debt.

Q. Can you help me with Amending Prior Returns?

A.  Yes, In most cases clients have filed their taxes using either an online software or an accountant who isn't aware of tax law changes. We can amend your taxes with your provided documentation to reduce your debt or in most cases provide a REFUND!

Q. What is An IRS Tax Lien?

A.  An IRS tax lien is a claim against a taxpayer’s property or person used as collateral for a tax debt. This is done to ensure funds made from the property are applied the IRS debt. An IRS tax lien will show on a taxpayer’s credit, as well as be public record for creditors, banks, and other financial institutions.

A tax lien is one of the aggressive collection actions of the IRS to fulfill an unpaid tax debt. It is attached to all property, and to all rights to property, such as accounts receivable, for business owners. The claim extends to property acquired after filing the tax lien as well. After a tax lien has been filed, the taxpayer is limited when it comes time to sell or refinance the property.

The IRS cautions that credit ratings have a chance of dropping once a lien is filed. It will be difficult to qualify for a loan, to buy a home or car, apply for a new credit card, or even sign a lease. A tax lien can also lead to a taxpayer being denied security clearance if they work for the government or have government contracts, as well as losing their license in certain fields.

In most cases, it is only after a taxpayer has fulfilled their obligation of repayment will the IRS release the tax lien against them. Fortunately, there are a number of ways a taxpayer can repay their tax debt, including:

  • Direct Debit Installment Agreement
  • Streamlined Installment Agreement
  • Partial Payment Installment Agreement
  • Offer in Compromise

Other ways to have an IRS lien removed depends on a taxpayer’s circumstances. A taxpayer can apply for a Discharge of a Federal Tax Lien if one of the following applies to them:

  • A taxpayer entered into a Streamlined Installment Agreement.
  • The IRS lien was filed incorrectly.
  • A taxpayer can prove that by withdrawing the IRS lien they will pay the debt faster.
  • A taxpayer can prove that the withdrawal is in the government’s best interest.
  • A taxpayer can also file for an Appeal if their tax debt has already been paid, was wrongly assessed, they are an Innocent Spouse, or are in a bankruptcy. The new Fresh Start program also allows the release of liens if the taxpayer qualifies under certain circumstances.

Q. What is An IRS Bank Levy?

A.  An IRS Bank Levy is a process where the IRS seizes the liquid funds from a taxpayer’s bank account due to an IRS tax debt. This means the IRS takes the entire amount in the account(s) to apply toward the tax debt. Many people believe that any joint accounts they have cannot be touched, but if the account includes the debtor’s name, it is susceptible to an IRS bank levy.

The IRS can place a bank levy on almost any type of bank account, including savings accounts, checking accounts, joint bank accounts, mortgage escrow accounts, school bank accounts, or any other type of account that can be seized by the IRS to fulfill the tax debt. IRS bank levies can also be applied to IRAs, 401ks, and other retirement accounts.

In some cases, the IRS can issue an IRS levy on a taxpayer’s federal payments through the Federal Payment Levy Program. With this IRS tax levy, the IRS can claim Social Security benefits and Medicare payments, as well as a state tax refund through the State Income Tax Levy Program

Q. What is An IRS Wage Garnishment?

A.  An IRS wage garnishment is an aggressive IRS collection action where the IRS seizes a portion of a taxpayer’s paycheck to satisfy a tax debt. A wage garnishment can have a serious adverse affect on a taxpayer’s finances and/or job. We do not charge unless we have the wage garnishment removed!

The IRS will notify a taxpayer’s employer to withhold a portion of the employee’s wages to be paid directly to the IRS or face penalties themselves. For the self-employed, the IRS sends the wage garnishment to the taxpayer’s accounts receivable. Money owed for services rendered is required to be sent to the IRS. The IRS can also levy against:

  • Social security
  • Welfare
  • Disability
  • Pensions
  • Stocks
  • Mutual Funds

Q. What is An Installment Agreement?

A.  A taxpayer agrees to make regular monthly payments to the IRS until the balance is paid in full when they agree to an Installment Agreement. The IRS calculates the amount of the monthly payment for each person based off of the taxpayer’s income, allowable monthly expenses, and the time remaining in their Statute of Limitations.

An Installment Agreement can be affordable due to taxpayers paying the back taxes to the IRS over a period of time based on their monthly income and expenses. However, taxpayers should be aware the IRS charges penalties and interest on the amount of tax debt that is yet to be paid.

To set up an Installment Agreement, taxpayers will need to be in compliance, ensuring all required tax returns are filed. Girodes INC suggests taxpayers to determine the largest monthly payment they can make to quickly satisfy the tax debt and save money on interest. The IRS’ approval will largely be based on the income, assets and liabilities of the taxpayer.

Q. What is Currently Not Collectible?

A.  Currently Not Collectible is a program offered by the IRS for taxpayers experiencing economic hardship. This status means that the IRS will, for the time being, stop any collection action until the taxpayer’s situation improves.

There is no standard threshold to qualify for the Currently Not Collectible program, as there are numerous ways that a person can qualify. However, the typical Currently Not Collectible taxpayer usually is:

  • Unemployed or on a fixed income.
  • Sick or seriously ill and unable to work.
  • Unable to meet all of their current necessary monthly expenses.
  • Has little to no assets or equity that could serve as repayment of the tax debt.

Let the Experts Negotiate with the IRS for You

If you're experiencing or worried about liens, levies, garnishments, or more, now is the time to learn about your options to protect yourself and resolve your tax burden. Tax debt reduction programs under federal law provide real relief, but they can be very complex to navigate. We can help you solve your IRS-related issues by introducing you to a company that may leverage the law in your favor, potentially saving you thousands of dollars.

It is important to understand that when you call the IRS directly, you will talk to a junior IRS tax collector whose job is to collect information to use against you to collect on your full debt - even if you are experiencing financial hardship. Frontline collectors are NOT tasked with the responsibility of negotiating a settlement for you.

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340 West 42nd Street #477, New York, NY 10108
Call Us: (800) 680-6095 • | ‪(646) 397-6059 • Fax: (212) 202-5190