HomeBizAlley.com

---

---

It is commonly feasible to wipe your tax slate clean at a massive discount. If you qualify for something called the offer in compromise, referred to as an “offer” or “OIC,” the IRS has been known to accept as little as 1% of the amount owed on a tax liability and call it even.

There is no legal right to have a convincing tax liability reduced by the IRS — it is entirely a matter of govt discretion. In all but a few instances, however, the IRS must at least give a properly submitted OIC fair consideration. Unfortunately, less than 1/2 of the OICs submitted are accepted by the IRS, although you do have a right to take a declined OIC to the IRS Appeals Office.

The first reason to hire a professional is to take the mystery out of the process.

In a usual collection case, the solution is an installment agreement or an Offer in Compromise. In order to do either of these, the IRS will use a set of formulas to establish how much you can pay every month. If you are not familiar with these formulas, you could end up showing a capability to pay greater than what you actually have. Don’t expect the IRS to identify your mistake!

A usual engagement to agree an installment agreement costs from $350 to $700. If you made a $200 each month blunder on the forms — then hiring us would pay for itself in just about 3 months. Otherwise, you could end up paying the extra $200 per month for years and years. If you make a $200 error on an Offer in Compromise — it may cost from $9,600 to $12,000 relying on the way in which the Offer is to be financed. A standard Offer engagement costs less than one tenth of that. Is it actually worthwhile to save a hundred bucks up front?

FAQ: what are my rights when owing back taxes
.
Article Source: http://www.articlealley.com/http://joetheblogger.articlealley.com/what-are-my-rights-when-owing-back-taxes–tax-lien-936972.html

What does it mean to take assignment of a tax lien?

I was inquiring to a 3rd party tax lien company, about a property I was interested. The reply was “You may take an assignment of our liens on this property and bring it to foreclosure if you’d like to try to acquire this property.. The payoff for an assignment on this property through the end of July 2009 is $……..” What exactly is the process, and what do I get out of it, other than forcing foreclosure.

Answer
you will get the rights to the lien, not the property. If you were to be the sole lien holder, you could demand payment to satisfy the lien or pursue foreclosure on the property.

---

---