When it comes to tax debt, getting the proper relief can be challenging, but doable. Keep your focus on doing whatever it takes to avoid filing for bankruptcy when at possible. This post will offer some suggestions on how you can deal with tax debt while staying afloat.
3 Ways to Face Tax Debt:
- Before beginning, a helpful question you can ask yourself is: “Do I want to hire a CPA or go it alone?” In most cases, because of the complications involved with tax laws, hiring a CPA will be the smartest option.
- You or (preferably) your CPA should check over your original tax returns that are the cause of the tax debt you now face. The IRS processes millions of tax forms, and it’s likely the CPA that prepared your taxes also handled hundreds of other taxes. There’s a good chance an error could have been made somewhere along the line. Finding an error sooner rather than later can reduce a lot of stress you might feel about the possible threat of filing for bankruptcy.
- If all documents are correct, work with your CPA to figure out what tax debt payment plan is best for you.
Filing for bankruptcy should always be a last resort. Before filing for bankruptcy you should explore all possible avenues for reconciling tax debt between yourself and the IRS. If you do need assistance in filing for bankruptcy after all other options fail you, contact a bankruptcy attorney to find a plan that will work for your needs.