Managing tax debts is not easy. Just the act of getting a hold of an IRS agent in person is a challenge in itself. However, contacting the IRS directly to resolve your tax debts can be your best tool for managing unpaid taxes.
The old saying “you can more flies with honey than with vinegar” holds true anytime you are negotiating debts. Remember that the IRS is a very big, a strong agency that holds a lot of power. They are not required to negotiate with you or help you resolve your tax debts. Always be calm and respectful when dealing with an IRS representative. Even if they don’t appear open to helping you or are trying to intimidate you, it is up to you to remain level headed if you want a chance at getting what you want.
One of the most well kept secrets in the tax debt negotiation world is how far speaking their lingo will get you. By “speaking their language” you will demonstrate your knowledge and level of seriousness about your debts. Ask for penalties to be “abated “and not removed. Tell the IRS that your failure to pay was due to “reasonable cause“, and cite your reasons for financial inability to pay. Check to see if your tax debts have passed the “statute of limitation” for collection.
It is important that you do your best to explain your financial situation to the IRS when negotiating a repayment deal. You don’t have to get extremely personal, but you do want to provide enough detail to paint an adequate picture. Offer to provide documentation of your income, as well as any debts that are hindering your ability to pay your taxes.