Behind On Your Taxes? Know Your Options

There are many reasons people fail to report or properly report their taxes. In many cases, we simply are unaware of the obligation we have to the federal government because we are in a place in life or work a job that doesn’t make clear for us our IRS debt obligation. It is easy to fall behind on tax filings. You want to be careful when you file to avoid mistakes, which could lead to an improper filing and an investigation. But don’t worry—late tax filings aren’t unusual!

Monthly payment plan or paying off debts?

Before you approach the IRS, you want to be armed with information on both IRS collection procedure and a clear picture of the taxes you owe. Without either of these, you could be compromising yourself needlessly. It is best to consult a tax pro, like an IRS lawyer or certified accountant. Besides that, you should be putting your finances in order and determining what you owe the IRS in back taxes. This can be a long and complicated process, but if you are patient, you may find you get a big return.

Filing for an IRS assessment of owed taxes

Simply filing your taxes starts an IRS assessment. In some cases, the IRS may automate one and send you the assessment. The IRS will mail you their assessment proposal and you can dispute their claims, or pay it off. You will most likely save on this assessment if you file your back taxes beforehand.