There are several types of debt you encounter-mortgages, credit card debt, auto loans, and even personal loans. Then, there’s the IRS Debt-something that the agency is authorized to collect by whatever means necessary. Once the IRS has placed you in their collections list, you are set to face these actions-bank account seizures, property liens and levies, wage garnishment, and asset seizures. If you don’t act on it, the IRS will definitely get ugly.
To avoid this, you should have a tax debt relief mindset, that is, a combatant mindset. Why? The IRS is the least caring, patient or compassionate. If it places you on its “get money from” list, you should accept that you are now the enemy and they have waged war on you. When the IRS sees your name, they will do whatever it takes to collect from you. This starts with automated notices, then it gets more intimidating and threatening as the bills pile up.
But in a democracy, you have your rights as a taxpayer. Tax debt relief is one of them. However, you must keep in mind that informing you of this right is the last thing an IRS collection agent will consider. You should know what to do and know it well.
Before anything else, you should have the right combatant attitude. As IRS agents would only care less if your life ends up a big mess after this war, you should fight back. Your first step in obtaining tax debt relief is knowing and understanding the rules of engagement-that is getting pointers from a retired IRS agent or tax professional, who can guide you through the process.
One form of tax debt relief is the IRS Statute of Limitations, which taxpayers can use to resolve this matter of paying and settling back taxes. This statute sets a time period to review, analyze or resolve taxpayer and/or IRS issues. In effect, this means that the IRS has only a certain period to assess, credit, refund and collect taxes. Going beyond this period, the IRS can no longer accommodate refund requests, assess additional taxes, and most importantly, collect. This Statute has certain time limits for assessment, refund and collection.
This Statute gives the delinquent taxpayer instant tax debt relief. It states that the IRS is given a certain time limit, say ten years, to collect from the time the back taxes were assessed. If they haven’t done so beyond that time, you’re off the hook. This and other types are available to you. The point is, you should not lose hope. You still have a range of options in this war.
This means that you don’t have to fear the IRS agent knocking on your door or trying whatever means necessary to pin you down. You only need to know how to fight back. This can be done if you know those weapons in your arsenal-tax debt relief options protected by law. You have the right to a worry-free life.