Tampa Tax Debt Settlement Attorney

Tampa Tax Debt Settlement Lawyer

Tax debt can occur under many circumstances, particularly when someone’s life is upended and their financial situation changes. It can be incredibly stressful and severely impact your financial stability. The last thing you should do when you have tax debt is ignore it. Instead, find IRS tax attorney in Tampa, FL who can help you resolve your debt, potentially for less than you owe.

Quickly addressing your tax debt is crucial. Avoiding it can result in further penalties and accruing interest. The Internal Revenue Service (IRS) or Florida Department of Revenue (DOR) can also take action to recover the unpaid debt, including garnishing your wages or putting a claim on your property. Acting early to negotiate your tax debt is in your immediate and long-term interests.

Experienced Attorneys Helping Taxpayers with Debt Settlement

When you need legal advice and representation to negotiate with the IRS or DOR, Tax Smith Tax Attorneys can help. Our attorneys have provided information and legal support to individual and business taxpayers throughout Florida for decades. We have comprehensive knowledge of tax debt settlement options, and we can assess your unique tax situation and determine the ideal solution.

Our firm offers assistance based on the principles of care and respect. We understand how stressful and frustrating tax law can be, and we take the time to ensure you have the information you need to make important choices about your future. When you are unsure how to handle your tax debt, our team can provide the support and advice you need.

Understanding a Tax Settlement

When you owe taxes, penalties, and/or interest to the IRS, you are expected to pay this amount in full. For some taxpayers, however, this is not a financial possibility. In such cases, the IRS may be willing to compromise to receive some of the taxes owed. Tax settlements allow taxpayers to pay off their debt over months or pay a lower amount to clear the entire debt. Many taxpayers in Tampa are able to secure settlements, but they are not a guarantee.

Tax Settlement Options

There are limited eligibility requirements for different tax settlement options. A tax attorney can help you review the options and determine your eligibility. Some options may include:

• Installment Agreement: This is a payment plan that allows you to pay back the full debt over several months. This is an ideal option for taxpayers with a regular but limited income and insufficient assets to pay the full amount. A payment plan ensures taxpayers can still have some financial stability while avoiding IRS collection actions.
• Currently Not Collectible: This is a temporary pause for those in short-term financial hardship. It temporarily stops IRS collection and avoids collection actions. You will eventually have to pay the debt, but this can give you more time while you work on improving your finances.
• Offer in Compromise: This option allows taxpayers to settle their entire tax debt for less than they owe. It is only an option if other settlement options are not possible and if paying back your tax debt would cause significant financial hardship. It is not easy to get an offer in compromise, and a small number of taxpayers who apply are approved. If you’re considering this route, consulting a Tampa offer in compromise legal expert can be invaluable. An experienced professional can help assess your eligibility, guide you through the application process, and increase your chances of achieving a favorable outcome.
• Penalty Abatement: This allows you to remove certain penalties and the interest they accrued from your tax debt, limiting the total liability. You must qualify for a first-time abatement, or have a reasonable explanation for the error or failure that caused the penalty. For assistance with penalty abatement, a Tampa penalty abatement attorney can guide you through the qualification requirements and help present a strong case to the IRS to reduce or eliminate these penalties.
• Innocent Spouse Relief: You can potentially receive some relief if your tax debt was incurred by your spouse or ex-spouse and you did not benefit from the money.

FAQs About Tampa, FL Tax Debt Settlement Law

Who Can Help Me Settle My Tax Debt?

Depending on your circumstances, a tax debt settlement attorney or a certified public accountant (CPA) can help you settle or manage your tax debt. It’s important to review your situation and determine what type of support or service you need. A CPA can help you plan to avoid issues with tax debt in the future and determine a financial plan for paying off the debt. An attorney is useful when you need legal advice or representation in negotiating with a tax agency.

Can a Tax Attorney Negotiate With the IRS?

A tax attorney can negotiate with the IRS if it is within their scope of practice. There are various options available if you are not financially able to pay off your tax debt, including an installment agreement, penalty abatement, offer in compromise, and other potential options to reduce or remove your tax debt liability. A tax attorney can navigate these cases and protect your rights during negotiations.

What Is the Difference Between a Tax Attorney and a CPA?

The main difference between a tax attorney and a CPA is that an attorney is licensed to give legal advice. CPAs and tax attorneys both have an education in tax codes and are licensed to help individuals and business taxpayers. An attorney is beneficial during audits, investigations, and criminal tax cases. A CPA can assist taxpayers with filing taxes, tax planning, and documenting their finances. When choosing a professional, it’s important to understand the type of tax service you need.

Can You Dispute Tax Debt?

You can potentially dispute or appeal a tax debt notice if you believe it is inaccurate. You should contact the relevant tax agency that listed your debt to begin the process. It can also be useful to speak with a skilled tax debt settlement attorney to help you navigate the appeals or dispute process. They can also review other courses of action, such as an offer in compromise, which may be available if the agency is unsure whether you owe the debt.

Contact a Tampa Tax Debt Settlement Attorney

At Tax Smith Tax Attorneys, we can negotiate with the IRS or DOR on your behalf and help you obtain a solution to your tax debt so that you may start anew. Contact our team today to schedule a consultation.