Tax Debt Lawyer in Santa Ana

IRS Penalties for Tax Debt

A tax debt is a type of debt that people incur from failing to pay their full amount of taxes to the government. While many businesses withhold earnings from their employees and pay the government agency directly, self-employed persons and business owners sometimes do not take this action. When the time to pay taxes comes, these individuals are not able to pay the amount.

Once this occurs, the IRS is able to take a number of disciplinary actions, such as:

  • Hiring a debt collector: There are many private debt collection agencies that the IRS can hire to collect your debt. These companies often use undesirable methods when attempting to collect your debt.
  • Filing a tax lien: The government can legally claim your property if you don't pay a tax debt, making it a very serious situation.
  • Serving a tax levy on your account: The IRS can take your assets out of any bank or brokerage accounts to pay for your debt. They may even be able to take your retirement funds, life insurance, and pensions.
  • Serving a tax levy on your wages: Once the IRS notifies your employer of your tax debt, they will be required to pay a large part of your salary to the IRS. If your employer fails to do this, then they could be liable for the money.
  • Seizing your car or real estate: The IRS may sell your personal property if you have not paid back your debts, including your home, car or other assets.

In order to defend yourself against these actions, be sure to contact an Orange County bankruptcy lawyer from 1st California Law, Inc. Our legal team is ready to provide wise counsel that can guide you through your financial crisis.

Find Relief from Tax Debt

Even though the IRS is an intimidating power, you still have certain rights as a consumer. There are a number of actions that we may be able to take to defend you against the IRS. First, we can determine if you are eligible for the Offer in Compromise program by the IRS. This program allows certain debtors to settle their debt for less than the full amount. The IRS also may allow you to defer your payment for a certain period of time so that you have time to obtain the necessary funds.

If there were any errors made on current or prior audits, then our legal team can try to negotiate a lower settlement. Another solution could be to file for bankruptcy, which helps to relieve debt for eligible individuals. Since the IRS has only a certain period of time in which to collect your debt, you may be able to get relief if that time has expired or is near expiring.

Contact Us Now

If you are trying to protect your assets from the IRS, you may be feeling overwhelmed and confused. When you turn to an Orange County tax debt lawyer from 1st California Law, Inc., we can find a workable solution for your financial problems. Our firm is committed to providing the best possible legal counsel for those who are in debt.

Fill out a free case evaluation so that we can get started as soon as possible.If you have further questions about how we can help, then contact our office.