Tax Resolution

What is tax resolution?

Tax resolution is the process of settling outstanding tax debts or disputes with tax authorities. Resolution options include payment plans, offers in compromise, penalty abatement, innocent spouse relief, and audit representation. The appropriate resolution path depends on the nature of the issue, your ability to pay, and available relief provisions. Resolution often requires professional assistance for best outcomes.

Payment options for tax debt

Installment agreements spread payments over time, typically up to 72 months. Partial payment agreements allow smaller payments when full payment is impossible. Offers in compromise settle debt for less than owed based on ability to pay. Currently not collectible status pauses collection when payment would create hardship. Each option has eligibility requirements and implications for liens and penalties.

Working with a tax professional

Complex resolution situations benefit from professional representation. Enrolled agents, CPAs, and tax attorneys can represent you before the IRS. They understand available relief provisions and procedural requirements. Fees vary widely. Beware of resolution companies promising guaranteed results for large upfront payments. Get referrals and verify credentials before engaging representation.