If you owe taxes<\/a>, it may feel as though you\u2019ve been cast adrift upon a sea of uncaring bureaucracy. Don\u2019t despair\u2014you have rights! In fact, there is a new \u201cTaxpayer Bill of Rights<\/a>\u201d that was recently adopted by the IRS. Here are some guidelines to help you find your way safely back to shore.<\/p>\n >> <\/span>Owe the IRS? Get a Free Tax Relief Consultation<\/span><\/strong><\/a><\/p>\n Tax Tip #1<\/strong> RELATED: What Tax Evasion Will Cost You<\/a><\/p>\n Tax Tip #2<\/strong> Tax Tip #3<\/strong> RELATED: What Is a Tax Levy?<\/a><\/p>\n Tax Tip #4<\/strong> Tax Tip #5<\/strong> Finally, don\u2019t assume that your strategy for dealing with the IRS will work for any state taxes you may owe. Federal and state tax regulations are not the same, and each state has its own rules and requirements. You will have to address your state taxes separately. You can find your state regulations on your state government website.<\/p>\n","protected":false},"excerpt":{"rendered":" What To Do If You Owe Money to the IRS If you owe taxes, it may feel as though you\u2019ve been cast adrift upon a sea of uncaring bureaucracy. Don\u2019t despair\u2014you have rights! In fact, there is a new \u201cTaxpayer Bill of Rights\u201d that was recently adopted by the IRS. Here are some guidelines to […]<\/p>\n","protected":false},"author":1,"featured_media":574,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[46,171],"tags":[],"class_list":["post-573","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-tax-relief","category-tax-tips"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.irs.com\/en\/wp-json\/wp\/v2\/posts\/573","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.irs.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.irs.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.irs.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.irs.com\/en\/wp-json\/wp\/v2\/comments?post=573"}],"version-history":[{"count":6,"href":"https:\/\/www.irs.com\/en\/wp-json\/wp\/v2\/posts\/573\/revisions"}],"predecessor-version":[{"id":11228,"href":"https:\/\/www.irs.com\/en\/wp-json\/wp\/v2\/posts\/573\/revisions\/11228"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.irs.com\/en\/wp-json\/wp\/v2\/media\/574"}],"wp:attachment":[{"href":"https:\/\/www.irs.com\/en\/wp-json\/wp\/v2\/media?parent=573"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.irs.com\/en\/wp-json\/wp\/v2\/categories?post=573"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.irs.com\/en\/wp-json\/wp\/v2\/tags?post=573"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
\nIf at all possible, you should try to pay the owed amount on time and in full. This will avoid costly interest and penalties. Once such penalties accrue, it can be very difficult, if not impossible, to convince the IRS to abate them.<\/p>\n
\nYou have the right to provide more information to the IRS if you can substantiate your claim that you owe less tax or have a basis for penalty relief. (There are very specific, qualified reasons for penalty relief, including illness or military service.) The right to provide more information is particularly useful if the IRS prepared your tax returns, with or without your direct involvement, such as may occur for long-term non-filers. Understandably, when the IRS decides to complete tax returns for longtime non-filers, they aren\u2019t going to be aware of all the possible deductions or credits you may be entitled to claim. In fact, the standard procedure is for the IRS to prepare your tax returns using the standard deduction, no dependency exemptions, no credits, and using \u201cmarried filing separate\u201d filing status for married taxpayers. This procedure typically results in a tax liability much higher than warranted, and has the desired effect of forcing the non-filing taxpayer to file a correct return and get back into compliance.<\/p>\n
\nYou can negotiate a repayment schedule<\/a>; however, interest and penalties continue to accrue during the repayment period<\/em>. Warning: the IRS is very intolerant about late payments once a repayment agreement has been negotiated. As a rule, even one late or missed payment defaults a repayment agreement, and you will have to start over to resolve your problem. In addition, the IRS will now view you as unreliable when you attempt to negotiate a new repayment schedule. For more information, see “Online Payment Agreements.”<\/a><\/p>\n
\nIf you owe taxes because of noncompliance by your spouse, you may be eligible for \u201cInnocent Spouse Relief.\u201d IRS Publication 972 and Form 8857 will give you more information about whether you may be eligible for relief from joint liability arising, for example, from unreported income your spouse neglected to mention.<\/p>\n
\nPerhaps, most importantly, you have the right to competent representation. This means that in some cases your best option for saving money will be to hire a qualified professional to argue your case for you. For the most highly qualified professionals, it would be best to check with your state or local CPA society and then inquire about specialists who deal with the IRS regularly. Alternatively, you may wish to contact your state or local bar association for a similarly credentialed tax attorney. If you cannot afford a professional tax representative, you may qualify for the pro bono <\/em>services of a Low Income Taxpayer Clinic (LITC). Such clinics are independent of the IRS, although they do receive some of their funding from an IRS grant program. An LITC can help you with anything from representation in an audit to resolving problems with your account. For further information about Low Income Taxpayer Clinics, and how to find one in your area, see:\u00a0www.irs.gov\/Advocate\/Low-Income-Taxpayer-Clinics<\/a>.<\/p>\n