The IRS has virtually unlimited power whenever it decides to audit a business. Tax debt is a burden that does not go away – it just continues to grow and cause more problems for a business owner the longer the issue is left unresolved.
From the very first notice that a business owner receives in the mail from the IRS, a reputable tax attorney should be called. In Utah, one of the most trustworthy tax debt relief firms is Pearson Butler.
IRS notices should not be ignored – even for a second. The IRS can levy the payroll of the business, seize assets, and even dip into Accounts Receivable in order to pay back debts that it says that your business owes. If you choose to ignore notices, you are not considered innocent until proven guilty. With the IRS, it is the other way around. Ignoring a notice basically, confirms your guilt to the agency and allows them to move forward with more aggressive collection tactics. If nothing else, you should immediately handle IRS notices in order to put off paying them immediately.
For highly experienced tax debt relief, contact Pearson Butler at (800) 265-2314.
What Can the IRS Do to Collect from My Business?
The IRS can do basically anything that it wants, up to and including shutting down your business and liquidating all your assets in order to collect from you. It will usually not take this drastic step at first, however.
Here are a few things the IRS is known to do to businesses in order to collect an alleged tax debt:
- First, the IRS can take over payroll. This means that a business owner will not be able to pay his or her employees. Instead, that money will go directly into the pocket of Uncle Sam.
- Second, they can seize and liquidate business and even personal assets. If you are in a business such as transport or textiles that relies on large hardware, this can destroy your company. The IRS has even been known to liquidate computers without allowing companies to back up proprietary information.
- Third, the IRS can reach into your bank account and your future bank accounts. This means that all your personal and business accounts are at risk, no matter the type. Certificates of deposit, mutual funds, and other investments, as well as long term investments such as IRA accounts and pension accounts may be up for grabs if you do not take care of your tax problems.
If you do not have the money to cover a tax debt by liquidating assets and stealing money from your employees, the IRS can liquidate the monetary value of your business, effectively putting it up for auction to the highest bidder. Although this is usually the last step in a process, it is completely legal and has been done. Do not underestimate the willingness of the IRS to take your company from you.
Can Payroll Tax Problems Be Fixed?
Payroll problems are perhaps the most difficult of IRS problems. Not only are they attacking your livelihood, but also the livelihood of your employees. It's a dirty tactic, but there are ways to fix it.
Pearson Butler takes advantage of every delay tactic and extension legally available to a client to provide valuable time to prepare payroll, while at the same time preparing records so the IRS can see what they need to see.
Why Work with a Lawyer to Fix Tax Debt Problems?
A qualified tax lawyer will have access to many more options than the layperson. The court system tends to respect the opinion of an attorney more readily than that of an individual who is representing him or herself. Things that a court would allow if brought forward by an attorney might not be allowed if brought forward by an individual, especially if the IRS argues well against the measure with no professional opinion to counterbalance the decision of the court.
A professional attorney will be able to better administrate your case against the IRS. If you miss deadlines or certain paperwork is not filed, you may lose certain irretrievable rights. IRS scare tactics are meant to make you do just this. However, an attorney who is experienced at dealing with such methods will be able to protect you.
There is an emotional component to getting audited or otherwise harassed by the IRS. You are under a great deal of pressure, especially if the livelihoods of your employees or family are put at risk. You should not have to make financial decisions under that kind of emotional pressure. A skilled Utah tax attorney can help to direct your mindset without the emotional pressure, helping you make better decisions for yourself, your company, your family, and your employees.
The IRS will not be able to pressure you into quick decisions when you have a seasoned attorney on your side. Without an attorney, you will likely cave into the first and worst option that the IRS gives you. Simply retaining a lawyer can help you save money even if you do not want to take the case to court.
Tax Debt Relief Programs for Businesses
There are many solutions available to you, if you act quickly. The earlier that you call Pearson Butler, the faster you can put the following solutions to work for you, such as:
- Offers in Compromise (OIC): Taxpayers may be able to pay less than what they owe to settle their tax debt with the IRS. This option is available to approved and qualified applicants who have filed required tax returns, made current tax payments, and met any federal tax deposits for employees.
- Penalty abatement: With penalty abatement, a tax debtor can actually reduce the amount owed to the IRS by around 25%. There are new policies that have expanded the number of people who are eligible for the penalty abatement program. If you have been unemployed or if your income is below a certain threshold, you have a much better chance for qualifying - but you will only know for sure with the right lawyer on your side.
- An installment payment agreement: You do not have to pay the IRS all at once. There are options available for affordable monthly payments to the government agency over a term. This should be done if you owe less than $10,000 in back taxes; otherwise, you will need to consult a tax professional to gain full access to all your options.
- Bankruptcy: Bankruptcy is one of the options on the table when dealing with the IRS, but it is one of the more complicated legal procedures that a person can undertake. When the IRS is on the opposing side, you had better be sure that you have the right kind of legal defense on your side. Even if you try to protect yourself and your business using Chapter 7 or Chapter 13 bankruptcy, the IRS will do its best to interpret the law against you in order to extract money.
- The statute of limitations: Just like any other type of criminal or civil case, the IRS only has a limited amount of time to collect back taxes from you. For the most part, this period is 10 years. This can be used to your favor. For instance, in some cases you can use hardship status in order to extend your payments beyond the statute, so they end up not having to be paid at all. If these strategies are available to you, you can believe that Pearson Butler will be on top of it for you.
Put Pearson Butler to Work for You.
Pearson Butler has years of experience dealing with the IRS, with hundreds of successful outcomes for clients. The firm’s tax professionals can ensure that your business stays alive while getting rid of your tax debt burden through a detailed strategy that ensures your compliance with Utah law and federal law.
Dealing with Pearson Butler is also a good move because you know you will have the most experienced attorney on the job for you. You will not be passed off to inexperienced paralegals or rookies. A specialized plan will be developed that addresses your tax debt relief needs specifically.
The tax attorneys at Pearson Butler have:
- Reduced back taxes for clients
- Fixed payroll tax problems for clients’ companies
- Removed tax liens from the IRS on clients’ personal income and businesses
- Stopped tax levies
- Conducted IRS appeals
- Taken advantage of Offer in Compromise (OIC) to significantly reduce tax debt
Call Pearson Butler at (800) 265-2314 and put decades of experience to work for your company.