So You Have A Tax Bill….
Generally, you are not going to jail for not paying a minor tax bill. Less than $50,000 is considered quite minor on the books of the IRS. This, however, should not confused with the IRS not making your life a living hell. Oh, no!
They will. There are three stages to IRS wrangling.
- The first stage is a notice that is mailed to you. This notice, commonly called a deficiency notice, will indicate you have an outstanding liability, why you have the liability, and what steps you can take to immediately fix the liability and avoid further IRS intervention. Often, the IRS is incorrect in its calculations, or you have misfiled something. When that happens, you can submit a modification to earlier filings or challenge their finding.
- If you do nothing, the second stage occurs. You are notified of the IRS’s intent to levy your wages, and bank account. You may also receive notice of liens placed against your property. You definitely need to defend against this, as the interest and penalties can be stunning.
- The final stage is seizure and foreclosure of assets and property. In this event, the IRS actual sells off your property to pay for the tax debt.
There are several methods for stopping or challenging each step. If you have a moment, read our blog (at www.hanoverlawpc.com) and look-up the article we wrote on IRS form 443. Do you have a tax question? Call us! We’d be glad to help. 703-402-2723