The main focus of my practice is income tax representation for individuals. Many taxpayers who come into our Raleigh, NC office find themselves in a position where they are unable to pay the IRS and/or the North Carolina Department of Revenue amounts owed in taxes. To avoid forced collections (i.e., bank levies, wage garnishments, etc.), the two following options are often pursued.
Option #1 – Installment Agreement
This is an agreement that is setup to allow balances to be paid over time to the IRS or the North Carolina Department of Revenue. The amount and time allowed for repayment is determined by several factors including the amount owed and the financial resources available to an individual. In some cases, payments may even be put on hold temporarily.
Option #2 – Offer-in-Compromise
This is a settlement of the total debt due for a lesser amount if it is in the best interest of the IRS or North Carolina Department of Revenue. This option is usually most appropriate in instances when it can be demonstrated that a debt cannot likely be repaid by an individual in a reasonable amount of time.
If you or someone you know needs help understanding their tax payment options, contact us so that we can help them resolve the issue. I can be contacted by phone at (919) 792-8511 or you can email me directly using this link.
Lauren Massie, CPA, PLLC serves clients in North Carolina throughout the Greater Triangle Area including cities such as Raleigh, Wake Forest, Cary, Durham, Chapel Hill, Hillsborough, Youngsville, Franklinton, Garner, Knightdale, Zebulon, Angier, Clayton, Louisburg, and Wendell.
