Suffering a serious illness is one of the most common reasons for tax delinquencies. Taking care of day-to-day activities is often put on hold while you or a family member is trying to recover from an illness. Reaching out for tax relief help is a great option following a serious illness or other hardship. Our tax lawyers can assess your situation and help you find a plan that best matches your needs.
Here are a few things to consider if you are having trouble paying your taxes due to failing health.
Choose to Apply for an Offer in Compromise
Taxpayers may qualify for the Offer in Compromise Program if they cannot pay their taxes due to a severe hardship or an illness. The IRS will review your finances and hardship claim to determine if you qualify for a reduction in taxes. Recently, the IRS expanded the Fresh Start Initiative, so reaching out to tax lawyers can help determine if you qualify for this program.
Submit Your Tax Return
Many times the IRS will file tax returns for non-filers at the worst tax rate while also neglecting any type of deductions or exemptions. Ultimately, the SFR (Substitute Federal Returns) results in a much higher tax bill compared to using an accountant or submitting taxes yourself. However, submitting an offer in compromise or a penalty abatement is helpful in attempting to reduce your tax debt with the IRS.
Ask for Penalty Relief
You may ask for penalty relief from the IRS due to an illness or death. For example, a death or serious injury to an immediate family member may allow you to pay your taxes at a later date without a penalty. Immediate family members include your spouse, children, sibling, parents, or grandparents. A successful penalty abatement is possible if an IRS determines non-compliance was unavoidable. Reaching out to a professional tax lawyer is always a good idea to guide you through each stage of this process.
Reach Out to McClure & Stewart for Tax Relief Help
We specialize in tax relief services for a wide range of clients throughout the Salt Lake City area. We can help guide you on how to pay back taxes due to health concerns. Our team is always happy to answer any of your questions and discuss the best option for your personal situation. Feel free to contact us today to learn more about the benefits of scheduling a tax attorney consultation in Murray!