When you owe the IRS unpaid or incorrect taxes, one of the possible scenarios that you can encourage is an IRS wage garnishment. This is a process where the IRS takes a percentage of your paycheck until such a time when you are able completely pay off your back taxes. The ideal situation is to prevent this from happening in the first place because this is one the last resort strategies of the agency. More often than not, the IRS will send you multiple letters for months before they resort to garnishing your wages.
Here are some of the most important things that you need to remember if you find yourself under an IRS wage garnishment.
First, keep in mind that an IRS wage levy will take a significant percentage of your income. Most of the time, this is around 25 percent. Given this significant amount, it can be difficult for some people to keep up with their bills. As much as possible, you should avoid getting into this situation. The minute that you become aware that you owe the IRS taxes, you should start taking care of the problem and cooperating with the agency so that you can pay what you owe. If you do not have the time to deal with this process, remember that you can always hire a company like Precision Tax Relief that can protect your interests and deal with the entire procedure for you. Read more now about tax relief in this page.
Second, if you do find your wages getting garnished, the next step is to ensure that you are able to get a release from it as soon as possible. Make sure that you are in a favorable position. That is, you need to comply with the agency's regulations first and file your taxes correctly every year. Then, if possible, pay them off quickly. This may require you to sell an asset or to borrow some money from your family members of even with professional lenders. You need to ensure that you are able to legally get the agency off your back as soon as possible because you really do not want to deal with that kind of stress for a long time. Be sure to read more now about tax relief.
Finally, try making them an offer of compromise. This refers to a situation where you pay the IRS a sum that is less than what you owe. As much as possible, make sure that you have an attorney or a company like Precision Tax Relief to help you out with this to ensure favorable results. Find more details about tax by checking this website https://www.encyclopedia.com/social-sciences-and-law/economics-business-and-labor/taxation/tax-returns.