The best course of action for the taxpayer to take to resolve their tax issue will depend on the amount of back taxes owing and the number of years that have been missed. The best time to do this is sooner rather than later because it is preferable for the filer to be open and honest with the IRS rather than waiting for them to obtain what you are obliged to pay instead. Every filer must assess their financial position as they look at what choices are available to them or couples who may owe unpaid taxes.

Payment Plans by IRS:

In either a long-term or brief payment plan, which enables the overdue filer to start repaying the amount he/she owes in installments over time, back taxes are most frequently paid. Long-term payment plans are repaid over a more extended period of time than short-term payment plans, which must be refunded in full within 120 days. The entire amount of past taxes owing, including any applicable interest or fees, must be less than $50,000 to qualify for a more extended payment plan. The debt for the short-term plan may reach $100,000, plus interest and fees.

Interest continues to accrue regardless of which of these payment plans you are on, and it will do so until your account balance is zero. The method of payment will decide if there are any additional processing costs, as debit and credit cards are often charged for this. The application process and any costs that must be paid at the time of submission will vary depending on the plan the applicant is applying for. Having an understanding of these minor issues will assist the applicant in selecting the best strategy for a timely tax repayment.

Relief Programs:

For individuals who have gone behind on their taxes and don't now have the funds to make up the difference, there are tax relief options available. Taxpayers who have neglected to send their returns to the IRS for a number of years are also eligible for these programs. The taxpayer can create an account on the IRS website, confirm their identification, and view any payments made over the previous two years if they are unsure of what is owed or when they last filed. This can assist the taxpayer in determining the amount of any outstanding debt, enabling them to apply for the appropriate program and restore their filing status.

The filer may submit applications for the following three programs:

●     IRS Payment Schedules, both long-term and short-term.

●     proposals for compromise

●     Not Collectible Status at the Moment

These are all programs that the filer can submit either on their own or with the help of a tax relief business.

Proposals for compromise:

Delinquent taxpayers might use an offer in compromise to settle their past taxes with the IRS for a lesser amount than what is due. The IRS only accepts offers in compromise from applicants who can demonstrate that they are not able to pay their debts in full or that doing so would be extremely difficult. In order to evaluate eligibility, the IRS considers the filer's capacity to pay, income, assets, and recurring expenses.

You can hire a tax lawyer in Las Vegas, Nevada to get your back taxes sorted out without putting too much effort into it yourself.