Many taxpayers use professional assistance for help resolving tax debt, particularly if their tax debt is large. Hiring expert help has obvious advantages such as better preparation of the case, representation and negotiations. When resolving a large tax debt, even when they cannot qualify for tax debt reduction plans, taxpayers can potentially pay less in tax debt by strategically planning payments.

When paying tax debt in installments, it is important to remember the penalties and interest that the IRS charges each month on the total tax debt. Paying a large sum in the initial payments brings down the total tax debt, thereby reducing the amount of penalties and interest charged.

Taxpayers may also explore the IRS’ Fresh Start initiatives where they have made it more convenient for taxpayers to resolve their tax debt by easing the process of qualifying for a payment plan as well as the process of resolution. Such options should be explored and the entire resolution process planned before applying for a payment plan.

Hiring professional tax help eases the process of resolution and aids in achieving the most beneficial resolution possible. When finding outside help for tax debt relief, remember to research well and hire a competent and honest tax service.