Tax disputes affect small businesses and big businesses alike. Whenever you celebrate the success of your business, tax planning shouldn’t be far from your mind. The best decision you can ever make for your business is ensuring the taxes are paid. This will help you avoid potential disputes with the taxman, thus minimizing your tax burden. Here’s what you need to know about tax resolution for your business.
What To Do When You Owe the IRS
More often than not, tax disputes arise from arrears. Once you establish your business owes the IRS, you must start planning how you will handle the tax liability immediately. This will help you avoid penalties such as liens being put on your property, and criminal sanctions. You shouldn’t take the taxman’s word for it because even the IRS can make a mistake. You must verify the amount you owe the IRS is correct since a simple error on the part of the agency means you could end up paying more money than you really should.
An “Offer in Compromise” Makes Payments Affordable
The fact that your business owes the IRS a significant amount of money shouldn’t mean you must pay it at once or pay all of it. The IRS is always willing to work with those who owe to come up with a payment plan suitable to both parties. The agency can also accept an “offer in compromise,” from your business. Exploring this option rather than suffering with a tax burden will help you significantly less money than what you actually owe the IRS.
Working With a Tax Resolution Professional is Prudent
It is advisable to partner with a proficient tax expert who is particularly adept with matters pertaining to business tax resolution. This will go a long way in helping you resolve any potential issues with the IRS. Failure to reach out to a tax resolution expert is perhaps the single greatest mistake business owners make once the IRS knocks on their doors. A tax resolution specialist will not only help you verify the exact amount you owe but will also help you devise the most affordable payment plan.