For those who are getting swamped with concern over their tax situation – there’s hope. Tax relief is available to many who are dealing with the burden of figuring out how to catch up on their back taxes. It’s certain that a great deal of people that have back tax issues are more stressed than they have to be – but now there’s a chance you won’t have to handle all or most of that debt, thanks to tax relief available to many people.
To be sure, the IRS can bring much stress to your life if you have problems with unpaid taxes. Whether it’s wage garnishing, or tax liens, or even people who serve as private debt collectors and gain by getting money people owe, the IRS has many ways of collection that can get under our skin. How many of you have gotten incessant phone calls from collection agencies looking to speak to you about whatever debts you may owe?? For those who are trying to keep a business going – or keep the family finances solvent – tax relief can be a huge lifesaver.
There is a certain form of tax relief available to people who foreclose to wash away their debts – it’s called offer-in-compromise. Keep in mind that in cases where foreclosure funds are greater than the amount of debt you owe, the resulting difference can be taxed. So what happens is that your lender should give you a year-end financial statement form, on which the most important things are stating your property value and the amount of debt that was forgiven.
If a disaster of some sort strikes you and your area, you may want to see if there is disaster tax relief offered. This assistance allows those in ravaged areas the ability to try and get back on their feet.
There are also opportunities for those who are low-income and are in dire need of tax relief. In plenty of instances, there are states (that do not have income taxes) which offer programs designed to help struggling people and families. Since the poor have more difficulty overcoming the burden that local and state sales taxes and other taxes can place upon them, income-tax-free states figure that implementing programs such as these help keep families from going under by providing tax relief. Should a state actually have an income tax, then what happens is exemption for those who live below the poverty line. Plus, tax relief is available for homeowners who happen to make under $60,000 annually. Some states offer homeowners’ credit certificates to these people, who then pay their property taxes thanks to these certificates. All of these are welcome aid to those who are in low-income situations or those who have collateral, but still struggle wit the task of finding the money to pay back taxes.