IRS or Maryland State Tax Problems?
Baltimore | Owings Mills | Annapolis | Reisterstown
Attempting to resolve a tax problem with the lRS Collection Division or the State of Maryland can be an expensive and exhausting experience if you do not have the proper representation. It is our experience that most individuals and businesses do not have the background to resolve tax problems themselves; therefore, they do not take prompt, effective action to resolve the tax matter at the lowest possible cost. This inaction can lead to significant hardship, including assessments against company officers and employees; seizure and sale of personal or business property and real estate; levy of wages, bank accounts and investments; and a poor credit record resulting from a tax lien.
How Charles Krengel, P.A. Can Help
Why choose the certified public accounting firm of Charles Krengel, P.A. to represent you? The lRS is a complex bureaucracy. We know the inner workings of the IRS. We are familiar with lRS negotiation teclmiques and lRS procedures. We are your local representative. After 20 years of helping taxpayers throughout the State of Maryland, we have developed good working relationships with lRS and State personnel. We will review your situation and determine your best alternative to resolve your tax situation.
Do not use national tax resolution companies where you will be serviced by clerical staff, charged high fees and receive promises which cannot be kept. Some of these companies were exposed in a May 23, 2011 USA Today article titled “Some Tax Resolution Companies Are Scams.” Charles Krengel, P.A. will provide you with prompt, personal service and we aggressively pursue all avenues available to negotiate the best settlement possible. We charge reasonable fees for our services. Please inquire about convenient payment options.
Please take a look through our complete IRS problem resolution services by clicking on the links below.
Do you owe Back Taxes?The job of the IRS Collections Division is to collect back taxes using any method at their disposal. The majority of the Collection employees follow IRS guidelines and their goal is to close out the case and move on to the next case. However, delinquent taxpayers are often unaware of IRS rules and procedures. Taxpayers who try to resolve their own problems can actually wind up in an installment agreement that is more then they can afford or make promises to IRS that they cannot keep.
We will analyze your tax situation and will provide you with options for resolving your tax controversy. Each taxpayer has unique situation and we tailor one of the following solutions for you:
Currently Uncollectable Status – You will continue to have your IRS debt but the IRS will not take any enforcement action against you.
IRS Extension – If you need more time to pay the IRS, don’t avoid the issue. Contact Charles Krengel P.A. to develop a plan to pay your taxes over a period of time.
Offer in Compromise – This is a program offered by IRS to settle your tax debt for less than the balance owed. If you qualify for an Offer in Compromise, this is an excellent way to clear your debt.
Bankruptcy – Do you know that income taxes can often be discharged in a bankruptcy? We will inform you of the bankruptcy law and will refer you to a bankruptcy attorney if this is the solution you choose.
Abatement of Penalties – Abatement of penalties is a method we use to reduce your tax debt. Penalties often run between 25-50% of the balance due. The IRS publishes a Penalty Handbook that lists the circumstances when penalties can be abated.
Have you received an IRS audit notification?IRS Audits
Audits take significant time away from your business and family, requiring you to gather mounds of records substantiating each and every item reported on your tax return and develop a comprehensive understanding of tax law. The IRS leaves no stone unturned in its mission to determine the accuracy of your tax return. If you don’t comply with the Auditors’ wishes, the IRS will recalculate your tax and send you home with a hefty tax bill as your parting gift.
Many taxpayers decide to handle a tax audit themselves, and discover they may have been “penny wise,” avoiding a representative’s fee, but “pound foolish,” because they received a substantial bill for a significant tax deficiency.
You see, IRS Auditors are trained to extract more information from you than you have a legal obligation to provide. IRS Auditors know that most people fear them and are ignorant of their rights. As a result, they know they can use that fear and ignorance to their advantage.
If you’ve received an IRS Audit letter in the mail, don’t panic. Charles Krengel, P.A. has been assisting clients through this process since 1987. Rarely do our clients even have to talk with the IRS. We handle it all for you so that you need not take time off of your business or job to handle the bureaucracy and paperwork of the IRS. No lost wages or business. You simply forward notification of an audit to us and we handle it from A to Z.
If you’ve received an audit notice from the IRS, please fill out the form on the right of this page to receive a Free Consultation with our tax specialist.
Federal Tax Liens
Federal Tax Liens can really make your life miserable! When your taxes are not paid, the IRS often files a lien in the local courthouse against all of your assets (especially real estate). The lien gives the IRS the legal right to secure their interest in your property.
The lien can be against you, your spouse, or your company. Once a lien is filed, everything you own is just one short step away from becoming the property of the United States Government.
Liens filed against you by the IRS also show up on your credit report and often prevent you from opening a checking account or borrowing against any assets, like your home. The banks don’t want the extra work when the IRS comes in to take your money.
With a Federal Tax lien on your record you can’t get a reasonable loan to purchase a car. Think about paying 12-16% interest on a car loan. You definitely cannot buy or sell any real estate. The list is endless.
Once a federal tax lien is filed, it is very difficult to have the lien released. It is much better to challenge the notification that a lien is going to be filed rather than after the fact. In addition, if an individual or business owes $25,000 or less of income tax, there are new rules for direct debit installment agreements which can result in the lien being withdrawn. A withdrawal of a lien is much better for your credit than a lien release.
Haven’t filed your tax returns for years?Non-Filed Tax Returns
Every day the massive computer center at the IRS is getting more sophisticated, it’s just a matter of time before they catch up with you.
This is not a situation to take lightly, failing to file your tax returns is a criminal offense. If you do not file, you can be prosecuted and punished with potential jail time, one year for each year not filed. Why risk potentially losing your freedom for failing to file your tax returns!
Let us give you the peace of mind you deserve by helping you get in compliance with the law. If you voluntarily file your delinquent returns you’ll likely avoid further problems other than having to pay the interest and penalties.
If you wait for the IRS to file your returns for you, they are filed in the best interest of the government, usually with little or none of the deductions you are entitled to.
Before anything can be done to extract you from this predicament all the returns must be filed. You must be current. In most cases, you will likely owe taxes, interest, and penalties after the returns are filed. Once we see how much is owed, we’ll set a course of action to get you off the hook!
Do you have Payroll Tax Problems?Payroll Tax Problems
The IRS views failing to pay payroll taxes as the cardinal sin of tax delinquency because a large portion of the payroll taxes are your employees’ withholdings. Not paying your company’s payroll taxes is tantamount to stealing your employees’ money in the eyes of the IRS.
As a result, penalties for failing to pay your payroll taxes and filing your payroll tax returns on time are much more severe than other types of penalties. They can drastically multiply the amount you owe in a very short time.
If you are behind on paying payroll taxes for your company, WATCH OUT!!! The IRS is extremely aggressive pursuing collection of this type of tax. They would rather seize your business assets, close you down, sell your assets at auction, and put you out of business than allow you to continue amassing additional payroll tax liabilities.
If you are behind on your payroll taxes, DO NOT meet with the IRS on your own. How you answer their initial questions can determine whether you stay in business or not. It is critical you hire a professional representative who knows how the IRS operates.
Get a Free Consultation on how to resolve your payroll tax problems by completing the form on the right.
Is the IRS threatening to take your paycheck, 401(k), and other retirement accounts?IRS Wage Garnishment
You received a notice of “intent to Levy” 30 days ago and you forgot or ignored it. Now it’s Payday. Expecting a check, you open the envelope and find that the IRS has taken most of your money. What’s left is not enough to pay the rent, car payment, buy groceries, or pay the rest of the bills. This action will continue on every check due you, until the tax owed is paid in full.
Now you’re in big financial trouble. No matter how hard you plead with your employer they can not give you your money. Because once a wage garnishment is filed with your employer, your employer is required by law to collect a large percentage of each of your paychecks.
We are regularly retained to negotiate the release of IRS wage garnishments by arranging a payment plan. The payment plan negotiated by us is always more favorable than any IRS wage garnishment. It allows you to receive your whole paycheck without fears of future wage garnishments.
Get a Free Consultation on how to resolve your wage garnishment problems by completing the form on the right.
Is the IRS threatening to seize your personal property?IRS Seizures
Unlike the levy which involves intangible assets such as your bank account, a seizure is the taking of physical assets, such as your home or car. Seizures usually happen in aggravated cases when someone ignores many requests by the IRS over a long period of time to pay their outstanding taxes.
A Seizure should not be taken lightly. The IRS will ultimately pursue seizure of your physical assets. Don’t think they won’t. Many a newspaper or television show has reported citizens being forced out of their homes after it was sold at an IRS auction, often for as little as half its value.
When the IRS seizes your assets they want to quickly sell them at auction. They often get less than half your assets value, so they often seize everything you own including your home, cars, boats, jewelry, motorcycles, insurance polices, and even your retirement funds.
If you’ve received an IRS seizure notice, it’s time to act now! Please complete the form on the right to get a Free Consultation with our tax specialist.
Need more time to pay the IRS?IRS Payment Plan
If you don’t qualify for the IRS Offer In Compromise program, a Payment Plan may be the way to resolve your problem. Setting up a payment plan with the IRS gives you a little more time to pay off your tax debts.
Unfortunately, penalties and interest will continue to be charged on your outstanding balance as you pay the debt off. You are required by law to pay the interest on your tax debt.
The good news is that there’s a chance we can get your tax penalties removed. Please complete the Free Consultation form on the right of this page to get a better understanding of how we can resolve your tax problem.
Like to get out from under your tax burden completely?Bankruptcy
Your back taxes, interest and penalties can be wiped out by filing bankruptcy. If you qualify, bankruptcy can be the best solution to resolve your crushing tax problems.
Unfortunately, not everyone qualifies to wipe out their tax debt in bankruptcy. Certain rules have to be met first. If you file bankruptcy and don’t meet the rules, the IRS will still be in hot pursuit after your bankruptcy is over. Proper pre-bankruptcy planning is key to determining if bankruptcy is or can be a viable solution.
Let us help you determine if Bankruptcy is a viable solution for you by completing the Free Consultation form on the right of this page.
Like to get out of a tax debt caused by misdeeds committed by your spouse?Innocent Spouse Relief
Did you know that you can get out of the tax debt due to the misdeeds or fraud committed by your spouse? Innocent Spouse Relief was designed to alleviate unjust situations where one spouse was clearly the victim of fraud perpetrated by their spouse or ex-spouse.
If you qualify for Innocent Spouse Relief, you may not owe any tax. Please complete the Free Consultation form on the right of this page to see if you qualify for Innocent Spouse Relief.
Owe the IRS a lot of money? – Settle for pennies on the dollar!IRS Settlement
Did you know that you can settle your debt with the IRS for just pennies on the dollar with their Offer in Compromise program? The program allows taxpayers to settle with the IRS on tax debt that has been incorrectly assessed or for liabilities they cannot afford to pay.
The IRS Code states: “We will accept an Offer in Compromise when it is unlikely that we can collect the full amount owed and the amount you offer reasonably reflects the collection potential…” (Internal Revenue Code section 7122).
Often it is possible to fully and completely eliminate the taxes you owe – including all penalties and interest – at an enormous discount. There is no preset bottom limit that the IRS will accept to settle your debt especially if your offer is done “right.”
If done correctly your debt may be settled for only 5-15% of what you presently owe. The key is to determine the least amount that the IRS will accept from you before you make the offer.
Get a Free Consultation on the solutions to your tax problems by completing the form on the right of this page.