Taxes are a pain, it is true, but they are also a necessity when you consider all of the work that needs to be done to keep our country running. Personally, the tax which I hate the most is income tax. When I see how much gets taken out of my paycheck I feel like I am being punished for trying to survive. Most states, 43 of them in fact, and most localities impose income taxes in the United States. Therefore, there are few places that you can run to that income tax will not follow The plus side here is that all governments also offer tax exemption for certain incomes, certain properties, and certain people.
The key is to find out which taxes you are exempt from and then taking advantage of those exemptions. At the same time, you must make sure that you are still operating within the law. Claiming an exemption which is not valid could result in the IRS noticing the error and determining that you actually still owe them money. If you are not careful, then you may need to pay back taxes to IRS agencies.
Did you know that since 1791 the IRS has had the ability to levy assets for federal taxes? This means that the IRS can seize property that a taxpayer owned, or it can seize assets that were owned by a third party such as a brokerage or a bank. Now which is more painful. Paying federal taxes, which could be between 10% and 39.6% of your taxable income, or having your house and your car taken away? Truthfully, they sound equally painful to me, but for most people it would be more difficult to lose a house or a car than it would be to just pay the taxes in the first place.
If you do find yourself in hot water, needing to pay back taxes to IRS agencies, then you may want to find a tax relief lawyer. What does a tax lawyer do? They do many things including helping you pay IRS back taxes owed. One thing you will definitely want to do is employ tax lawyers to at least help with negotiating with the irs on back taxes.
The entire process will likely be excruciating, but think about how much worse it will be if you neglect to acquire a tax relief lawyer. The very best thing that you can do to avoid the need to pay back taxes to IRS agencies is to just pay your taxes in the first place. If you plan to take exemptions, then at least do it with the help of a professional. Continue reading here.