Northwest Georgia Tax Liability Attorney
Providing Bankruptcy Services for Tax Liability Cases
A tax liability, also known as a tax obligation, is an amount legally owed to a taxing authority regarding a certain taxable event. Bournakis and Mitchell, P.C. offers reliable legal services for clients facing tax liability issues. Contact us at (706) 295-7376 today to learn how our Northwest Georgia bankruptcy lawyers can help.
Common taxable events that result in tax liability:
- Receipt of income
- Defaulting on a mortgage
- Converting a traditional IRA into a Roth IRA
- Receipt of interests or dividends
- Benefiting from loan forgiveness
- Taking money out of a retirement plan and waiting too long to roll it over into a new retirement plan
- Creation of capital gains (typically through selling assets for a profit)
You can pay your tax liability in various ways, including by electronic payment or by sending a money order or check that is made out to the “United States Treasury.” When paying tax liability, you must make sure to pay the full amount and include your social security payment as well. Licensed to practice in Georgia, the Northern District of Georgia, and the Supreme Court of the State of Georgia, our Northwest Georgia bankruptcy attorneys have the experience to handle a variety of issues that can arise regarding tax liability. We offer services in English, Spanish, and Greek for your benefit.
Installment Agreements & Managing Your Tax Liability
If you cannot completely pay off your tax liability in one lump sum, the IRS offers partial payment plans. The IRS also offers short-term extensions of time ranging from 10 to 120 days to pay the full amount. If you need more time to pay, you can apply for an installment agreement that is based on your ability to pay.
Types of installment agreements:
- Regular installment agreement
- Payroll deduction from your employer
- Direct debit from your bank account
It is important not to ignore an IRS notice. If you fail to make the payments or agreements, the IRS may file a Notice of Federal Tax Lien, which may use enforced collection action that could include serving a Notice of Lien or offsetting a tax refund. If the IRS determines that you cannot pay your tax liability, however, it may temporarily delay collection until your financial situation improves, but it is important to have proper documentation such as rental agreements, current pay stubs, car lease or loan statements, and mortgage statements to prove your financial condition. At Bournakis and Mitchell, P.C., our Northwest Georgia bankruptcy attorneys can discuss your options and represent you for tax liability issues.