Income Tax Penalty

Has the IRS informed you that your tax return is subject to an income tax penalty? Perhaps you weren't even aware that improper filing can result in financial penalties that may make paying your taxes a lot more difficult. An income tax penalty can be caused by a variety of reasons. Because someone without an extensive background in tax return preparation, including knowledge of the constantly changing IRS policies and procedures, may not have the skills and information needed to file tax returns without fear of penalties, it is always a good idea to consult with a professional taxpayer advocate service.

Late penalties
When you return a movie to the movie rental store after it is due, your account will be subject to late penalty. The same goes for IRS tax returns. Filing your taxes after the due date will inevitably result in an income tax penalty. According to the IRS website, the late penalty you will most likely be assessed will be equal to one-half of one percent of whatever tax you owe for every month that the tax remains unpaid. However, even the IRS can be reasonable, and if you can show that you have just cause for missing the deadline, you may not have to pay the income tax penalty.

Keep in mind, however, that you will be charged interest on whatever tax you owe the IRS, regardless of how late your payment, or how convincing your sob story may be. And interest can really make your tax bill grow unreasonably large.

Serious income tax penalties
Of course, there are much more severe income tax penalties that you can be subject to from the IRS. Tax fraud is just one example of a very serious crime that can result in serious consequences, often a fine or even jail time. If you willfully complete an inaccurate tax return, you will be very lucky if you escape IRS penalties.

Avoiding an income tax penalty
Unfortunately, falling behind on your taxes will result in income tax penalties being assessed against your account. It may seem unfair to people who cannot afford to pay their taxes in a lump sum payment because penalizing them with late penalties and interest charges will not make it any easier to repay their tax debt.

That's why avoiding getting an income tax penalty in the first place is probably your best bet. However, this isn't always possible, and sometimes circumstances are beyond your control. That's why you should contact one of our experts at IRS Problem & Tax Lien Help Group. We can help you manage your tax problems, however serious they might be.

Our experience in dealing with the IRS will benefit you because we can advocate on your behalf. You shouldn't have to deal with the anxiety and frustration that can come with speaking to an IRS agent. An IRS representative knows her tax policies like the back of her hand, so don't get caught without the right answer. One quick and free consultation with one of our experts can help solve all of your tax problems.

Our consultations are always free. Contact a representative here, and avoid or reverse and IRS wage garnishment decisions in your future. The call is free, the advice is priceless.

Read more about the facts behind offer in compromise here.

Offer In Compromise

Free Tax Consultation
If you're finding yourself drowning in tax debt, we may be able to help. Get your life back on track with one free 10 minute consultation.

Testimonials
Read what just a few of our clients have to say about our tax relief services.