They Start Small: Virtually every major IRS problem begins as a small one. If the small problem is handled quickly and affectively, the horrors of a worst-case scenario can be prevented. If you take steps well ahead of any IRS action you can protect yourself from the ravages of tax collection.
Stay On the List: Most people dream of dropping off the IRS’s mailing list. But this creates more problems. If the IRS has outdated information on your address you wont be able to receive their notices. You could be blindsided by a Tax Levy or Lien all because you didn’t get proper notice and thus couldn’t reply. Use IRS form 8822, “Change of Address” to keep the IRS updated on your address.
Get More Time: Many penalties for late filing can be avoided by using the simply by filling out the Tax Extension Form, Form 4868 “Application for Automatic Extension of Time to File US Individual Income Tax Return”. File this form on or before April 15 and you get up to 4 additional months to file your tax returns- no questions asked!
Avoid Tax Scams: Research, Research, Research! Since you’re here reading this you’re already off to a good start. There are many Tax Scams out there that claim to be a legit way to help get you out of debt. Countless people have followed bad advice and ended up with a huge debt on their hands. Continue your Research and make sure a sourced provided ample proof before you take bad advice and end up in hot water. Here are some red flags to help bust those tax scams:
– If it sounds too good to be true… it probably is. Be wary if you read radical strategies that promise to Reduce or Eliminate your Tax Debts Quickly and Easily- with the IRS it’s never that simple.
– Credit Card: If a company is asking for your credit card information over the phone, watch out. This company is probably just trying to scam you! Credit card information is not something you should deal over the phone.
– Retainer Fees– Any company that uses the term “Retainer Fee” is just trying to is just trying to get you hooked into a contract so they can charge you more money later. Don’t trust a company with a retainer fee.
Keep out of Trouble: Adopting good habits and consistently using them will keep you out of trouble with the IRS for good. Don’t hesitate, use your new knowledge and stay out of Debt.
Now you Have the Smoking Gun…Use it!