If you have a tax debt with the IRS, they can eventually garnish your wages. This is where they take a portion of your check to repay what you owe in taxes. If you're dealing with this currently, here are some tips to remember.
Talk to a Tax Attorney
Before you decide officially how to approach tax garnishments, it's a good idea to talk to a professional that knows all about tax law. That would be a tax attorney. They can educate you on what your garnishment means and how you need to respond going forward.
You can trust this attorney's advice because they help a lot of clients deal with garnishments issued by the IRS. Once you have a clear understanding of what this process involves, you can work with this attorney to figure out a plan of action.
See if Installments Are Possible First
If you want to try to stop garnishments completely with the IRS, then you need to see if you can set up an installment plan with them instead. This is where you make payments monthly until you repay what you owe. This is a much better option than having money automatically taken from your check each time.
You just need to make sure you qualify for an installment plan, which you can easily do by going online and seeing what regulations are in place. You can also talk to the IRS directly to see if an installment plan is possible. Then you'll just need to make payments consistently if this plan is accepted.
Explain Any Financial Hardships That Come Up
You may not always be able to make consistent money to pay back what you owe to the IRS. If this happens because of financial hardship, such as losing your job or having major expenses come up, then you need to inform the IRS about this happening.
They may put garnishments on hold or reduce your tax bill depending on your exact circumstances. You can fill out a form that explains the financial hardship and how it has affected your current finances. Then you just need to see what the IRS is willing to do about your garnishments going forward.
Tax garnishments can happen if you don't pay back the taxes you owe. If this is potentially happening to you, there are a number of ways you can respond. You just need to take into account your specific financial situation and get professional help so that you do the right things early on. To learn about tax garnishment solutions, talk to an attorney in your area.