Tax lien question?

Question

Do you think its better for me to deal with the IRS directly and work with them or pay someone $3500 to do it? My lien is 42,000 and this online outfit said that can whittle it down to between 3000- 4000. How can they gurantee that?

The paperwork is too much for me to handle and thats why I am considering this.

Answer 1

They're bs'ing you.

You could talk to a local CPA to fill out the offer in compromise.  Be aware that most are not accepted.

Answer 2

Consider doing it yourself, if you can afford to pay some one $3500 to deal with IRS you can instead send that money to IRS.  All you have to do is complete form 9465 Installment Agreement Request and Form 433-F Collection Information Statement (anyone that owes over $25K, must complete the Form 433-F to prove they can pay) also complete Form 433-B if you have your own business (self employed) On both form bank statements for 3 months; pay stubs and prove of any other payments you are making must be mailed to IRS.  IRS will then let you know if your proposed payment amount is acceptable.  

You can do it! Just don't ignore IRS>Good luck

Answer 3

I am an enrolled agent, a tax specialist licensed by the US Treasury Department Office of Professional Responsibility and specialize in representing taxpayers the same way as "online outfits" but for about a third of their fees.  I will say right out that I cannot gurantee that I "can whittle it down to between 3000-4000" and nobody else can either.  If they do, ask if they will wait to collect their fees until after delivery of the goods and see how quick the conversation ends.   Depending on your individual situation there are a number of different ways an account can be resolved.  Settling for a percentage of the amount due may or may not be one of them.

If you would like some additional information outside this forum, you can send me email through my profile.