Myth: Tax Debt Automatically Means Jail
Owing the IRS does not automatically mean jail, wage garnishment, or seized property.
The IRS usually wants a workable collection solution. “Fresh Start” is not one magic forgiveness program. It is a broad name for several relief options, including payment plans, Offers in Compromise, penalty relief, and hardship status.…
The Paycheck Nightmare
Few things feel worse than opening your paycheck and realizing a huge chunk of your income is gone.
That is what can happen when unpaid tax debt gets ignored. The IRS can bypass you and send a legal garnishment order directly to your employer.
Once that happens, your payroll department may be…
The 10-Year Expiration Myth
Here is something many taxpayers do not know.
The IRS does not have forever to collect unpaid tax debt. In most cases, the IRS has a 10-year collection window to collect what you owe.
This deadline is called the Collection Statute Expiration Date, or CSED.
Once the CSED expires, the tax…