Consequences Of Tax Debt
Owing the IRS and state revenues is extremely stressful. Both the IRS and state revenues have protocols and collection activities to collect past due balances. Being aware of such consequences may inspire you to take care of your tax debt sooner than later.
Here are a few consequences to expect
- Interest and Penalties– Interest is added to your tax liability daily until paid; with a 25% maximum penalty. Penalties include a failure to file penalty and a failure to pay penalty.
- IRS Wage Garnishment– The IRS has the ability to garnish your wages when you have an unpaid balance. This means that your income can be seized and applied to your tax liability.
- IRS Levy– This consequence is for delinquent taxpayers and involves the IRS legally seizing your bank accounts, wages, or property to settle the tax debt.
- IRS Lien– Liens are placed on physical assets, such as homes or vehicles, to satisfy tax debt. This means that the IRS takes possession of your assets, or collects a portion of what you make for selling them.
- IRS Passport Denial– Major tax debt can result in the denial of acquiring a passport. State Departments can also revoke an existing passport if you’re delinquent.
Has your tax situation gotten out of control?
At CuraDebt Tax, we have a team of tax professionals who are able to find the best IRS resolution available to you. Contact us to better understand your tax problems and to choose the best IRS resolution option. CuraDebt has been helping individuals and small businesses for over 22 years nationwide. As of May 2023 CuraDebt received a score of 5 out of 5 on CustomerLobby for a total of 1179 customer views. CuraDebt is an Accredited Member of the American Fair Credit Council. Contact us for a free consultation. 1-877-999-0486. Take advantage of exploring another option for free. Not only do we handle tax relief, we also offer debt relief.
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