- Calculate your total tax debt amount: The first step that you need to take is to calculate the total tax debt amount so that you may know what exactly you need to do in order to repay the amount. Make a list of the amount and then make sure whether you have enough money to repay them.
- Get in touch with a tax debt attorney: A tax debt attorney is the person who will assist you in taking the right decision about your debts. If you have him by your side, you won’t need to negotiate with the IRS representatives alone. You can get the best advice on their behalf and this can be used in getting out of debt as soon as possible.
- Negotiate for installment agreements: If you want to pay off the entire amount but through small monthly payments, you should ask your tax debt attorney to arbitrate regarding the various installment agreements. There are guaranteed installment agreements, streamlined installment agreements and some more. Choose the one that best suits your needs and budget so that you don’t have to burn a hole in your wallet in the long run.
- Go for offer-in-compromise: Just as you settle your debts through a credit card debt settlement company, you can also go for offer-in-compromise where a portion of your debts will be waived off by the IRS tax representative. However, you have to show your immediate financial need so that they agree to your option.