Title:

Methods of Getting Out of Tax Debt

Description:

It's actually quite common for a taxpayer to be saddled with a bill after yearly income taxes have been submitted but sometimes it's impossible or difficult for a taxpayer to cover that amount. In these cases there are a few different options for getting out of tax debt. The most popular option is an installment agreement in which a person sets up a monthly payment plan with the IRS to cover the debt. Another method is called an offer in compromise which allows a taxpayer to pay less than he owes as long as a lump sum is submitted at the beginning of the payment schedule.