Best Tax Relief in Omaha, NE

How to get tax debt relief in Omaha

Every year, taxpayers in Omaha end up in tax debt because they underreported income or underpaid on their tax bill. Back taxes build up when taxpayers are behind on their taxes or tax filings for over a year. Whatever the cause, taxpayers qualify for professional tax relief if they have a minimum debt of $10,000. Luckily, getting professional tax relief in Omaha helps manage and reduce your debt.

The IRS creates and manages tax debt relief programs, but tax debt relief companies in Omaha help taxpayers navigate these programs and deal with the IRS. Experienced tax professionals negotiate payment agreements and seek settlements with the IRS to reduce the taxes owed. One example of these settlements is an offer in compromise.

An offer in compromise is an agreement between you and the IRS that settles tax debt for less than the full amount owed. Before the IRS considers your offer, you must be current on all your tax return filings and payments and not in an open bankruptcy proceeding. To determine eligibility for a settlement, the IRS considers your:

• Ability to pay. Eligible applicants either cannot afford their taxes or paying them would create a financial hardship. People able to pay their taxes through a payment agreement are usually not considered for an OIC.
• Income. Applicants in Omaha whose income has substantially declined due to unforeseen circumstances get priority.
• Expenses. Applicants who have significant expenses due to catastrophic issues like natural disasters or serious illnesses are also preferred.
• Asset equity. Applicants in Omaha must have little or no assets, or the assets they own must have little or no value.

Generally, the IRS approves an offer in compromise when the amount offered is the most the government expects to collect within the ten-year limit on tax collection. If you’re considering an OIC, use the IRS Offer in Compromise Pre-Qualifier to check your eligibility.

How much does tax relief cost in Omaha?

Tax relief prices in Omaha vary because tax resolution companies offer different services. Tax relief in Omaha runs as little as $250 or upwards of $10,000, but an average case costs $2,000 to $5,000. Some factors that increase the cost are the amount of back taxes owed, the time it takes to handle the case and the complexity of your resolution. Additionally, tax debt relief companies may charge fees like:

• Time-based fees: Based on the time it takes to represent the client and resolve the case with the IRS.
• Debt-based fees: Based on the amount of tax debt a client owes to the IRS.
• Upfront fees: Flat fees the company requires the client to pay before providing services.

Tax debt relief in Omaha can take as little as two weeks or up to six months. This period varies depending on case complexity and what tax debt relief programs you qualify for.

It’s worth noting that these prices do not include the amount of tax debt you owe to the IRS, only what you owe the company for tax help services. Your goal is that the money you spend on professional tax relief in Omaha is less than the money the company saves you on your tax debt.

Once you establish a plan, price estimate and fees, a tax debt relief company has you sign a contract. Make sure you read and understand all aspects before signing. Be aware that the contract requires you to pay upfront, make monthly payments or some combination of the two.

How to choose legitimate tax debt relief in Omaha

When you’re ready to look for a tax debt relief company, make sure the company is legitimate. First, check the company’s credentials. A reputable company should employ certified staff that specializes in tax relief, including licensed attorneys, certified public accountants and enrolled agents. Tax attorneys, CPAs and EAs are the only tax professionals licensed to represent clients before the IRS.

If a company does not employ these tax professionals, it’s likely a scam. You can use the IRS Directory of Federal Tax Return Preparers with Credentials and Select Qualifications to verify the credentials of or find qualified tax professionals. Beyond checking credentials, read reviews, and ask the company for customer references.

The Federal Trade Commission identifies the following red flags for fraudulent tax relief companies:

• Promising total tax debt relief
• Mispresenting how long it takes to process a debt relief request application
• Excluding necessary financial asset information to the IRS

These behaviors warrant a complaint to the IRS and you can report them on Form 14157, Complaint: Tax Return Preparer.

If you have state tax debt, visit the Nebraska Department of Revenue for more information on Omaha tax relief.