By Dagny Kight
We’ve all had the experience of losing a whole day sitting in some government office or being frustrated by government red tape. You’re rightfully justified if you think that government agencies are something less than efficient! So you’ll probably be shocked if I dare to suggest that I think the Internal Revenue Service is making great strides in improving efficiency! And what may surprise you even more…You could benefit from the changes that have been made!
If it seems like there’s been an increase in advertisements for tax settlement and tax resolution firms, you’re right. In today’s tough economy, more people than ever are finding themselves with tax problems. The IRS is feeling the impact too! Not only is the IRS being deluged with applications for back tax payment arrangements, but in 2011, over 5000 IRS employees lost their jobs through a wave of deep budget cuts. And get this! The jobs that were eliminated were primarily from the ranks of enforcement personnel. You read that right. Thousands of IRS auditors were laid off!
Buried under mountains of paperwork and working with fewer staff, IRS Commissioner Douglas Shulman announced major changes in 2011. If you owe back taxes, these changes could affect you significantly. My ebook, Lower Your IRS Debt, covers the IRS program that accepts applications to settle your tax debt based on your ability to pay. The IRS has broadened the eligibility for this program to accept more people. In fact, you can apply with an income up to $100,000 and a tax debt up to $50,000. These maximums are double what they were previously. The IRS has also instituted numerous new procedures aimed at processing applications faster. What used to take six to 18 months, now takes about three or four months. The IRS literally wants to get you in and get you out!
It’s never a good time to have a tax problem but if there can be a good time to get it taken care of. That time is now!