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Welcome to Ideal Tax
We are Tax Debt Relief Made Easy
Solve Your IRS Tax Problem Once & For All.
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Here's How It Works
If you’re experiencing or worried about tax liens, levies, garnishments, or more, now is the time to learn about your options to protect yourself and resolve your tax burden.
Tax debt reduction programs such as the IRS Fresh Start Program provide real relief but can be very complex to navigate. We can help you solve your IRS-related issues by leveraging the law in your favor and potentially can save you thousands of dollars.
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We Have Many Inroads with the IRS to Help You Out of Tax Problems
The reality is your tax problems are not going away on their own, they are only going to get more legally complicated. So you will start losing all your savings and assets. Start by acknowledging that it may be time to take the first step towards getting professional help and be comforted by knowing there are many solutions you can leverage with an expert.
Ideal Tax is a tax resolution and mediation company that specializes in reducing tax debt, removing of wage garnishments, bank levies and liens on property, securing tax debt relief options, and assisting with tax audits while providing protection against property seizure.
Ideal Tax is a leader in the tax resolution industry and is recognized as an Accredited Business with the Better Business Bureau, holding an A rating. IT is headquartered in Orange County, California, and is licensed in and provides tax resolution service to 48 states.
A Tax Consultant or Tax Advisor is a financial expert specially trained in tax law. Tax Consultants are specially trained and experienced with tax law and complicated financial matters. Their skill with tax issues allows them to properly investigate and resolve complicated tax issues.
Our Tax Consultants have helped hundreds of taxpayers through consultation and investigation into complex tax problems. Let our experienced tax professionals help you evaluate your tax debt problem and structure the proper path to resolution.
Case Managers are very important members of our team as they help organize your case from start to finish. Case Managers are essentially your personal assistants as they help you coordinate just about everything on your case.
This includes anything from making sure Ideal Tax has all the necessary documents required to move you along the resolution process, to setting up appointments for you to speak to your assigned Tax Attorney or Enrolled Agent.
Contacting your personal Case Manager is incredibly easy and simple. Ideal Tax Solution made it easy by design so that you can always reach someone who knows exactly what you need, rather than having to speak to countless numbers of other people.
Your Case Manager is always ready for anything you may need which may be assisting you in getting your IRS transcripts, to just getting a status update on your case.
An Enrolled Agent is a person who has earned the right to represent taxpayers before the IRS. They can only earn the privilege of being deemed an Enrolled Agent by either previously working for the IRS in a tax representative capacity, or by passing a comprehensive IRS test covering individual and business tax returns.
Agents must maintain their status by adhering to ethical standards and completing continuing education every three years. This ensures they maintain a high level of knowledge and continue to maintain their elite status in the representation of taxpayers.
Our Enrolled Agents have helped hundreds of taxpayers through careful and comprehensive negotiations with the IRS and are elite tax mediators. Let our experienced tax professionals help you resolve your tax issue and negotiate a solution to your tax debt problems.
Tax attorneys are lawyers who have a Juris Doctorate but who also have specialized education in tax law. Tax attorneys better understand the finer details of tax law which can be helpful to taxpayers who are having problems with the Internal Revenue Service or State Tax Board.
Because tax law is constantly changing, a good Tax attorney must stay abreast of the changes that can affect taxpayers. Tax attorneys are trained to handle many tax-related problems and can help resolve issues with the IRS by negotiating directly with an IRS investigator on behalf of the client.
Our Tax attorneys have years of negotiation and mediation experience and are experts in dealing with the IRS and other government agencies to solve tough tax problems.
Let our experienced tax experts help you resolve your tax issue and negotiate a comprehensive settlement. Learn more information about the IRS tax debt forgiveness program.
Frequently Asked Questions
There is no denying that the COVID-19 pandemic has drastically increased the cost of living. The employees who work wage jobs and the employer with payroll responsibilities have been financially impacted by the coronavirus pandemic for various reasons, such as excise taxes and how customs, import, and export prices of goods like fuel have skyrocketed.
Tax relief is a United States government program that assists individuals and businesses in finding the best way to pay down their tax debt when they owe money to the IRS.
While there are many forms of tax relief that can help with taxes and tax debt, this process typically involves setting up a payment schedule or negotiating a settlement with the Internal Revenue Service to make paying taxes less stressful and more achievable as opposed to getting rid of your tax obligations altogether.
The eligibility criteria for the different forms of tax debt relief depend on a variety of factors, including how much you owe to the IRS in back taxes, how up to date you are on filing tax returns, how current you are on tax payments for the year, and your ability to pay your tax debt. To qualify for IRS debt relief, the taxpayer must be up to date in filing their tax returns for the current year and must owe more in taxes than they can reasonably afford to pay.
In 2020, the average tax debt for Americans was just $16,849, and the most common reason for this accumulation of tax debt is owing more than expected.
Paying taxes can feel overwhelming, but if a person is looking to reduce part of their tax debt when they owe money to the IRS, consulting tax pros like the experts at Ideal Tax can help them optimize their filing by analyzing their sensitive information and advising them on which tax relief programs can help them lower their tax liability. Experts can also assist in the tax debt relief application process as well as with tax preparation.
Tax pros at an experienced tax relief company can offer guidance to struggling taxpayers so they can best approach their tax relief options, review their tax records and gross income, optimize their tax refund, and potentially reduce their tax debts by more than half to save them hundreds to thousands of dollars. Additionally, a tax professional can prevent individuals from going to collections or having their assets, such as real estate property, from being seized or pressured into foreclosure sales.
It can be challenging to navigate the legal jargon of the IRS tax code, so receiving professional tax help from a power of attorney who can answer their questions about unemployment benefits, manage the mail, phone calls, and emails with the IRS, and provide translation of different languages, including English and Spanish, can be one of the best ways to resolve their tax situation.
The goal at Ideal Tax is to provide tax help and achieve a positive result for everyone who seeks their tax services, no matter what their situation is. If you receive notices from the IRS, you can call the office to request a free consultation call to gain clarification of things on the Ideal Tax site and to learn if the fee will result in meaningful changes in your tax situation.
Ideal Tax is a California-based tax debt relief organization servicing all 50 states, from Washington to Maryland, that promises to acknowledge any deadline and prioritize efficiency as they provide services to their clients to navigate the tax relief process from start to finish.
Our job is to help others through their unfortunate tax circumstances and give them peace of mind. To learn more about Ideal Tax, check out our Linkedin and YouTube.
The biggest risk of utilizing a tax debt relief company is not successfully resolving your IRS debt. In truth, there are many scams out there that take advantage of unknowing people who are stressed about their tax issues, such as their credit card debt, trouble with mortgages, student loans, or filing for bankruptcy.
A red flag to look out for when you research or Google which sites you should use to help is if they lack positive reviews. Additionally, if a company makes drastic claims about how much cash it can save you and fails to mention a disclaimer about the eligibility requirements for IRS tax relief, you should question the agency’s legitimacy.
Instead of providing tax help, the wrong tax company can add insult to injury and make your tax problems worse, so it is important that clients know their rights and conduct thorough research when seeking professional help with the navigation of tax relief.
Considering how much a tax relief company charges is also an important factor to consider. Some tax debt relief companies charge a percentage of the total tax debt, such as 10% to 20%, whereas others charge a flat fee, such as $1,000, so it is beneficial to compare this statistic when choosing a tax relief company. Additionally, reviewing a company’s advertiser disclosure will increase your likelihood of selecting a reliable tax debt relief service.
Expanding your education about the tax system is one of the best ways to improve your tax situation in the long term. There are many free resources and tools you can access online with just your laptop that offer tips for maintaining a good standing with the IRS.
There are public articles that offer an overview of tax topics, highlight the latest tax news, and provide instructions on the steps to navigate loan applications and other tax paperwork. Other times, an article will list valuable facts and statistics, such as a report of interest rates or changes in business tax statistics.
Many websites also offer a free calculator tool that allows clients to estimate what they may owe in taxes, which can be helpful for them to get an idea of how much they will have to pay when tax season comes around and allow them time to explore their payment options.
The Internal Revenue Service (IRS) and the Federal Trade Commission (FTC) are two reputable sources to learn about taxes and debt settlement.
There are 3 main types of taxes: taxes on what you earn, what you buy, and what you earn.
Types of taxes on what you earn:
- Individual Income Tax
- Corporate Income Tax
- Payroll Tax
- Capital Gains Tax
What you buy:
- Sales Tax
- Gross Receipts Tax
- Value-Added Tax
- Excise Tax
What you own:
- Property Tax
- Tangible Personal Property Tax
- Estate and Inheritance Tax
- Wealth Tax
Tax liabilities are defined differently for individuals and for businesses, but in general, it is considered the total amount of tax owed to local, state, and federal governments.
This figure relates to your taxable income, a sum calculated based on your adjusted gross income (AGI), which is your gross income minus certain expenses you make during the year that you can deduct.
Individuals can learn how much money is owed to the IRS by consulting their tax return, a form of documentation reporting their income, expenses, and other financial information that helps them calculate their tax liability and tax return.
Tax liabilities are accrued whenever a taxable event occurs, such as earning income, making a sale, and issuing payroll. Tax liabilities are calculated based on a percentage of the total income of the taxable events for the individual or business that year and can include the sum of income taxes, sales tax, and capital gains tax.
Tax liability for individuals is often withheld from wages or salaries, or sometimes, the taxes must be paid out of pocket by the individual. Usually, the employer responsible for coordinating payroll will withhold a percentage of their employee’s income to cover the employee’s tax liability for the year. This portion of wages or salaries that are withheld, however, only represents an estimate of the total liability the employee will owe for that year.
At the end of the year when the individual files their taxes, if the amount withheld is less than the taxpayer’s total tax liability for that year, they will owe the difference and must complete the final payment to the IRS. If the withheld amount exceeds the taxpayer’s total tax liability, the difference will be returned to the individual as a tax refund. If you qualify for a tax refund, you can expect to receive your refund within 21 to 42 days of filing your taxes.
Tax liabilities for organizations are short-term liabilities that must be recorded on a balance sheet and paid within the year. What people must be aware of, is that business owners may be subject to double taxation when the owner and their business are considered separate legal entities, both the business’ income and the individual’s personal income will be taxed.
However, sole proprietorships, partners, and LLCs are not double-taxed, so there can be a large variation in taxes owed depending on the type of business structure.
What is a statute of limitations?
The Statute of Limitations law defines the maximum amount of time an involved party has to initiate legal proceedings regarding a case.
The IRS Fresh Start Program, or the Fresh Start Initiative, is a tax relief initiative created by the U.S. Federal Government to provide help with taxes for unknowing taxpayers who were punished by compound interest and financial penalties due to their unpaid tax debt.
This initiative is one of the best sources of tax relief and can relieve taxpayers who qualify for up to a 90% deduction on what they owe. With the Fresh Start Program, individuals can more comfortably catch up on their back taxes and avoid a tax lien, levy, or in extreme cases, jail time.
What are the main types of tax debt relief?
- Offer in Compromise (OIC)
- Currently Not Collectible (CNC)
- Installment Agreements
- Penalty Abatement
An Offer in Compromise is the most common example of federal tax relief that individuals and businesses may qualify for to settle their total tax debt. Certain taxpayers are eligible for an offer in compromise, which allows them to settle their debt for less than what they currently owe in back taxes.
The IRS considers your eligibility for an offer in compromise based on your ability to pay, income, expenses, and asset equity. An offer in compromise is most likely to be approved when the offered amount is representative of the most that could be paid within a reasonable length of time.
When an account is deemed currently not collectible, the individual still owes the total amount of their debt, but the Internal Revenue Service is delaying the collection of payment until their financial situation is improved. The temporary delay in the due date of the tax collection process offers eligible taxpayers the opportunity to get their finances in order before making substantial tax payments. Additionally, while their account is flagged as non-collectible, the IRS will not be able to place wage garnishments, make withdrawals, or send a notice of levy on their bank accounts.
Taxpayers can apply for the delay in tax collection by completing a Collection Information Statement and providing proof of their financial status, including details about their assets, monthly income, and expenses. If the IRS determines your gross income each month is too low to pay what you owe without triggering financial hardship, the tax benefits of being listed as currently not collectible allow you to manage your funds or potentially increase your earned income until you are fiscally prepared to pay tax.
Individuals and businesses can apply for an installment agreement that allows them to make a payment plan for their debt to relieve the burden of paying off their full debt in one lump sum when they owe money in taxes that they can’t afford to pay. There are several types of payment plans that both businesses and individuals can utilize to manage their debt. During this arrangement, the taxpayer typically makes monthly installments for a predetermined length of time, which makes filing taxes more financially manageable.
While this example of tax relief can save taxpayers from the burden of paying everything in a lump sum, it is important to note that delaying their payments can lead to the accruement of additional interest fees and penalties until your balance is paid in full.
The first-time penalty abatement is an administrative waiver that exempts eligible taxpayers from the penalties of failing to file, pay, or deposit their taxes. This example of a tax relief program is incredibly beneficial in reducing additional tax wages. However, there must be a legitimate reason for not paying your taxes on time for you to be considered eligible for penalty abatement.
In general, simply “lacking funds” will not be considered a legitimate reason for a late or missed tax payment. Reasonable causes to be excluded from tax penalties include disaster situations such as fires, flash floods, other natural disasters, death in the family, serious illness, or other serious incidents that could suddenly impact your ability to file your taxes.
If there are erroneous details listed when couples have a jointly-filed tax return, Innocent Spouse Tax Relief places the tax liability on the guilty spouse while relieving the innocent spouse, man or woman, of the IRS consequences if they were partially or wholly unaware of the understatement of taxes.
Tax credits are a beneficial type of tax relief that can change the amount of tax you owe to the IRS by reducing the taxes on your expenses that the government deems worthy of investment. Tax credits are subtracted directly from the total tax liability due, and although they do not reduce your taxable income such as through tax deductions, they lower the actual tax bill amount that you owe to the government that year.
Types of Tax Credits:
- Having a child or dependent that you pay living expenses for
- Adopting a child during that tax year
- Being a student and having school-related expenses
- Switching to energy-efficient appliances that make energy-saving improvements
- Being disabled or elderly
- Contributing to a retirement plan
Unlike tax deductions, tax credits are considered incentives because taxpayers are reimbursed for investments that the government deems worthwhile. This type of tax relief allows taxpayers to improve their livelihood through strategic investments that improve their future while enjoying the benefit of reducing part of the money they owe to the IRS.
Child Tax Credit
Compared to other forms of tax credits, the child tax credit instilled by the American Rescue Plan has been one of the most impactful in helping adults follow the tax code. As of improvements made in 2022, the child tax credit provides tax relief for most working families by offering $3,000 to $3,600 per qualifying child living in their primary residence compared to the $2000 per child allowance identified in 2020.
This tax relief incentive is the largest tax credit in history, and although some limitations apply, almost all parents with children under the age of 17 can receive at least some child tax credit. As the cost of raising a family continues to increase, this tax relief incentive greatly helps families navigate the tax burden that they would otherwise owe.
Earned Income Tax Credits (EITC)
Eligible applicants can qualify for an earned income tax credit of up to $7000, depending on their income, the number of children they have, and marital status. This tax credit significantly benefits someone who is eligible by reducing part or all of their tax bill and, in the best case scenario, potentially earning them tax refunds.
While these terms sound the same, there are differences between tax liens and levies. A tax lien is when a creditor places a legal claim over your assets, such as your property or bank account, to secure payment for your tax debt. A tax levy is the process of actually going after the property or assets to secure payment for the tax debt.
Tax payments are not directly included on your credit report unless you pay taxes using your credit cards or loans.