IRS Collection Help!

You should consider filing Chapter 7 or Chapter 13 if you are getting calls from private collection agencies. You may be able to stop collection action, pay the IRS ahead of other creditors, or even obtain a discharge if you filed a truthful return on taxes due more than 3 years after the April 15-18 due date for that year, and just can’t pay them.

Hot off the presses!

The IRS hired new collection agencies to chase money owed. Before you start paying the IRS, contact Geraci Law to review your Chapter 7 and Chapter 13 options. Read more Geraci Law press releases at https://www.infotapes.com/Press.

The Internal Revenue Service announced on Sept. 22, 2021, that it has awarded contracts to collect IRS Debts to three new private collection agencies:

  • CBE Group, Inc., Waterloo, IA
  • Coast Professional, Inc., Albion, NY
  • ConServe, Fairport, NY

According to IRS Publication 4518, the Fixing America’s Surface Transportation Act signed by the President on December 4, 2015, requires the IRS to contract with private collection agencies to help collect certain federal tax debt. How do you know it is really someone authorized by the IRS? Not so easy. The IRS will send you a letter first, telling you who the agencies is. You will not get a phone call before you get an IRS letter.

You should consider filing Chapter 7 or Chapter 13 if you are getting calls from private collection agencies. You may be able to stop collection action, pay the IRS ahead of other creditors, or even obtain a discharge if you filed a truthful return on taxes due more than 3 years after the April 15-18 due date for that year, and just can’t pay them.

Geraci Law has much experience in either tax repayment, or tax discharge, so give us a call at 1-800-CALL-PFG.

Don’t answer any calls threatening you with arrest or garnishment. Private collection agencies cannot take any type of enforcement action against you to collect this debt (such as filing a notice of Federal Tax Lien or issuing a levy). Any collector claiming otherwise is a phony.

Should you give your bank account info to a collector? No. Send your payment directly to the IRS if you want to pay. The private collection agency can provide information on ways to pay or visit www. irs. gov/Payments for electronic payment options. Also see Publication 594, The IRS Collection Process, Ways to pay your taxes. Payment options include IRS Direct Pay to pay an individual tax bill directly from a checking or savings account at no cost. Also available are the following options: preauthorized Direct Debit, the Electronic Federal Tax Payment System (EFTPS), an electronic system to pay federal taxes via the Internet or by phone for free and paying by debit or credit card using an electronic payment service provider for a fee. 

Private collection agencies under contract with the IRS are required to conform to the rules, regulations, and provisions of the Fair Debt Collection Practices Act. Specific provisions of this

Act prohibit private collection agencies from threatening or intimidating taxpayers. If you do not wish to work with an IRS assigned private collection agency to settle your overdue tax account, you must submit this request in writing to the private collection agency. However, the IRS does have the legal authority to take these types of enforcement actions to collect an overdue account.

Don’t start sending payments unless you can pay the whole debt. The IRS is tricky, they will apply your payments to the newest tax debt, not the oldest. Any payment you make, or any payment plan, also stops the statute of limitations of 3 years for bankruptcy discharge on filed tax debt.

So, if you can’t pay your tax debt, expect collection agencies to bother you, don’t send payments to anyone other than the IRS, don’t start sending payments if you can’t pay the whole debt in a reasonable time, and think about calling Geraci Law. For more info, read the Complete Book on Bankruptcy https://bankruptcybookbypeterfrancisgeraci.com/Book33.html

Dial 1-800-CALL-PFG for a free phone mini-consultation, or make an appointment online 24/7 at www.infotapes.com.  Bankruptcy laws are in place to help you.  Who knows bankruptcy like Geraci Law?  Geraci Law has 30,000 5-star reviews 5starsince November 2016!

Read ALL ABOUT DEBT RELIEF at www.bankruptcybookbypeterfrancisgeraci.com