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Steps to take when facing back taxes as a business owner

On Behalf of | May 23, 2022 | Tax Debt

Many business owners have hectic daily schedules that leave them facing various difficult decisions and a multitude of responsibilities. Should business owners in Georgia get caught up in other matters and miss a tax deadline, or if their ability to pay taxes is constrained by financial challenges, they might have concerns about the possible repercussions involved. Knowing some of the steps to take when facing back taxes as a business owner could be vital to preparing to safeguard the longevity of one’s company. 

The next steps 

After falling behind on taxes, business owners might worry that interest rates will continue to accrue or that the IRS might place a lien on their business property. When facing similar issues, one could consider requesting more time to catch up on tax debts by filing for a tax extension. Even though facing similar issues can be intimidating, experts indicate that remaining in contact with the IRS and responding to any notices could also be imperative. 

There may also be certain options to help reduce the burden of tax debts, such as speaking with the IRS about payment plan options. In some cases, business owners who are facing dire financial challenges may also be eligible to file a request to enter currently not collectible status. While there may be various steps to take to help address business tax debts, choosing the best path for one’s situation might not always be a simple task. 

Where to turn 

Business owners who face back taxes and wish to know more about their available options and how to choose the best path forward could find it helpful to consult with legal counsel as soon as possible. An attorney in Georgia can address the situation a client is facing and assist him or her in preparing to make informed choices about the available options. Such guidance could help place a business owner in a better position in which to seek relief from the trials of tax debts and protect the future of his or her business.