Tax Relief FAQs

What is Tax Relief?

Tax relief is any IRS program or policy designed to help qualified taxpayers manage, reduce or settle their tax liability. Optima Tax Relief specializes in finding the best possible solution for your tax issues through a wide range of services.

How does Optima Tax Relief work?

Optima Tax Relief’s industry-leading approach to tax relief brings clients unparalleled transparency, service, and results.

Step One: It starts with a free, no-obligation consultation.
Step Two: Our Investigation Department conducts a comprehensive review of your tax issues to design the best possible solutions for your personal situation.
Step Three: Our award-winning team of tax attorneys, CPAs, and enrolled agents (EAs) will negotiate with the IRS on your behalf to secure the best outcome possible. And if you owe state taxes in addition to federal (IRS) tax issues, our team will handle those issues through the process as well. 

How long does the tax relief process take?

Every case is different, and each comes with its own unique challenges. Although most tax relief cases are resolved anywhere from 2 to 12 months, we will be able to give you a better timeline once we determine the complexity of your case. The timeframe will vary based on the client’s level of cooperation and the response time from the relevant taxing authority. Rest assured; we will do all we can to get you the best possible result in the quickest time possible.

How much will OTR save me?

Each case is unique. It’s important to manage expectations and understand that we may not be able to save you any money at all. We have been very successful in resolving, reducing, and settling tax liabilities for those clients who qualify. In fact, we have resolved over $1 billion in tax liabilities for our clients. Once we evaluate your case, we will be able to determine what, if any, tax resolution options you qualify for.

What does a free tax relief consultation cover?

• Representing you before the IRS
• Completing all necessary tax preparation, including overdue returns
• Ending wage garnishments and levies
• Setting up installment agreements
• Setting up a non-collectible hardship status
• Preventing the seizure of assets
• Removing tax liens
• Audit defense and reconsideration
• Negotiating an offer in compromise

What do I do if I receive an IRS letter?

Tax Resolution

What tax resolution options are availablea to me?

We offer a variety of tax resolution programs, from installment plans, to offers in compromise and much more. Each tax situation is unique. View our list of tax resolution options here.

Will an Offer in Compromise affect my credit?

An Offer in Compromise will not directly affect your credit score. However, liens may be filed with a submission for an Offer in Compromise.

What types of tax professionals at Optima will work with the IRS on my behalf?

Tax Preparation

How does tax preparation work for the different types of filing statuses?

What information will you need from me to file my taxes?

• Completed Tax Organizer (provided by Optima Tax Relief)
• Income documents, such as W2s and 1099 Forms
• Federal and state tax returns from prior years
• Social security numbers for you, your spouse, and any dependents listed on your return. Not sure who you can claim as a dependent? Read more here.

Tax Settlement

What is a tax settlement?

What are the benefits of a tax settlement?

A tax settlement may allow the taxpayer’s tax balance to be significantly reduced, allowing them to move forward with a new start.

Who is eligible for a tax settlement?

Each case is unique, and taxpayers will need to qualify for a settlement. Hiring a tax professional ensures your options are fully explored so that if you do qualify, you have the highest chance of success. Generally, taxpayers undergoing significant financial hardship are more likely to receive a settlement.

How can I make sure that my settlement proposal is accepted by the IRS?

There is no guaranteed method to having a settlement approved by the IRS but having a qualified tax professional represent you can help you achieve the best outcome in most cases.

What are the benefits of hiring Optima Tax Relief instead of just going to my CPA or attorney for tax settlement help?

Optima Tax Relief’s team of tax attorneys, CPAs, and Enrolled Agents have extensive knowledge and experience resolving a wide variety of tax issues and can help you navigate your tax relief options. Optima can help you with services like audit representation, addressing IRS wage garnishments and levies, removing tax liens, reducing penalties, setting up installment agreements, and determining whether you qualify for an offer in compromise. We interact with the IRS thousands of times daily on behalf of our clients, which allows us to have the most up-to-date expertise to help resolve your tax problems and provide the best possible outcome.

Tax Audit

What is tax audit representation?

What triggers a tax audit?

What happens if I get audited by the IRS?

If you are audited, the best thing you can do is tell the IRS what they want to know. Do not ignore the situation and decide if you want or need tax audit representation to handle everything for you. Read more about what to do if you are being audited.

Are there different types of IRS audits?

Yes, there are correspondence audits, in which the IRS will send you a letter requesting documents or proof of a statement. Office audits request in-person meetings to clarify your tax information. A field audit is the most intrusive kind of audit and involves the IRS visiting you at home or work to examine your records. Generally, tax audit representation is a good idea for office and field audits.

Are there any tricks or tips for getting out of an IRS audit?

Once you are on the IRS’s radar, there are no sure ways of getting out of an audit. Your best bet is to consider tax audit representation, especially if it is an office or field audit. Remember, just because you were selected for an audit doesn’t mean there will be an increase in tax.

What happens after a tax audit?

After the IRS reviews your information, they will assess any taxes and penalties you owe. At this point, if you owe, it is a good idea to try and appeal the assessment to see if the IRS is willing to settle. Having an experienced tax professional working on your behalf for this process can give you a better chance of resolving the matter.

What do I do if I can’t pay an audit bill?

If paying your tax bill seems impossible, you should consider tax resolution options, such as an installment agreement with the IRS. You can also apply for a hardship resolution to try to settle your balance for less than what you owe. If you find yourself at this stage, you should consider consulting with a tax professional to see if you qualify and review all resolution options that may be available.