Have you failed to file your taxes for at least one year or have misfiled in the past? You may be at risk for many penalties including compound interest, fees, and even an IRS levy on your wages. This can all seem daunting, but there is help. We will show you how to get IRS tax help in California below.
How to Get Rid of Back Taxes
If you have missing or unfiled IRS tax returns, you likely have back taxes. It is essential to deal with these as soon as possible as penalties and interest will continue to accrue. If the IRS has contacted you, respond using the phone number on their letter. The IRS never uses email.
The ultimate goal is to reach a settlement and come up with a payment plan. However, we do not advise that you do it alone. IRS agents represent their respective agency and not you. It is best to have the help of an IRS tax help professional in your state to get the best possible outcome.
Short and Long Term Payments Plans
IRS tax help is available in the form of several relief programs. They vary by the amount of tax debt you owe, as well as your determined ability to pay. Each individual, family, and business are different, so you are encouraged to get the best solution for your situation. You may visit the main site at irs.gov to research programs. However, we have found most visitors find the site and solutions confusing.
Two ways to get rid of back taxes include short and long term payment plans. The short term plan is available if you owe less than $100,000 in taxes, penalties, interest, and compound interest. You may get as many as 180 days to pay this bill without any extra fees – which can add up.
Those who owe more or can’t pay within that time frame may apply for a long term payment plan. This Simple Payment Plan involves a monthly payment and a set-up fee. This option can be used if you owe no more than $50,000 in back taxes and can pay over the time remaining on the Collection Statute Expiration Date. However, businesses are still limited to $25,000 owed or less over 24 months.
Partial Payment Installment Agreement
You can continue to pay reduced monthly payments if you qualify for this plan. Then, if you are unable to pay off the entire balance within the allowed period, any balance left at the end of the term is forgiven and written off.
Offer in Compromise
The Offer in Compromise option can be favorable as the IRS can agree to reduce the amount of back taxes owed in a one-time settlement. They will review items such as income, expenses, assets, and more. You must pass a pre-qualifying check in order to be considered. We recommend working with professional IRS tax help in your state in order to make the best possible deal through a thorough due diligence process and customized strategies designed to increase the likelihood of acceptance like Ace Plus Tax Resolution.
IRS Levy, Compound Interest, and other Penalties
Ignoring any sort of request from the IRS to square your taxes is not a viable plan. They will come after you and have a number of tools at their disposal.
One of the most brutal realities of the IRS collection process is IRS levies or a garnishment of your assets including wages, assets, bank accounts, property, and even social security and retirement funds. Luckily, the IRS will send you several notices and demand for payments, the last of which will be a Final Notice of Intent to Levy. Also, they can place a restriction on your passport not to renew or issue.
Another tools at their disposal is snowballing compound interest. It can accrue on a daily basis on any existing unpaid taxes, interest, and penalties until the balance is paid in full. As of January 2026, the Internal Revenue Service is charging a 7% quarterly interest rate for individuals. Even predatory credit cards only do compound interest once a month, so we highly recommend avoiding this option.
There are also many types of penalties the IRS can collect for many situations such as failing to file, failing to pay, inaccuracies in your tax return, and many others. However, you may be able to remove, reduce, or dispute a penalty under certain conditions. These include proving you acted in good faith and produce a reasonable cause for not filing or paying on time or correctly. These include extreme incidents such as fires, hurricanes, floods, and other natural disasters. Inability to get records due to the fault of another party is another reason. You may also be able to qualify if you have a serious illness or death in the family.
More on Getting IRS Tax Help in California
Do you live in California and need IRS tax help? Ace Plus Tax Resolution has the extensive experience and knowledge to help manage many situations. In most cases, we can contact the IRS and Franchise Tax Board to get the best possible outcome for your unique situation. Contact us to schedule your appointment.