Consolidating consolidation de debt information
At the end of the month you find out you have more expenses than income; it’s time to figure out if you have an income problem or a money management problem.
Once you get a picture of your problem, take action. Set aside money within your budget to do something you enjoy every month.
Surprise medical expenses and family emergencies happen, and you can find yourself in over your head with back tax debt before you know it.
Have you ever wondered if you can consolidate all of your debt like people consolidate all of their credit card debt?
Unless paying back the IRS would cause economic hardship, there is doubt as to the amount owed, or you aren’t able to pay the full amount in a reasonable timeframe, it’s unlikely the IRS will grant you an offer in compromise.
The debt from each year generates its own penalties and interest (meaning the IRS doesn’t consolidate all of your debt for you as it builds up over the years).
Fortunately, the IRS will allow you to consolidate back taxes for multiple years of delinquency.
Depending on the size of your debt, these payments may stretch out as long as long as 6 years.
Even though penalties and interest will continue to accrue for the lifespan of your debt, you won’t have to pay several different installment agreements at once.