BANKRUPTCIES

You work hard to support yourself and your family. You have tried to do everything right, but debt problems can have a way of overtaking people. If you can no longer keep your head above water because of debts after a job loss, medical bills or high interest rates on loans and credit cards, bankruptcy may be a way to give yourself a fresh start.

CORPORATE LAW AND FORMATIONS

When starting a new business, several key decisions must be made regarding the organization, financing, management, and operation of the business. First, you should do your homework – research your business idea and prepare a business plan. Once you’ve decided to go ahead with your idea, you will need to determine the legal structure of your business (whether a sole proprietorship, partnership, LLC, corporation, non-profit, or a cooperative) and obtain financing for the start-up costs. After your business is formed, it must be registered with your state or local government – typically through filing a fictitious business name, or “Doing Business As,” statement – and obtain any permits and licenses required by your city or county. Certain industries require additional permits, such as a seller’s permit, or a license to sell alcohol. Finally, businesses must register for state and local taxes, typically including obtaining a tax identification number from the IRS. Upon formation of the business, then it is usually recommended the business establish policies and procedures for employment, operations, recordkeeping, and other important matters.

IRS NEGOTIATION

An Offer in Compromise is one avenue for settling a tax liability for less than what is actually owed. Generally, the IRS will entertain valid offers if there is some doubt as to whether the taxpayer owes the tax or whether the IRS beleives that it can actually collect the tax or if there is some doubt that the tax liablity is valid. In making these determinations, the IRS examines the taxpayer's assets and the taxpayers income. These two items give the IRS an idea of its "reasonable collection potential." The IRS agents are trained to increase this amount. It is up to taxpayers to ensure that the IRS correctly determines their reasonable collection potential. An Offer in Compromise will not be deemed to be realistic if the amount offered is less than the taxpayer's reasonable collection potential. If the taxpayer makes an unrealistic offer, the offer will be rejected by the IRS. Statistics indicate that most offers in compromise are rejected because they are not valid. There are a number of non-attorney "tax practitioner" firms that promise to use the offer-in-compromise to settle tax debts for "pennies on the dollar" without first inquiring about the taxpayers particular circumstances. Indeed, in many cases the taxpayer may not owe the government anything or the government will not able to collect the outstanding tax liabilities anyway. While some tax debts very well can be settled for "pennies on the dollar," most can not. If that were the case no one would be willing to pay their taxes. Taxpayers should be wary of any "tax resolution firms," especially one that tells the taxpayer that they can settle a tax debt for "pennies on the dollar" without having thoroughly examined the taxpayers particular situation. These "tax resolution firms" make their living by filing Offers in Compromise without advising taxpayers of their full legal rights. Depending on the taxpayers case there may be other avenues available for settling a tax liability for less than what is actually owed. For example, the IRS auditor, IRS collector, the IRS appeals officer, or the IRS attorney may be willing to settle or concede certain tax liabilities so that they can simply close the matter or they may deem the hazards of litigation too high given the amount of tax owed. These avenues should always be explored before submitting an offer in compromise. An experienced tax attorney can advise you about your rights and help prepare a valid Offer in Compromise.

DEBT SETTLEMENT

As an alternative to bankruptcy, debt settlement can be the fastest way to get out of debt. Sometimes referred to as Debt Negotiation, Debt Settlement is an approach to debt reduction that is best suited for those contemplating filing for bankruptcy, and cannot because of vulnerable assets, inability to pass the "Means Test" or the client wants to stay completely in control of their financial decisions.

REAL ESTATE

We've represented buyers and sellers of real estate in many counties throughout America. The Law Offices of Zuma Legal Services is a comprehensive real estate law firm, handling all transactional matters surrounding residential and commercial real estate deals. We zealously advocate our clients' interests to ensure their expectations of both the real estate deal and our representation are met. Our fees are reasonable, and our committment to personalized service unmatched. Contact us today for a free consulation if thinking about buying or selling a residential or commercial property.