• Facebook
  • Twitter
  • Linkedin
BACK TAXES HELP
  • Tax Problems
    ▼
    • Tax Problems Overview
    • Audit
      ▼
      • Audits Overview
      • Audited and Can’t Pay
      • Avoid Tax Audit
      • Statute of Limitations
    • Business
    • IRS Letters
    • Tax Levy
      ▼
      • Tax Levy Overview
      • Bank Levy
      • IRS Asset Seizure
      • Protect Assets
      • Release Tax Levy
      • Social Security Garnishment
      • Tax Levy Appeals Process
      • Wage Garnishments
    • Tax Lien
      ▼
      • Tax Lien Overview
      • Release or Withdrawal of Tax Lien
      • Appeal Tax Lien
      • IRS Form 14135: Discharge Tax Lien
      • IRS Form 12277: Request Lien Withdrawal
    • Tax on Settlement of Consumer Liabilities
    • Tax Penalties
      ▼
      • Tax Penalties Overview
      • Failure to File Penalty
      • Failure to Pay Penalty
      • IRS Interest Underpayment
      • Late Filing Penalty
      • Late Payment Penalty
      • Tax Evasion
      • Tax Fraud
      • Trust Fund Recovery Penalty
    • Unfiled Taxes
      ▼
      • File Back Taxes
      • Unfiled Taxes Return
      • Unfiled Tax Return Consequences
    • Unpaid Taxes
      ▼
      • Unpaid Taxes Overview
      • IRS Collections: How The Process Works & How to Stop It
      • Find Out Tax Amount Owed
      • IRS Statute of Limitations
  • Tax Solutions
    ▼
    • Tax Solutions
    • Bankruptcy
    • IRS Tax Appeal
      ▼
      • IRS Tax Appeal Overview
      • IRS Collection Due Process (CDP)
      • Collection Appeals Program (CAP)
    • Payment Plans
      ▼
      • Payment Plans Overview
      • Installment Agreements
      • Short-Term Extension
    • Tax Settlement
      ▼
      • Tax Settlement Overview
      • Innocent Spouse Tax Relief
      • Offer in Compromise
      • Penalty Abatement
      • Prove Financial Hardship
      • Tax Negotiation
  • State Tax Relief
  • About Us
    ▼
    • About BackTaxesHelp
    • Tax Professionals
      ▼
      • Tax Professionals Overview
      • CPA
      • IRS Enrolled Agent
      • Tax Attorney
      • Tax Resolution Services
      • Taxpayer Advocate Services
      • Low Income Taxpayer Clinic
      • Tax Relief Scams
    • Tax Services
      ▼
      • Our Tax Services
      • Tax Process
    • Testimonials
    • Our Team
    • Get A Quote
  • Resources
    ▼
    • Resources Overview
    • Back Taxes FAQ
    • Forms: IRS and State
    • How To
    • IRS Phone Numbers
    • Power of Attorney
    • Tax Filings
  • Tax Blog
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer

Back Taxes Help HomepageBack Taxes Help

Get tax help

Call for a Free Consultation800-928-5035
Call for a Free
Consultation
800-928-5035
  • Tax Problems
    • About Tax Problems
    • Audit
    • Business
    • IRS Letters
    • Tax Levy
    • Tax Lien
    • Tax on Settlement of Consumer Liabilities
    • Unfiled Taxes
    • Unpaid Taxes
  • Tax Solutions
    • About Tax Solutions
    • IRS Tax Appeal
    • Repayment Plans
    • Tax Settlement
  • State Tax Relief
  • About Us
    • About BackTaxesHelp
    • Tax Professionals
    • Tax Services
    • Testimonials
    • Our Team
    • Get a FREE Quote
  • Resources
    • Tax Resources
    • Back Taxes FAQ
    • Forms: IRS and State
    • How To
    • IRS Phone Numbers
    • Power of Attorney
    • Tax Filings
  • Tax Blog
Home / Tax Law Changes / What’s the Deal With the IRS’s New Tax Liability Collectors?

What’s the Deal With the IRS’s New Tax Liability Collectors?

July 31, 2017 By Manny Vetti

  • Facebook
  • Twitter
  • Linkedin

Tax reliefThis spring, the IRS started working with some private liability collection companies. The program is in its early stages, but there are already reports of problems. If you owe money and you’ve received a call, here’s what you need to know.

Scams Versus Legitimate Liability Collectors

Currently, there are scam artists who call people and pretend to be the IRS. These scam artists convince people to pay liabilitys they don’t even owe. Of course, the money doesn’t go to the IRS. It goes to the scam artist. How do you tell the difference between a scam and a real call?

First, the IRS always sends a letter saying that it is transferring your account to an outside collector. The liability collection company should also send you a letter. If you haven’t received a letter from the collection agency, you don’t have to talk to them. Ask them to fax or email over a copy, or tell them to call back in a few days. Sometimes, they send the letter and start calling on the same day.

Second, a legitimate liability collector should never pretend to be the IRS. Instead, they should say. I am calling from ABC Collection Company on behalf of the IRS. If they are pretending to be the IRS, they are not legitimate.

If you aren’t sure if you owe money or not, you can check at https://www.irs.gov/payments/view-your-tax-account.

Making Payments to the IRS

If the liability collector is trying to force you to use a credit card over the phone, that may be a scam. Do not give them your account number. You can make payments online or mail checks to the IRS. Checks should always be made out to the United States Treasury. Do not make out checks to the collection agency.

Payment Plans for Old Tax Liabilities

Third party liability collectors working on behalf of the IRS have the ability to set up payment plans and help organize payments. However, if you don’t want to work with the collector, you don’t have to.

If you owe less than $50,000, you can request a payment plan on the IRS’s website. Otherwise, you can send Form 9465 directly to the IRS.

Sharing Information With Liability Collectors

One of the main complaints about private liability collectors is that they have been convincing taxpayers to use retirement accounts or credit cards to pay their bills. This is a common practice among liability collectors. They steer people toward all kinds of payment options that are not in their best interest financially.

To find out about your personal finances, the collector may say something such as “I need to ask a few questions to update the file”. Then, they’ll start asking about retirement accounts, open balances on credit cards, or even car payments. You are NOT obligated to answer these questions, and the collector is only asking you to get information. They may even start asking about friends or family members.

Liability collectors often try to scare people into turning to their friends or family for help. They engage in an emotional game where they convince you that the situation is dire. They make you believe you have no other options than borrowing from your social circle.

Scare Tactics of Liability Collectors

The important thing to remember when dealing with liability collectors is—they work on commission. These private collectors are personally invested in whether or not you pay your bill, and if they smell money, they will try to coerce you into paying.

However, liability collectors are not legally allowed to lie or issue empty threats. They cannot threaten to garnish your wages or seize your assets. Only the IRS has the right to take these steps. If a tax collector is threatening these actions, they are lying, and they are breaking the law.

Your Rights With Liability Collectors

You have rights in this situation. Third-party liability collectors must abide by the FDCPA (Fair Liability Collection Practices Act). This act covers a range of liability collection activities. Here’s just some of the rules:

    • Collectors are only allowed to call between 8am and 9pm in most areas
    • Collectors cannot make multiple contact with you through the day— if you answer the phone and say you can’t pay, they aren’t legally allowed to call you again that day
    • Collectors cannot harass you
    • Collectors cannot call you at work if you tell them not to— on your first phone call, always tell the collector to never call your place of work
    • Collectors cannot talk to others about your liability
    • Collectors cannot threaten or harass you

If a collector mistreats you, tell them you know your rights. Always mention the FDCPA, and tell them that you are going to report them. Both the agency and the individual collector are liable if they harass you. If possible, consider recording the call so you have proof of the harassment.

Then, contact the IRS directly. Also, contact the attorney general in your state—they oversee private liability collection firms.

To recap, private liability collectors are now calling taxpayers about some taxes owed. If you receive a call, take steps to make sure it is not a scam. Never give your credit card information over the phone to these people. Most importantly, know your rights, and don’t let liability collectors harass you.

If you have taxes owed and you want help, call the number or fill out the form at the free consultation request form. When you have professional help, you don’t have to deal with phone calls. Your tax professional handles that for you.

Primary Sidebar

Tax Problems?





Categories

  • Business Taxes
  • Celebrities
  • Entertainment
  • FAQ
  • Filing Taxes
  • How To
  • Installment Agreements
  • Payment Plans
  • State Taxes
  • Tax Audit
  • Tax Credits & Deductions
  • Tax Filing Extension
  • Tax Help
  • Tax Law Changes
  • Tax Levy
  • Tax Lien
  • Tax News
  • Tax Opinion
  • Tax Settlements
  • Tax Tips

SUCCESS STORIES

  • "I was in a tough situation. I didn’t have much money and I couldn’t pay my tax balance.  I was able to pay off my taxes over time with an agreement. Thanks again!"
    ~ Brian J., Orange, CA

  • "Thank you so much for your diligence in taking care of our situation. You were always available when we needed to ask questions, and you should be proud of your professional handling of our case!"
    ~ Mr. Wilson, Taylor, TX

  • "I had used another company previously, and I had concerns initially but you guys put me in good hands and in no time flat. This is such a weight off of my shoulders."
    ~ Mr. Szramiak, Philadelphia, PA

  • "My back taxes had been haunting me for years & the bank levy happened so quickly; I’m glad I had I requested a free consultation. Everyone is astonished they got all my money back so soon. I am eternally grateful!"
    ~ Mr. Mason, Minneapolis, MN

Resolve Your Tax Problems Today!

GET A FREE TAX ANALYSIS

Footer

53 Halloween Blvd.
Stamford, CT 06902
PH: 203-813-7549
Toll Free: 800-928-5035
admin@backtaxeshelp.com
Call for a Free Consultation
800-928-5035

facebooktwitter
Back Taxes Help
  • Resources
  • Sitemap
  • Privacy Policy
  • Terms of Use
  • Contact
  
Back Taxes Help BBB Business Review
Privacy Seal
Security Seal
ASTPS
  

Copyright © 2023 BackTaxesHelp.com


Disclaimer: We are not affiliated with the IRS, any private tax collector, or any state tax agency. The information provided on this website is for general educational or informational purposes only. Nothing on this website should be interpreted as legal or tax advice for any individual or business tax case. Before taxpayers sign up with a tax relief or tax resolution company, they should request a free consultation in order to understand how tax relief services work and the associated costs. The free consultation comes with no obligation to use any product or services. In many cases, a reputable tax resolution firm can provide taxpayers with relief.  

Scroll Up