A Precision Tax client became a client of Tax Workout Group, and their story took a dramatic and life-changing turn. Wanna know what happened? Read on.

Different tax practitioners tend to handle things differently. And while there usually are several possible solutions to every problem, some are just better than others. Some are way better. When it comes to dealing with the IRS, nearsighted solutions are important, sometimes to stop the bleed and the anxiety, sometimes to get at least a temporary break from having the IRS on your mind. But longer-sighted solutions are an important adjunct. And the best solution may not be the one that gives only temporary relief. That’s where near-sighted can become short-sighted. An example? Let’s say you want to stop constant IRS collection action like a levy on your bank account, a seizure of business or personal assets, harassing letters, etc. Precision Tax’s answer was to recommend and negotiate an Installment Payment Agreement for the client. Problem solved? Well, not quite.

The Hidden Cost of Payment Plans

IRS payment plans do indeed have a proper place in the list of possible solutions. The client of Precision Tax that became our client was a successful business owner and homeowner, and after entering into a long-term Installment Payment Agreement with the IRS at Precision Tax’s direction, found himself on a financial treadmill with thousands of dollars being paid while the total debt barely budged. Month after month, the client was shelling out hard-earned dollars, with nearly all of it going toward penalties and interest. The principal amount — the core tax liability — remained stubbornly high. And worse, this payment plan was draining his finances and causing enormous stress, all while doing little to move him toward real financial freedom. That’s when the client, exhausted, skeptical, and running out of options, discovered Tax Workout Group.

A Different Kind of Tax Solution

Unlike traditional tax relief firms that offer only administrative solutions like installment agreements or offers in compromise, Tax Workout Group takes a more comprehensive, strategic approach. Our goal is not just to reduce payments, but instead is to eliminate the tax debt altogether, particularly when the client is unable to fully satisfy that debt within a two- to three-year timeframe.

Most people don’t realize that income tax debt can commonly be wiped out entirely through bankruptcy. It’s a powerful tool, but it requires a thorough understanding of tax and bankruptcy law and a careful analysis of all aspects of each tax claim to ensure discharge. Particularly where an Offer in Compromise won’t eliminate the tax claims and/or there is other debt on the table, what we call a “tax bankruptcy” can provide a real “fresh start”. And that’s where Tax Workout Group enters the picture.

After reviewing this client’s tax history, we determined that all of his tax debt was fully dischargeable in a bankruptcy proceeding. This meant that, instead of continuing to pay thousands of dollars toward penalties and interest for years to come, he could eliminate those tax claims completely and permanently — a final resolution legally achieved.

Comprehensive Tax Dischargeability Analysis

Our tax-bankruptcy attorneys are experts in IRS practice and procedure and the interrelationship between federal and state tax laws and the US Bankruptcy Code. In each case, we start with a comprehensive review of the client’s tax history, of the factual detail and timing of each tax-item event, and we plug that information into a sophisticated system of software that we have developed and carefully refined over years of handling these kinds of matters, to produce what we call a Tax Dischargeability Analysis. And that’s not just a fancier name for a summary of conclusions. No, it’s quite a bit more:

• A full statement of each relevant tax-item factor;
• An analysis of the impact of each relevant factor individually as well as in conjunction with the others;
• A pro/con analysis of alternative resolution paths considered;
• A statement of our conclusions regarding the path(s) we recommend; and
• A roadmap of how we got there.

Yes, we’re proud of our Tax Dischargeability Analysis. It allows us to achieve the best possible result by filing the most appropriate type of bankruptcy at the most optimal time in order to eliminate the maximum amount of tax claims, penalties, and interest, along with all other dischargeable debt.

Protecting What Matters Most

Understandably, clients do have concerns about taking the bankruptcy route. Like many, they may fear that filing bankruptcy means losing everything, especially their home, their vehicles, and their small business. But the truth is that bankruptcy laws are designed to help people rebuild, not destroy their lives.

After bankruptcy is filed and discharged, clients like the one mentioned above are able to literally walk away from hundreds of thousands of dollars in IRS debt — poof, gone, just like that. No more payments of penalties and interest. No more payments of tax. No more waking up in the middle of the night wondering how ever to get out from under the IRS’s thumb. Instead, time to get back to regaining a solid financial footing and rebuilding credit (which, by the way, is a specialty service of assistance that Tax Workout Group is able to provide), running a business, investing back into the community, living without the constant burden of tax debt, and most importantly, getting back one’s peace of mind.

Why Tax Workout Group Is Different

This success story isn’t a one-off. It’s what Tax Workout Group does every day. We work with clients across the country, offering personalized, attorney-led solutions tailored to each person’s unique financial situation. And when it’s time to act, we handle everything, from analysis and strategy to legal filings and resolution, so our clients can finally move forward with their lives.

The Bottom Line

If you or someone you know is stuck in a never-ending cycle of tax payments that never seem to reduce the actual debt, it’s time to look beyond traditional tax relief options. The journeys from overwhelmed and overextended to debt-free and thriving are proof that with the right team and legal strategy, financial freedom is possible. At Tax Workout Group, we don’t just manage tax debt—we eliminate it, and we do it without sacrificing what matters most. If you’re tired of paying and getting nowhere, reach out. We’ll review your tax situation at no cost and show you what’s truly possible.