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IRS Fresh Start Program

The Fresh Start program helps eligible taxpayers settle their tax debts. It offers easier processes, lower payment amounts, and manageable repayment plans.

Trying to figure out how to pay your taxes can be stressful, but the Fresh Start Program may be able to help.

People who have trouble paying their taxes due to not having enough money can use this program. It offers payment plans and other options.

Find out what you need to qualify and what resources are available here!

The IRS Fresh Start Program helps taxpayers who owe back taxes. It allows them to catch up on their tax debt. This program also helps them avoid penalties and interest.

Taxpayers who are having trouble with their finances and can’t pay their tax debt in full have a number of options from the IRS.

These programs help taxpayers avoid penalties and interest. They also prevent collection actions like liens, levies, and wage garnishments.

Ready to find if you qualify for A Fresh Start?

Trying to figure out how to pay your taxes can be stressful, but the IRS Fresh Start Program may be able to help. People who are having trouble paying their taxes because of a lack of money can use this program to get payment plans and other options. Find out what you need to qualify and what resources are available here! The IRS Fresh Start Program is designed to help taxpayers who owe back taxes to the Internal Revenue Service (IRS) get caught up on their tax debt and avoid penalties and interest. Taxpayers who are having trouble with their finances and can't pay their tax debt in full have a number of options from the IRS. These programs are designed to help taxpayers avoid penalties and interest, as well as collection actions like liens, levies, and wage garnishments.

 

The Fresh Start Program is Legitimate

Originating in 2011, the IRS initiated the Fresh Start Program with the sole aim of assisting struggling taxpayers-both individuals and small businesses.

In recent years, the IRS has even broadened the program’s scope by adopting more lenient Offer-in-Compromise terms. This makes it accessible to an even wider demographic of financially distressed taxpayers.

Who Qualifies for the IRS Fresh Start Program?

To qualify for the IRS Fresh Start Program, you must meet certain criteria.

You must be in full compliance. You need to have filed all your tax returns for past years. You also cannot be in any other tax debt relief or audits right now.

You must be fully compliant. In terms of IRS tax relief, this means you have done everything required to meet your tax obligations.

This may involve filing all required tax returns, paying any taxes owed, and making regular estimated tax payments.

Full compliance is important for many IRS tax relief programs. It shows that the taxpayer is serious about meeting their tax obligations in the future.

Fresh Start Program Qualifications

The IRS Fresh Start Program is designed to make it easier for taxpayers to pay back taxes and avoid tax liens. Under this program, there are several ways for taxpayers to resolve their tax obligations:

  1. Installment Agreements: The Fresh Start initiative has expanded provisions for setting up an installment agreement without having to provide a financial statement or verification if the taxpayer owes $50,000 or less and can pay the debt back within six years.
  2. Offer in Compromise (OIC): This allows taxpayers to settle their tax debt for less than the full amount owed. The IRS will consider various factors such as income, expenses, and asset equity to determine if the taxpayer can pay the full amount. You would typically use Form 656 for an Offer in Compromise.
  3. Tax Liens: Fresh Start has changed the threshold for federal tax liens from $5,000 to $10,000. Moreover, taxpayers may request to have their lien withdrawn after entering into a Direct Debit Installment Agreement.
  4. Tax Penalties: Some taxpayers may be able to get penalty relief, such as a first-time penalty abatement administrative waiver, if they meet certain criteria like having filed all required returns and paid or arranged to pay any tax due.

The IRS provides these details in different tax forms and publications. This includes Form 9465 for installment agreements and Form 656 for Offers in Compromise. Code sections related to this program include 26 U.S.C. § 6159 (Installment Agreements) and 26 U.S.C. § 7122 (Offers in Compromise).

Getting Started with the IRS Tax Relief Program

Getting started with the IRS Fresh Start Program involves several steps.

The first step is to figure out if you are eligible for the program.

You should review your tax situation. Determine how much you can pay. Explore other options for getting help.

Once you find out if you qualify, you can work with a tax expert or lawyer. They can help you prepare your relief application and send it in.

This could mean showing proof of your financial situation, talking with the IRS, and paying off your tax debt.

It’s important to follow your tax obligations and meet any deadlines set by the IRS.

Working with a professional can help you get through the process and make sure you get the best result possible.

IRS Fresh Start for an Offer In Compromise

If you are having trouble with your taxes, many resources and assistance programs can help you. In addition to the choices offered by the IRS Fresh Start Program, here are some other tools and resources that may be helpful:

Low Income Taxpayer Clinics (LITCs) are independent groups that help low-income taxpayers who have problems with the IRS and need legal help for free or at a low cost. LITCs can help with a variety of issues, including audits, appeals, and collection actions.

Volunteer Income Tax Assistance (VITA): VITA is a program that provides free tax preparation services to low- and moderate-income taxpayers. The program is staffed by volunteers who are trained to prepare basic tax returns.

Taxpayer Advocate Service (TAS): The TAS is an independent organization within the IRS that helps taxpayers resolve problems with the IRS. The TAS can help with audits, collection actions, and identity theft, among other things.

State Tax Departments: If you owe state taxes, your state tax department may offer programs and assistance to help you manage your tax debt. Contact your state tax department to learn more about the programs and resources available.

Credit Counseling Agencies That Don’t Get Paid: Credit counseling agencies that don’t get paid can help you manage your debt by giving you financial advice and other help. These groups can help you make a budget, talk to your creditors, and come up with a plan to deal with your debt.

Bankruptcy Attorneys: If you have too much debt, a bankruptcy lawyer may be able to help you find ways to get rid of it. Bankruptcy can provide a fresh start and can help you manage your tax debt as well as other debts.

It’s important to remember that each resource and help program has different requirements. They may not be suitable for everyone. It’s best to do some research and talk to a trained professional who can give you advice and help based on your situation.

Click here to get your no-cost, no-obligation tax debt settlement analysis and consultation, or call 1-800-844-1040.