The IRS Fresh Start Program is an initiative designed to help taxpayers who are having difficulty paying their taxes. The program offers several tools and relief measures to help taxpayers settle their tax obligations and avoid potential financial penalties. This article will provide an overview of the IRS Fresh Start Program and discuss the different relief measures available to taxpayers who are struggling to pay their taxes.
The IRS Fresh Start Program is an initiative created to help taxpayers who are having difficulty paying their taxes. The program is designed to provide relief to taxpayers who are unable to fully pay their taxes due to financial hardship or other circumstances. The program provides several tools and relief measures to help taxpayers settle their tax obligations and avoid potential financial penalties.
Offer In Compromise
The first tool offered by the IRS Fresh Start Program is the ability to apply for an Offer in Compromise (OIC). An OIC is an agreement between the taxpayer and the IRS that allows the taxpayer to settle their tax debt for an amount less than the full amount owed. In order to be eligible for an OIC, the taxpayer must demonstrate that their financial situation makes it impossible to pay the full amount due. The IRS will review the taxpayer’s financial information and determine if they are eligible for an OIC.
Installment Agreements
The second tool offered by the IRS Fresh Start Program is the ability to apply for an Installment Agreement. An Installment Agreement is an agreement between the taxpayer and the IRS that allows the taxpayer to pay their tax debt in monthly installments. The amount of the monthly payment will depend on the taxpayer’s financial situation, and the IRS will review the taxpayer’s financial information to determine the amount of the monthly payment.
Wage Levy Release
The third tool offered by the IRS Fresh Start Program is the ability to apply for a Wage Levy Release. A Wage Levy Release is an agreement between the taxpayer and the IRS that allows the taxpayer to have their wages or bank accounts released from a wage levy. The IRS will review the taxpayer’s financial information to determine if they are eligible for a Wage Levy Release.
Penalty Abatement
The fourth tool offered by the IRS Fresh Start Program is the ability to apply for a Penalty Abatement. A Penalty Abatement is an agreement between the taxpayer and the IRS that allows the taxpayer to have their penalties for late payment of taxes waived. The IRS will review the taxpayer’s financial information to determine if they are eligible for a Penalty Abatement.
Extension
The fifth tool offered by the IRS Fresh Start Program is the ability to apply for an Extension of Time to File. An Extension of Time to File is an agreement between the taxpayer and the IRS that allows the taxpayer to file their tax return by a certain date. The IRS will review the taxpayer’s financial information to determine if they are eligible for an Extension of Time to File.
Final Thoughts
The IRS Fresh Start Program is an initiative designed to help taxpayers who are having difficulty paying their taxes. The program offers several tools and relief measures to help taxpayers settle their tax obligations and avoid potential financial penalties. The program provides taxpayers with the ability to apply for an Offer in Compromise, an Installment Agreement, a Wage Levy Release, a Penalty Abatement, and an Extension of Time to File.
By taking advantage of the tools and relief measures offered by the IRS Fresh Start Program, taxpayers can settle their tax debt and avoid potential financial penalties.
