IRS fresh start program or tax debt relief allows taxpayers who owe unpaid taxes to reduce part of their debt, depending on their circumstances. While tax debt relief is quite rare, it's not impossible, and each individual case should be evaluated by a professional to determine if the person is eligible. Even the IRS understands that life happens. That's why the government offers IRS debt forgiveness when you can't pay your tax debt.
You'll also need to be up to date with your tax returns, so if you haven't filed them lately, that's probably your first step toward tax relief. From there, you'll likely fill out an IRS debt forgiveness form that describes your financial situation. It's often referred to as a “fresh start” because taxpayers are often exempt from heavy fines, interest payments, and more when they seek real help with the IRS. Tax debt tax liens, levies or penalties Tax preparation Business tax debt Business help Something else.
The IRS will review your details, determine which help option is best for you, and then contact you with a potential plan. In very limited circumstances, the IRS can offer reduced fines to people who have not paid their taxes due to special difficulties. Understanding your tax debt and dealing with the IRS isn't easy to do alone, even with available programs like Fresh Start. If you pay them an initial fee, which can be thousands of dollars, these companies claim that they can reduce or even eliminate your tax debts and stop collecting back taxes by requesting legitimate programs from the IRS for difficult situations.
Or you can impose a property tax, in which case you can seize the property and sell it to recover the taxes you owe the government. Publication 594, The IRS Collection Process, contains information on the options available to taxpayers, and the IRS YouTube channel also has a video with useful information. There are many different ways to find out how much you owe, such as checking online through the new IRS portal, calling the IRS, mailing a form to the IRS, and asking a tax professional to investigate for you. Although lawyers, public accountants and agents enrolled in accordance with Circular 230 of the IRS Regulations may be employed, the use of the term “tax attorney” is used as a general or generic term referring to lawyers with experience in aspects of tax relief and collection.
If any collection action led you to a financial crisis in which you lost all sense of financial security, the IRS cannot collect back taxes. If you can no longer afford a large tax burden, the IRS may offer you different ways to follow.