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What is Fresh Start Program and How Does It Apply to You?
September 15, 2014
Taxpayers who owe the IRS may benefit from the Fresh Start program. If you’re looking for a way to simplify paying your back taxes and possibly avoid a lien, this may be the option for you. Even if you’re a small business owner, you can seek help from the Fresh Start program.
Important features of the Fresh Start program are:
- Installment Agreement: There is now expanded access to installment agreements. Individuals who owe up to $50,000 can pay over an extended period of time. The IRS may request some financial information before approving an installment agreement. The online payment agreement tool, located at irs.gov, is probably the fastest and easiest way to apply for any plan. Taxpayers who don’t have access to the internet can file Form 9465 to apply for an installment agreement.
- Offer in Compromise: You may be able to pay a reduced amount of your tax debt if you meet the requirements for an OIC. The program has streamlined the process for requesting settlement offers. There is now more flexibility when the IRS considers how much a person will be responsible for paying back, depending on their situation.
- Tax Liens: There have been slight modifications to the lien process under the new program. The IRS can withdraw a filed notice if the taxpayer meets certainly required assessments or if they pay off their debt.