Are you thinking of taking part in the IRS debt forgiveness program? Then you’ve come to the right place. If this is something that you’ve been considering, it’s important to have all of the facts before you make your decision. That’s what we’re going to offer you today.
Sometimes, you may find yourself in a position where you’re unable to pay your tax debt. Sadly, things can happen in life, but we all understand that and so does the IRS. So you may find that they may be able to forgive your liability and allow you to pay only what you can afford.
But how does this happen and how do you find out if it can work for you?
What Is The IRS Debt Forgiveness Program?
It could be the case that you want to get an IRS debt forgiveness program in place to help you pay off the taxes that you owe. Or pay what you can afford. In order to do this, you’ll want to first know what they are and whether you’ll apply. But you might also want to work out what you actually owe first.
This is often the first step to then being able to get a forgiveness plan in place. So take a look online, call them, or work with a professional to find out what you owe.
IRS Payment Plans
For starters, it could be that you just need more time to be able to make your tax payment commitments. When this is the case, the IRS may be able to put a payment plan in place for you.
You might be able to do something short-term (less than 180 days) or long-term (more than 120 days) to pay back what you owe. There can be varying costs with this and you may not get out of paying interest. So it’s worth speaking to us about whether this is best for you.
Using An Offer In Compromise
Then there’s the idea of applying for the IRS’ Offer In Compromise (OIC) option. This is something that you will have to qualify for, however. Yet, if you do, you may be able to reduce the amount you owe by paying a partial amount of the debt in a lump sum or via monthly payments.
Again, we can help you to determine whether you’d be eligible for this or not.
There is also the option of qualifying for the OIC with the Fresh Start Initiative. The recent changes here might mean that you’ll be able to afford your taxes more easily. Let us run you through the options here to see if this would work for you.
Do you owe back taxes to the IRS? Understanding what to do next can be tough even when you have all of the information. Here at Clean Slate Tax, we can help you to alleviate your tax debt and negotiate your IRS debt forgiveness. Reach out today to get started.