What Happens During a Currently Not Collectable Status?
Back in 2008, the IRS Fresh Start Program was initially created to help individuals and business owners who owed back taxes, pay back their balances affordably over the course of six years. The IRS simplified the process of collection by avoiding many of the drawbacks of owing back taxes such as: penalties, interest, tax liens, wage garnishments, and in the case of planning to seize assets. This allowed making it easier for taxpayers to get back on track through installment plans.
Initially the program was designed to help taxpayers who owed less than $50,000 but was expanded in 2012 to alleviate the financial burden of taxpayers who owe up to $50,000.
One of the favorable benefits of the IRS Fresh Start Program is that your monthly payments are based on your current income and available liquid assets. So, for most individuals, this can be an opportunity to have affordable monthly payments.
The IRS, however, does offer three repayment plan options to taxpayers. All three options will legally resolve their tax debt and help avoid further penalties or interest that most likely would have caused financial hardship.
Why Palmer Tax Group?
With the IRS Fresh Start Program being one of the most popular and favorable among taxpayers who owe back taxes; we took the initiative to specialize and learn everything about the program when it was first initiated in 2008. Since then, we continue to help hundreds of taxpayers enroll into the IRS Fresh Start Program and manage their case to ensure they go through the program successfully and easy.