If you’re facing an IRS dispute, it has probably been quite some time since you have received any good news. IRS disputes can be costly and enormously stressful for taxpayers and business owners who make the mistake of trying to fight the IRS alone. However, there is some good news: the IRS has recently introduced measures designed to make it easier for struggling taxpayers to pay their bills without going bankrupt.
Of course, anytime you deal with the IRS, “easy” is a relative term. While these changes are intended to be helpful, for those unfamiliar with the intricacies of the tax code, it will be very difficult to take advantage. The SC Sun Times explains:
The IRS has announced an expansion of its Fresh Start initiative and introduced more flexible terms for its Offer in Compromise program.
The changes to the programs will help financially distressed taxpayers settle their debts with the IRS, according to a news release from the agency. These programs will also make it possible for taxpayers to settle their debts for less than they owe and in as few as two years, compared to the traditional four or five years.
"This phase of Fresh Start will assist some taxpayers who have faced the most financial hardship in recent years," IRS Commissioner Doug Shulman said in the news release. "It is part of our multiyear effort to help taxpayers who are struggling to make ends meet."
Changes to the programs will allow taxpayers to repay student loans and pay delinquent state and local taxes, the news release said. The changes also include a revision of the calculation for the taxpayer's future income and an expansion of the Allowable Living Expense allowance category and amount. Taxpayers will be able to use the miscellaneous Allowable Living Expense allowance for expenses such as credit card payments and bank fees and charges.
Again, this is good news. But due to the complexity of current tax law and the aggressive collection practices utilized by the IRS, most taxpayers will be unable to take advantage of these developments. If you are facing an IRS dispute and you would like to take advantage of available opportunities in order to reduce the amount that you owe, call 844-841-9857 today!