IRS new start plan review

In 2011, the US Internal Revenue Service announced plans to expand the "new start" program to help taxpayers in financial trouble. But the problem we have is that, like all other IRS announcements, this issue also claims that they are always by your side. But this is not the case, they are not.

Let's take a look at which of the three major IRS Fresh Start programs actually helps you solve your tax problems.

1. The US Internal Revenue Service re-taxes

The first is the IRS Fresh Start Federal Tax Lien program. The US Internal Revenue Service claims that the new standard for federal tax lien notices is for taxpayers because it has raised the minimum liability for filing a tax lien from $5,000 to $10,000; this sounds good. But it is almost useless. If the US Internal Revenue Service does not have any payment fees, what can be obtained from people? It will only make your credit score 100 points or higher, and it is difficult to get approval for a new credit line to repay the IRS. The new change is not retroactive, and the US Internal Revenue Service cannot automatically withdraw the previously submitted lien. score: Two thumbs down; a very ineffective plan.

2. Installment payment agreement and restart plan

The next plan is the IRS installment plan. If you owe a joint tax, interest and a fine of $50,000 or less, you can participate in the installment plan by providing the US Internal Revenue Service with minimal financial information [if you owe less than $25,000, you do not need to submit anything]. The timetable for payment under the streamlined installment agreement has increased to 72 months. score: it is good.

If you owe more than $50,000, you will need to complete Form 433-F, a statement of information collected. You must negotiate extensively with the IRS through a reasonable monthly plan, as the amount of the payment is at the discretion of the IRS representative.

3. New start offers in compromise

This is definitely the best new IRS start-up plan to repay taxes in ways that are less than what you owe. The US Internal Revenue Service now adds more flexibility when calculating the ability of taxpayers to pay for relief under a compromise offer. A major change is the calculation of the taxpayer's reasonable collection potential. The IRS only considers the benefits of the next two years of payment within 24 months, which is a reduction from five years. These changes allow more individuals to qualify for the OIC program and provide them with new opportunities to address IRS tax liabilities. Rating: An excellent plan. Take full advantage of this opportunity.

Handling the IRS

The US Internal Revenue Service's new start-up plan offers new possibilities for resolving tax rebates, but it should be used in the right way. You should understand that understanding all the details related to the new installment agreement policy or accepting a compromised IRS offer is still challenging for many people. There is no guarantee that the new easing policy will always exist, so there is no better time to start negotiations with the IRS than it is now.

---

Orignal From: IRS new start plan review