IRS Back Tax Settlement is commonly thought of as an Offer in Compromise; however, there are more options than the Offer in Compromise program. There are several different ways you can settle your debt for less than what you owe, such as Currently Non-Collectible and the Partial Pay Installment Agreement.
IRS Back Tax Settlement: Currently Non Collectible
IRS Back Tax Settlement can be achieved through the Currently Non-Collectible status. This allows you to not only pay NOTHING on your IRS tax
debt, but does not extend your Collection Statute Expiration dates. Currently Non-Collectible means:
- The IRS sees that you do not have the ability to make any payments towards your tax debt
- A federal tax lien has already been filed
- You can walk away from the debt once the debt expires
Currently Non-Collectible can actually save you more money and time than the Offer in Compromise program. The Offer requires you to pay a percentage back to the IRS, while
Currently Non-Collectible means that you are not obligated to make any payments. Currently Non-Collectible is a great way of settling your IRS tax debt for much less than you actually owe.
IRS Back Tax Settlement: Partial Pay Installment Agreement
IRS Back Tax Settlements can also come in the form of a Partial Pay Installment Agreement. With a Partial Pay Installment Agreement, you make a small monthly payment to the IRS for your back taxes, but the payment is never enough to fully pay the actual tax debt. In this agreement, the partial pay will help you settle your debt for less than what you actually owe! Partial pay installment agreements can also keep a federal tax lien from being filed if you show proof that the tax lien would be harmful and keep you from making your partial payments.
If you feel you need help finding the IRS Back Tax Settlement that fits you, fill out the form below or call our toll free number: . You will speak to a company in our network that specializes in IRS Back Tax Settlement. Each company holds a B or better rating with the Better Business Bureau and is staffed with professionals such as Attorneys, Enrolled Agents, Licensed Tax
Professionals, and Tax Specialists who can help!
IRS Back Tax Settlement: How to Request an AgreementIRS Back Tax Settlements must be requested by using form 433-A or 433-F. Both forms are available online on the secure IRS website, and can be downloaded for free. Either form is simple to fill out but requires that you prove your expenses by sending in copies of paystubs, bank statements and proof of your household bills. The form and the documents are mailed directly to the IRS and processed by one of the six processing units.
IRS Back Tax Settlement: Penalty AbatementMany people do not realize that filing a simple request for a Penalty Abatement can greatly reduce the amount of tax debt that you are responsible for paying. Penalty Abatement can reduce penalties like Failure to Pay, Failure to File, and the interest directly associated with those penalties. A form 843 must be prepared for each year you are requesting a penalty abatement, and the IRS does require that you enter the codes for the penalties you are
requesting be abated.
Once you complete the forms and mail them to the IRS, it can take a while before you hear from them regarding your request. A good rule of thumb is to make the request for one or two years where you have the highest amount of penalties, and not for each year. You stand a better chance of being successful if you only make a smaller request!
IRS Back Tax Settlement can be successful if you do your investigation and choose the option that will best suit you and your situation. Do your research and you will find that there are plenty of alternative methods to settling your debt
that will cost you less time and money and are more successful than an Offer in Compromise. Get help from professionals who know how each
settlement works, as well as knows the rules. Do not take the risk of trying to settle your debt alone! Call to speak with a
representative who will put you in contact with one of our network of reputable companies who can help you settle your debt for less than what you owe!