IRS FRESH START HELPS TAXPAYERS
The IRS has initiated several programs to assist stuggling taxpayers who owe Federal taxes. More flexible terms are now being offered in the Offer in Compromise Program. Additionally, tax problems can now be resolved in as little as two years compared to four or five years in the past. Importantly, the financial analysis employed by IRS to determine which taxpayers qualify for an Offer in Compromise has been relaxed. Other changes offered by the Fresh Start Initiative involve penalty relief for some taxpayers, increase in the dollar threshold for filng fo a lien and provisions allowing for the withdrawal of liens. Below are the full text of several important IRS announcements pertaining to the Fresh Start Initiative.