Participating in IRS Fresh Start programs does not directly impact your credit score. The IRS doesn’t report installment agreements, Offers in Compromise, or Currently Not Collectible status to credit bureaus, so these programs won’t appear on your credit report. However, tax liens can severely damage your credit—which is exactly why Fresh Start relief is so valuable. The program has increased the threshold for filing liens from $5,000 to $10,000, and offers lien withdrawal options once you enter qualifying payment plans. If you already have a tax lien, getting into a Fresh Start program can actually help your credit. Once you make three consecutive payments on a direct debit installment agreement, the IRS will often withdraw the lien, which can improve your credit score over time.