Question 1

How much can the IRS Fresh Start Program actually reduce my tax debt?

Accepted Answer

The reduction depends on which Fresh Start option you qualify for and your specific financial situation. Offers in Compromise can eliminate 90% or more of your total tax debt - sometimes even achieving 100% debt forgiveness for qualifying taxpayers.Penalty Abatement removes penalties that often represent 25-50% of your total balance. Currently Not Collectible status doesn't reduce the debt but stops all collection actions, giving you breathing room to improve your financial situation.The average client sees significant debt reduction when multiple Fresh Start options are combined strategically. However, every case is different, which is why a professional evaluation of your specific situation is essential to determine realistic outcomes.

Question 2

What's the difference between doing this myself versus hiring a professional?

Accepted Answer

Would you go to court without a lawyer? Of course not. Then why would you go before the IRS without a trusted tax professional?The IRS receives millions of Fresh Start applications annually. They're not motivated to give you the best deal - they want to collect as much as possible. A tax resolution professional knows exactly how to present your case for maximum debt reduction.We understand which documentation the IRS requires, how to structure Offers in Compromise for acceptance, and which arguments work in penalty abatement cases. Most importantly, we handle all IRS communication so you don't have to deal with collectors while your case is being resolved.

Question 3

How long does the Fresh Start Program process typically take?

Accepted Answer

Simple cases like streamlined installment agreements can be approved within 30-60 days. More complex cases involving Offers in Compromise typically take 6-12 months for final resolution.Currently Not Collectible status and penalty abatement requests usually resolve within 90 days. The timeline depends on how quickly you provide required documentation and the complexity of your specific tax situation.The good news is that collection actions typically stop once your application is submitted. That means no more wage garnishments or bank levies while your case is being processed, giving you immediate relief even before final resolution.

Question 4

Do I qualify for the Fresh Start Program if I owe more than $50,000?

Accepted Answer

Yes, you can still qualify for Fresh Start relief even if you owe more than $50,000. The $50,000 threshold applies specifically to streamlined installment agreements, which allow faster approval without extensive financial documentation.If you owe more than $50,000, you can still get installment agreements - they just require more detailed financial disclosure. Offers in Compromise have no upper limit and can reduce debts of $100,000, $200,000, or more to pennies on the dollar.Currently Not Collectible status and penalty abatement are also available regardless of the amount you owe. A professional evaluation determines which combination of Fresh Start options provides the best outcome for your specific debt level.

Question 5

What happens if the IRS rejects my Fresh Start application?

Accepted Answer

Professional representation significantly reduces rejection rates because applications are prepared correctly from the start. However, if an initial application is rejected, there are usually multiple appeal options available.For Offers in Compromise, you can appeal to the IRS Independent Office of Appeals. For installment agreements, you can often resubmit with additional documentation or modified terms. Penalty abatement requests can be refiled with different reasonable cause arguments.An experienced tax resolution firm knows exactly how to respond to rejection letters and which alternative approaches are most likely to succeed. Many cases that initially receive rejection letters ultimately achieve successful resolution through proper appeals and resubmission strategies.

Question 6

How much does professional help with Fresh Start Program cost?

Accepted Answer

All County Tax Resolution provides a completely free initial consultation to evaluate your case and explain all available options. There's no obligation and no pressure - just honest assessment of what's possible.If you decide to move forward, fees are typically a fraction of what you'll save through debt reduction. Most clients recover their investment many times over through the settlements we negotiate on their behalf.Payment plans are available, and we accept Mastercard and Visa with a 4% convenience fee. The investment in professional representation usually pays for itself through better negotiation outcomes and faster resolution than attempting to handle the process yourself.

IRS Fresh Start Program Maple Lake, PA