Question 1

How do I know if I qualify for the IRS Fresh Start Program in Pennsylvania?

Accepted Answer

You may qualify if you owe $50,000 or less in combined taxes, penalties, and interest, are current on all required tax filings, and can demonstrate financial hardship or inability to pay the full amount. Self-employed individuals may qualify with a 25% or greater drop in income.The key is proving to the IRS that paying your full tax debt would create significant financial strain. We analyze your monthly income, necessary living expenses, and asset equity to determine your qualification. Even if you owe more than $50,000, you might still qualify by making a partial payment to reduce the balance to the threshold amount.During your consultation, we'll review your specific situation and tell you exactly which Fresh Start options are available to you. Don't assume you don't qualify - the IRS has expanded these programs to help more taxpayers than ever before. The program is designed to help people overwhelmed by back taxes and penalties.

Question 2

What's the difference between an Offer in Compromise and installment agreement?

Accepted Answer

An Offer in Compromise settles your entire tax debt for less than you owe - sometimes dramatically less. We've helped clients reduce debts by 90% or more when they qualify. However, the IRS scrutinizes these applications heavily and requires extensive financial documentation.An installment agreement lets you pay your full debt over time through monthly payments. For debts under $50,000, you can get streamlined approval for up to 72 months without providing detailed financial statements. The payments are usually lower and easier to qualify for.Which option is better depends on your financial situation. If you're facing genuine hardship and have limited assets and income, an Offer in Compromise might reduce your debt significantly. If you have steady income but just need time to pay, an installment agreement gives you predictable monthly payments without the uncertainty of the OIC process.

Question 3

How long does the Fresh Start Program process take in Pennsylvania?

Accepted Answer

Installment agreements for amounts under $50,000 can often be approved within 30-60 days, especially streamlined agreements that don't require financial disclosure. These are the fastest option if you qualify and can afford the monthly payments.Offers in Compromise take longer - typically 6-12 months from submission to final decision. The IRS has two years to accept or reject your offer, and they often request additional documentation during review. However, collection activity stops while your offer is being considered.Currently Not Collectible status can be granted relatively quickly - often within 30-45 days - if you can demonstrate immediate financial hardship. Penalty abatement requests vary depending on the reason and documentation required, but reasonable cause requests are often processed within 2-4 months.

Question 4

Will the Fresh Start Program stop IRS collection actions immediately?

Accepted Answer

Yes, in most cases. When we submit an installment agreement request, the IRS typically halts collection activity while reviewing your application. For Offers in Compromise, collection is automatically suspended once the IRS receives your properly submitted application and initial payment.If you're facing immediate collection action like a bank levy or wage garnishment, we can often get these released quickly by demonstrating you're working toward resolution. Currently Not Collectible status immediately stops all collection activity except for intercepting future tax refunds.The key is acting quickly and working with experienced professionals who know how to communicate effectively with IRS personnel. We've stopped levies within 24-48 hours in emergency situations by contacting the right IRS departments with the proper documentation. Time matters when collection actions are imminent.

Question 5

What happens if I don't qualify for the Fresh Start Program?

Accepted Answer

Even if you don't qualify for the most favorable Fresh Start options, there are still solutions available. You might qualify for a partial payment installment agreement, where you pay what you can afford even if it doesn't cover the full debt before the collection statute expires.Innocent spouse relief protects you from liability for your spouse's tax errors if you didn't know about them. If you're facing severe financial hardship, Currently Not Collectible status might be available even if other options aren't.In some cases, we can help you take steps to improve your qualification for Fresh Start programs. This might involve adjusting your payment history, updating your financial situation, or resolving compliance issues that are preventing approval. The worst thing you can do is ignore the problem - there's almost always a solution that's better than letting the IRS proceed with collection.

Question 6

How much will it cost to get help with the Fresh Start Program?

Accepted Answer

Our fees depend on the complexity of your case and which resolution option we pursue. Simple installment agreements cost less than complex Offers in Compromise that require extensive financial analysis and negotiation. We provide transparent pricing upfront so you know exactly what to expect.We offer payment plans to make our services affordable. We accept Mastercard and Visa with a 4% convenience fee. Many clients find that our fees are a fraction of what they save through proper representation.Consider the cost of not getting professional help: rejected applications, missed opportunities for better deals, and ongoing penalties and interest that continue accumulating. The IRS accepts less than 25% of Offers in Compromise submitted by taxpayers without representation, but our success rate is much higher because we know how to prepare and present cases properly. Call 570-630-0201 or text 570-470-5228 today. All County Tax Resolution will stand between you and the IRS, negotiate the lowest legal settlement, and give you the fresh start you deserve.

IRS Fresh Start Program Roaring Brook, PA