Question 1

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

Accepted Answer

You may qualify for the Fresh Start Program if you owe $50,000 or less in taxes, penalties, and interest, are current on all required tax filings, and can demonstrate financial hardship or inability to pay the debt in full without economic strain. The key is being current on your tax filings. If you haven't filed recent returns, we help you get caught up first. Then we evaluate your income, expenses, and assets to determine which relief option gives you the best outcome. Eligibility primarily depends on your income level, tax debt amount and ability to pay. During our free consultation, we review your complete situation and tell you exactly which programs you qualify for. No guesswork, no false promises—just honest assessment based on current IRS guidelines.

Question 2

Can the Fresh Start Program really reduce what I owe?

Accepted Answer

Yes, but it depends on your specific financial situation. The Offer in Compromise option allows taxpayers to settle their tax debt for less than the full amount owed. Under Fresh Start, the IRS made OIC more accessible and now considers your current income and assets rather than future earning potential when evaluating your ability to pay. The IRS may settle for less than you owe through an Offer in Compromise. If you can show that you truly cannot afford to pay the full amount, they might accept 10% to 20% of your debt. But if they see that you can pay more (even over time), they probably will not accept your offer. The program also offers penalty abatement, which can eliminate thousands in additional fees, and payment plans that stop interest from compounding. We analyze your situation to find the maximum relief available.

Question 3

What happens to IRS collection actions while I'm in the program?

Accepted Answer

If you're approved for an installment agreement or hardship status, most collection actions like wage garnishments or bank levies pause or stop. This gives you immediate relief while we work out your long-term solution. The program increased the tax debt threshold for filing a lien from $5,000 to $10,000, meaning fewer taxpayers face liens on their credit reports. The IRS has also made it easier to get liens withdrawn after paying tax debt or setting up a direct debit installment agreement. Once you're accepted into a Fresh Start program, the IRS shifts from collection mode to compliance mode. They want you to succeed in paying off your debt, so the harassment stops and the focus becomes following your payment plan.

Question 4

How long does the Fresh Start Program application process take?

Accepted Answer

After submission, you wait for the IRS to review your application. This process can take several months, especially for Offers in Compromise. However, collection actions typically stop once we submit your complete application. Installment Agreements can last up to 72 months (6 years), depending on the amount owed and your ability to pay. Offers in Compromise typically have shorter timelines and can resolve debt within months once approved. The timeline varies based on which program you choose and how complete your financial documentation is. We prepare everything properly the first time to avoid delays. Most clients see relief from collection actions within 30-60 days of starting the process with us.

Question 5

What if I've already tried to work with the IRS myself?

Accepted Answer

Many taxpayers unknowingly disqualify themselves from relief due to avoidable mistakes, including failing to file tax returns, ignoring IRS notices, underreporting income, or waiting too long to seek help. If your previous attempt was denied, we review what happened and determine if you have other options. Sometimes the IRS rejects applications due to incomplete paperwork or incorrect program selection, not because you don't qualify for relief. We've seen too many cases where taxpayers miss out on relief simply because they don't understand the process. That's why we encourage people to act early and work with professionals who can guide them through the process. Even if you've been denied before, you may still have options available.

Question 6

How much does it cost to apply for the Fresh Start Program?

Accepted Answer

There's no fee for the program itself, but some relief options include IRS application fees (e.g., OIC is $205) and potential fees for hiring a tax professional. Low-income taxpayers may qualify for waived fees. We provide free initial consultations to assess your situation and explain all costs upfront. Our fees depend on which services you need and the complexity of your case. We accept Mastercard and Visa with a 4% convenience fee, and we offer payment plans because we understand you're already dealing with financial stress. The IRS Fresh Start Program itself does not have a specific cost, as it is not a single program but rather a collection of tax relief options offered directly by the IRS. However, there may be fees associated with the specific components of the program. We explain every cost before you make any commitments.

IRS Fresh Start Program Tafton, PA