Negotiate Settlement

The IRS is empowered to accept less than the full amount of back taxes in cases where you can show that you are unable to pay the full amount of taxes. But by no means is the IRS required to accept a partial repayment. The enrolled agent who will represent you before the IRS can help you determine your financial status as it relates to your ability to pay.

An Offer in Compromise will enable you to settle your tax debt for less than the full amount you owe.

An Installment Agreement is your agreement to make monthly payments to the IRS for your taxes owed. Under the Fresh Start program (2012), taxpayers who owe up to $50,000 in back taxes may enter into a streamlined agreement with the IRS that stretches the payment out over a series of months or years.

With a confirmed settlement amount and an agreement to pay it, you can put your back taxes behind you (where they belong!) and move forward with your financial life. You will finally be free from the uncertainty of those unresolved tax problems! You will probably be more cautious and aware of potential tax consequences in the future.