An Explanative Guide on IRS Fresh Start Program
Most of the governments in the world rely on taxes is the main source of revenue especially to fund public development. This is because you must pay your taxes on time and the right amount otherwise there are penalties that you have to deal with. If you are among the many Americans that owe the IRS money, it is very important to find a solution or a way out to avoid damaging your name. It will also give you peace of mind because owning there are is money feels like you are chopped in a hole. The IRS fresh start program is one of the solutions need to be thinking more about. Here is all you need to know about IRS fresh start program.
There are IRS fresh start program was introduced in 2008, but was later explained in 2012 it is a great program that is very helpful in helping taxpayers from the financial burden especially if it resulted from the economic crash. You will be confused because it is not going to eliminate your debt at all but it provides you with better options of payment, but in the six-year period. It is important that you learn how it all works because every month you are expected to make a payment based on your income, but also on the value of your liquid assets. Thinking about this program is very important because of the fact that it can help every taxpayer to avoid the consequences that follow. For example, if you utilize this program, you will be able to avoid the high amounts of interest, expensive penalties, and tax liens. It will also help you to avoid wage garnishments and the seizure of assets to pay back the debt.
Another important thing you need to understand is that there are different payment options available. One of them is the installment agreement which I different types like guaranteed, streamlined, in business and also routine which you can learn more about. For those that have a big amount of money to pay you can read more on offer in compromise. Take attempt to also discover if you qualify for this program because not everyone qualifies to start using the IRS fresh start program as you also take your time to learn more about how to apply for this program. You can read here to understand the application process as you also seek professional tax preparers to help you out.