Tax relief refers to various programs and initiatives designed to help taxpayers settle or reduce their tax bills and tax-related debts with the IRS and/or Minnesota Revenue. These are available to both individuals and businesses. However, the programs you’re eligible for depends on tax compliance, the amount of your tax debt, and other factors such as your Reasonable Collection potentials, Assets and lots more. Some of the Tax Relief options available include:
Offer in Compromise (OIC)
To qualify for an OIC you must have an inability to repay the tax debt within the time the IRS has to collect on the debt.
The IRS may assess a variety of penalties on your tax account including late filing and late payment fees. Sometimes the penalties dwarf the actual tax debt.
This payment plan agreement allows you to pay your full debt in equal, yet smaller and more manageable amounts.
Partial Pay Installment Agreement (PPIA)
A payment agreement whereby the total number of payments made to the IRS is less than the total amount of tax due, when full payment cannot be completed prior to the expiration of the statute of limitations.
Tax Lien Discharge
You relinquish your rights and allow any property with an IRS lien to be sold free and clear of the tax lien.
Tax Lien Subordination
Allows a “junior” creditor to move ahead of the IRS for claim on the property.
Tax Lien Withdrawal
Your tax liability is satisfied, and the lien is released.
Wage Garnishment Release
Your liability is satisfied, and the garnishment is lifted.
Bank Levy Release
You paid your tax debt, or the time limit expired, releasing the levy.
Innocent Spouse Relief
You filed a joint return, the tax due is understated, you didn’t know, so it is unfair to hold you liable.
Assigned by the IRS when someone cannot pay due to a temporary hardship.
Statute of Limitations
The time limitation (generally 10 years) on which the IRS can collect taxes and levies. The start time varies for each action taken.
The Office of Appeals is separate from and independent of the IRS Collection Office. Check here for your collection appeal rights.
You may file an administrative appeal with the IRS under four circumstances. For complete information, check under IRS 22.214.171.124.