What is an IRS Payment Plan?

Most people qualify to make payments on the IRS debt over time. The IRS typically calls these “installment agreements”.

There are different kinds of IRS installment agreements.

Some are set up to pay the IRS debt in full before the collection statute expiration date expires, some pay only a portion or even none of the IRS debt before the IRS collection statute expiration date expires. Learn More

Whether or not the IRS payment is set up to full pay or to “partial pay”, many Taxpayers, at some point during the process, default on the…
Continue Reading DEFAULTED PAYMENT PLAN, WHAT STEPS SHOULD I TAKE?

What Is an IRS “full Pay” Installment Agreement?

Most individuals with IRS debt will qualify to make payments on the IRS debt over time. The IRS typically calls these “installment agreements”.

There are IRS installment agreements that only pay a portion of the IRS debt before the IRS collection statute expiration date expires barring the IRS from collecting the remainder. (partial pay/ability to pay/non-collectible status arrangements)

There are also installment agreements that pay the full amount of the IRS debt, before the IRS collection statute date expires.

Which one the taxpayer proposes, will depend on that taxpayer’s situation.

Some taxpayers…
Continue Reading WILL A “FULL PAY” IRS INSTALLMENT AGREEMENT STOP IRS COLLECTION?

What Is an IRS Installment Agreement?

Most individuals with IRS debt will qualify to make payments on the IRS debt over time. The IRS calls these arrangement installment agreements. These installment agreements can be based on time or they can be based on the taxpayer’s financial situation. (Learn more here)

What Is an IRS Lien Notice?

When a taxpayer owes the IRS a debt, the IRS has a lien, or a claim against the taxpayer’s assets automatically. The IRS doesn’t have to sue the taxpayer, obtain a judgement and record that judgement, as other creditors do in order for…
Continue Reading INSTALLMENT AGREEMENT PREVENT OR REMOVE AN LIEN NOTICE?

What Is an IRS “non-Streamlined” Installment Agreement?

An IRS non-streamlined installment agreement is an agreement a taxpayer makes with the IRS to pay a tax debt in full when it is between $50,000.00 and $250,000.00. The taxpayer must agree to pay the debt in full on or before time that remains before the IRS’ collection statute expiration date runs out. These types of agreements are relatively new, and come with some benefits for certain taxpayers, and negatives for others.

What Are the “pros” of An IRS “non-Streamlined” Installment Agreement?

TAXPAYER IS ABLE TO AVOID PROVIDING FINANCIAL DISCLOSURE

A non-streamlined installment…
Continue Reading WHAT ARE THE PROS AND CONS OF AN IRS “NON-STREAMLINED” INSTALLMENT AGREEMENT?

What Is an IRS “streamlined” Installment Agreement?

An IRS streamlined installment agreement is an agreement a taxpayer makes with the IRS to pay a tax debt in full that is less than $50,000.00 over 72 months or the remaining time on the IRS’ collection statute period. These types of agreements are very common and come with some benefits for certain taxpayers, and negatives for others.

What Are the “pros” of An IRS “streamlined” Installment Agreement?

TAXPAYER IS ABLE TO AVOID PROVIDING FINANCIAL DISCLOSURE

A streamlined installment agreement helps the taxpayer avoid the additional difficulty related to providing the IRS a…
Continue Reading PROS AND CONS OF “STREAMLINED” INSTALLMENT AGREEMENT

What Is an IRS “full Pay” Installment Agreement?

The IRS has several types of payment plans that a taxpayer can use to pay their IRS debt in full over time.

EXTENSION TO PAY

When a taxpayer is attempting to pay the debt in full but needs some more time to gather the funds and possibly to conduct some additional analysis of options, an IRS extension to pay can be requested. If the IRS agrees, it will place a hold on IRS levy activity for a period of up to six months allowing the taxpayer this time to pay the debt…
Continue Reading WHEN TO CONSIDER “FULL PAY” INSTALLMENT AGREEMENT

When the IRS issues a CP40 letter, it means three things:

1. The IRS has assigned collection of your IRS debt to a private debt collector

The IRS is understaffed, and as a result has moved some collection files to private collection agencies. It’s chosen your file because it may have found it difficult to locate you or your assets.

There are four private collectors who are licensed to collect IRS debt. CBE Group, Conserve, Pioneer and Performant.

Your CP40 letter should contain the contact information of one of those four companies.

The IRS has a page dedicated to…
Continue Reading CP40 LETTER? WHAT DOES IT MEAN?

First Step – Understanding how It Really Works

Many taxpayers have the mistaken impression that making a “deal” with the IRS is an informal process. Unfortunately, it’s just the opposite. It’s a process governed by a number of laws and rules and also by how those laws/rules apply to the taxpayer’s situation. Once this is understood, it’s easier to understand why the second step is necessary.

Second Step – Understanding Options

The law provides a number of ways to deal with an IRS debt

Everyone with an IRS debt would like it to be forgiven of course. The primary method…
Continue Reading STEPS TO DETERMINE BEST OPTION