Former US Tax Federal Prosecutor – Local Denver Metro Area Tax Attorney & CPA
Boog & Cruser, P.C.

New IRS Fresh Start Initiative Helps Taxpayers

In March 2012, the IRS expanded its "Fresh Start Initiative" to help struggling taxpayers who owe taxes. The IRS provided relief in three areas including:

1. Penalty Relief: The IRS is providing a six month extension to fully pay 2011 taxes for eligible unemployed taxpayers. Interest still applies from April 17, 2012, until the tax is paid, but taxpayers won't face failure to pay penalties if taxes, interest and other penalties are paid in full by October 15, 2012.

2.  Installment Agreements: The Fresh Start Initiative provisions are giving taxpayers the ability to use streamlined installment agreements to catch up on back taxes. The new threshold for requesting an installment agreement has been raised from $25,000 to $50,000 and the repayment period has been extended to six years from the current five year maximum. If you owe more than $50,000 you will have to supply the IRS with a Collection Information Statement (Form 433-A or Form 433-F). Under this program you must agree to direct debit payments.

3. Offer in Compromise: Under the first round of the Fresh Start Initiative in 2011, the IRS expanded the program to cover a larger group of struggling taxpayers. Generally, an offer will not be accepted if the IRS believes they can collect the liability in full during the statutory collection period. The IRS looks at the taxpayer's income and assets to make a determination regarding the taxpayer's ability to pay.

Send an E-Mail:

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close
Subscribe To This Blog's Feed

Contact Information

Boog & Cruser, P.C.
3333 South Wadsworth Boulevard
Suite D-201
Lakewood, CO 80227
Phone: 303-986-5769
Fax: 303-985-3297
Map and Directions

Boog & Cruser

Visa, Mastercard, Discover, American Express

We serve clients in Denver, Lakewood, Littleton, Golden, Englewood, Arvada, Wheat Ridge, Broomfield, Superior, Louisville, Boulder, Aurora, Evergreen, Morrison, Genesee, and other communities in Denver County, Jefferson County, Arapahoe County, Adams County, Boulder County, Broomfield County and Douglas County, Colorado.

Privacy Policy | Business Development Solutions by FindLaw, a Thomson Reuters business.

FindLaw Network