Fresh Start Initiative

The IRS Fresh Start Program is a tax relief program designed to help businesses and individuals get tax relief and avoid penalties with a long-term payment plan.

Do you qualify for the Fresh Start Initiative?

Many Americans qualify for the Fresh Start Program. We can help you determine if you’re an eligible taxpayer.

IRS Fresh Start Program

The IRS Fresh Start Program, launched in 2011, is an initiative designed to make it easier for taxpayers to resolve federal tax debt by giving them a “fresh start” with the IRS. The Fresh Start Initiative grants more flexible options for taxpayers to pay or absolve their back taxes without penalties. For anyone scared of filing a tax return because of tax issues, the Fresh Start Program offers a new solution.

Get Expert Help with the Fresh Start Program

A Community Tax professional will advise if you qualify for an offer in compromise and help determine how much money the IRS would agree on to settle your tax balance. You can qualify for support, even if you’re not struggling with tax liens, penalty abatements, or wage garnishments. We will help you fill out the forms relevant to the tax relief options you qualify for:

Get a Fresh Start with the IRS.

Installment Agreements

If you’re unable to pay your federal taxes owed in full, you may qualify to pay what you owe over a longer period of time through an installment agreement. Thanks to the Fresh Start Initiative, more taxpayers can now access a payment plan as a form of penalty relief. Variations also exist for small business owners and expat taxpayers, like the streamlined installment agreement. However, negotiating a regular or streamlined installment agreement with the IRS on your own can take more than filling out Form 433-A correctly.

Community Tax experts will fight for an installment agreement that works for you. We negotiate the tax payment amount and payment period to garner the most favorable outcome for your situation.

Offers in Compromise

Can’t afford to pay what you owe to the IRS? You may not have to.

Following the IRS Fresh Start Program, more taxpayers now qualify for an Offer in Compromise (OIC). An OIC allows distressed taxpayers with financial hardship an attempt to find an appropriate repayment amount balancing a taxpayer’s future income with meeting the federal tax debt balance they can afford. Negotiating an OIC on your own can be difficult, but you can increase your chances of approval with the help of a tax specialist from Community Tax.

Person reviewing and signing financial documents with advisor

Tax Lien Withdrawal

Following the Fresh Start Initiative, taxpayers have the right to file for a tax lien withdrawal if they’ve paid off taxes owed and fulfilled other certain requirements.

The IRS also increased the amount a taxpayer must owe before they can be served with a tax lien to $10,000. However, there are cases in which a taxpayer may be served a tax lien even if their outstanding balance is less than $10,000. If you’ve been slapped with a tax lien, we’ll work to have it released and examine your options for tax resolution.

Which Eligible Taxpayers Qualify for the Fresh Start Program?

There are varied limitations on who can receive this tax penalty reprieve:

  • Self-employed taxpayers must provide proof of a 25% drop in their net income.
  • Taxpayers can’t earn more than $200,000 per year for married couples filing jointly or $100,000 for single filers.
  • Tax balance must be below $50,000 at the end of the year to qualify.

When you start filing forms for tax relief, the IRS will likely pause any collection actions, including bank levies or initial proceedings to tax court. Getting started with the Fresh Start program does not mean that your account automatically enters currently not collectible (CNC status). A tax resolution specialist from Community Tax can guide you through the ins and outs of the application process and help you determine which course of action is right for your financial situation.

Fresh Start Initiative FAQs

What is the Fresh Start Initiative?

Once known as the Fresh Start Program, the Fresh Start Initiative is not a program in itself, but rather a series of changes to current IRS Collection procedures and policies. It’s designed to help both individual taxpayers and small businesses attempting to settle an overdue tax liability. This agreement gives qualified individuals the ability to pay off their taxes in smaller, more manageable amounts over a period of time, with limited penalties. The Fresh Start debt program also includes debt reassessment through Offer in Compromise agreements and tax lien withdrawal.

When it first started, the Fresh Start Initiative introduced two tax debt settlement solutions — installment agreements and the Offer in Compromise (OIC) program. These solutions are designed to make it easier for taxpayers to pay off tax debt while limiting financial burden.

Here’s how they work:

  • Installment Agreements: The taxpayer and the IRS work together to identify a monthly payment plan for the total tax debt owed. This can help reduce tax penalties like tax levies from unpaid taxes, and ultimately, make it more feasible for taxpayers to pay aggressive tax dues.
  • Offer in Compromise (OIC): An OIC agreement is a settlement solution for individuals who face insurmountable tax debt. This compromise can lessen the amount of taxes owed to the IRS.

Today, the IRS no longer refers to the Fresh Start program. Instead, these elements are part of the everyday working policies under an initiative within the Internal Revenue Service.

There are many factors that play into whether you meet IRS Fresh Start tax program qualifications:

  • Self-employed individuals must provide proof of a 25% drop in their net income.
  • Joint filers cannot earn more than $200,000 a year, and single filers cannot earn more than $100,000.
  • Your tax balance must be below $50,000 at the end of the year in order to qualify.

Get in touch with us today to determine if you meet the Fresh Start Program requirements.

Since it started, the IRS made some changes to the Fresh Start Initiative in order to make it more accessible for struggling taxpayers:

  • Raising the installment agreement threshold from $25,000 to $50,000 so long as the debt can be paid within six years.
  • Increasing the length of installment terms from five years to six years.
  • The program now allows taxpayers to avoid tax liens with a direct debit installment agreement for balances between $25,000 and $50,000.
  • The tax lien threshold increased from $5,000 to $10,000.
  • A policy change allowing taxpayers to keep their tax refunds in the same year that an OIC is accepted.

Our team of tax attorneys and tax professionals stay up-to-date on all the changes so that you don’t have to.

Every case is unique; in general, the Fresh Start Initiative process takes several months. There have been cases that require a year for completion, but our team will work hard to expedite the process and get you in better financial standing sooner.

Yes, a Fresh Start Initiative settlement can be reassessed even after it has been paid. The IRS requires that you finish your payments for the settlement and continue to file tax returns and pay all taxes for five years after completing the terms of your settlement package. If you fail to do so, the IRS will likely pursue the full amount of taxes originally owed.

You can apply for a Fresh Start with the IRS directly or with the help of a tax professional. The Fresh Start application process can take several months to get approved if you choose to go it alone. With the help of a Community Tax expert on your side, we expedite the process so you can get your Fresh Start as soon as possible.

What Our Clients Say

Lara M.

Community Tax was pivotal in helping my husband and me resolve a decades-long tax issue that had been weighing on us for years.

Guided by, their team was professional, knowledgeable, and dedicated to finding the best solution for our circumstances. They navigated our time-sensitive situation with expertise, making a nerve-wracking process completely doable and handling everything without judgment. Thanks to their support, we finally have peace of mind and a fresh financial start. My husband and I highly recommend Community Tax to anyone in need of tax relief!

Anita B.

Audrey R. has been absolutely essential in helping me get a resolution for my tax situation. From the beginning, she was professional…

responsive, and always available to answer my questions. Before coming to Community Tax, I worked with another firm that seemed more interested in taking my money than actually helping me. Community Tax was the complete opposite they truly worked with my budget and focused on getting real results. Thanks to their help, I’m finally on the path to being free from tax debt. I highly recommend them to anyone looking for honest, reliable, and effective tax relief support! Ask for Audrey she is the absolute best. Oh, and their app made it incredibly easy to make payments and track progress, and the entire process was simple and stress-free. I just love them!

Lara M.

Finally! I can sleep at night. Community Tax was pivotal in helping my husband and me resolve a decades-long tax issue that had been weighing on us for years.

Guided by Sarah N. their team was professional, knowledgeable, and dedicated to finding the best solution for our circumstances. They navigated our time-sensitive situation with expertise, making a nerve-wracking process completely doable and handling everything without judgment. Thanks to their support, we finally have peace of mind and a fresh financial start. My husband and I highly recommend Community Tax to anyone in need of tax relief!

What Our Clients Say

Lara M.

Community Tax was pivotal in helping my husband and me resolve a decades-long tax issue that had been weighing on us for years.

Guided by, their team was professional, knowledgeable, and dedicated to finding the best solution for our circumstances. They navigated our time-sensitive situation with expertise, making a nerve-wracking process completely doable and handling everything without judgment. Thanks to their support, we finally have peace of mind and a fresh financial start. My husband and I highly recommend Community Tax to anyone in need of tax relief!

Anita B.

Audrey R. has been absolutely essential in helping me get a resolution for my tax situation. From the beginning, she was professional…

responsive, and always available to answer my questions. Before coming to Community Tax, I worked with another firm that seemed more interested in taking my money than actually helping me. Community Tax was the complete opposite they truly worked with my budget and focused on getting real results. Thanks to their help, I’m finally on the path to being free from tax debt. I highly recommend them to anyone looking for honest, reliable, and effective tax relief support! Ask for Audrey she is the absolute best. Oh, and their app made it incredibly easy to make payments and track progress, and the entire process was simple and stress-free. I just love them!

Lara M.

Finally! I can sleep at night. Community Tax was pivotal in helping my husband and me resolve a decades-long tax issue that had been weighing on us for years.

Guided by Sarah N. their team was professional, knowledgeable, and dedicated to finding the best solution for our circumstances. They navigated our time-sensitive situation with expertise, making a nerve-wracking process completely doable and handling everything without judgment. Thanks to their support, we finally have peace of mind and a fresh financial start. My husband and I highly recommend Community Tax to anyone in need of tax relief!

Custom Tax Solutions with the IRS Fresh Start Program

Taxpayers can keep the process simple by hiring a tax relief company whose entire job it is to keep these tax laws and updates straight while reporting them accurately to clients. Community Tax is always up to date on the changes the IRS makes to its tax programs. Save money, extend deadlines and find your way into the best tax resolution plan with Community Tax.

Tax Resolution Help.

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