Frequently Asked Questions

Can I discharge my tax debt in bankruptcy?

Generally, for older individual debts, yes. Follow this link to find out more about discharging taxes in bankruptcy.

What is an IRS Lien?

An IRS lien is an encumbrance on your property. It can prevent you from selling the property and, in some cases, help the IRS seize or take your property. You can find out more about IRS tax liens here.

What is an IRS Levy?

The term “levy” refers to the action of taking your property. The IRS levy is how the IRS goes about taking your property. It can include wage garnishments, bank levies, etc. You can find out more about IRS levies here.

What is Currently Not Collectible Status?

Currently not collectible is an informal agreement with the IRS that it will not collect your unpaid taxes. It is a status that the IRS notes in its computer system. You can find out more about currently not collectible status here.

What do I need to know about an IRS installment agreement?

IRS installment agreements can help manage your IRS debts. They are more complex than they sound. You can find out more about IRS installment agreements here.

What is an offer in compromise?

The IRS offer in compromise is the program to settle tax debts for less than the amount owed. This is often referred to as the “fresh start” initiative and is advertised by some as “settling for pennies on the dollar.” You can read more about the IRS’s offer in compromise program here.

What is an IRS audit reconsideration?

An IRS audit reconsideration refers to a request for the IRS to go back and fix an error from an IRS audit or adjustment. You can read more about the IRS’s audit reconsideration process here.