Fresh Start Initiative

In 2012, the Internal Revenue Service (IRS) introduced the Fresh Start Initiative program to assist taxpayers facing financial difficulties. Here’s what you need to know:

Qualification Requirements

To qualify for the Fresh Start Initiative, you must meet specific criteria:

Unemployment for at least 30 days during the last tax year or before April 15 of the current year
Income limits: $100,000 for individuals, $200,000 for married couples
Self-employed individuals must document a 25% drop in income
Owe less than $50,000 in taxes and penalties

If you meet these qualifications, you can apply using IRS Form 1127-A, “Extension of Time for Payment of Income Tax Due to Undue Hardship.”

Federal Tax Liens and Benefits

The Fresh Start Initiative raises the threshold for IRS filing of federal tax liens, making it easier to avoid them. It also streamlines the process for lien withdrawal after full payment of tax debt.

Payment Options

The program facilitates installment agreements for small businesses with balances up to $25,000, requiring full payment within 24 months. Additionally, individuals earning up to $100,000 are eligible to apply for an offer in compromise.

Representation and Assistance

Tax Resolution Experts at Tax Resolution Services have extensive experience with IRS programs and can help you navigate the Fresh Start Initiative. Contact us today for personalized assistance in resolving your tax debt.

Let's Talk About Fresh Start Initiative

testimonials

What Our Clients Have To Say

I would recommend Nicholas J. Fiore, CPA to represent you if you have any tax issues with the IRS or any other state or local tax agency. I had an IRS tax liability of $1,350,433, as a result of a Payroll Tax Trust Fund Penalty. Mr. Fiore’s 50 years of tax resolution experience was exactly what I needed. He was able to obtain an Offer-In-Compromise for $132,154, after 13 months of dealing with the IRS. He then initiated a favorable payment plan based upon my monthly financial situation. I was able to get my life back on track! Nick is a lifesaver.

Tax Client

Florham Park, NJ

We are a C-Corporation that owed the IRS, NYS and NYC more than $10 million dollars in tax, penalties and interest. This was the result of a criminal tax audit for the period of (2010-2017), largely due to the

fault of our prior accountant. This accountant referred us to Nick, who spent countless hours with the respective auditors. He was able to get the IRS 75% Civil Penalty removed, as well as some of the NYS and NYC penalties and interest. All liens were also removed. In total, he saved us over $3 million dollars!! We now have 3 monthly payment plans in place. Due to Nick’s expert services, we were able to keep our doors open and have consistently increased our gross sales by 20%.

Tax Client

Brooklyn, NY

I highly recommend Nick Fiore, CPA. I had a NYS Sales Tax Liability of $387,391. I hired (2) separate CPAs to handle this; however, they were both unsuccessful. I was referred to Nick by an associate of mine. After gathering all the appropriate documents, he began in earnest to work with NYS. The end result was my acceptance of an Offer-in-Compromise for $10,456. There are no words to express my thanks to Nick.

Tax Client

Long Island, NY

I had numerous IRS and NYS tax issues regarding several Partnership and Sub-S Corporations. Nick was able to file all prior years’ tax returns and set-up installment payment plans, for all active entities. He dissolved all inactive entities and was able to get penalties waived. I was able to get my affairs and life back in order. Nick is a Godsend

Tax Client

Lancaster,PA

TAXPAYER WAS ERRONEOUSLY CHARGED $19,453.25 AS A NYS RESIDENT, BASED UPON A RESIDENCY (NEXUS) AUDIT. I OBTAINED AN AUDIT RECONSIDERATION AND SETTLED FOR $-0-.

Tax Client

Lancaster,PA

AFTER REVIEWING THE TAX RETURNS OF A NOT-FOR-PROFIT ORGANIZATION, PREPARED BY A BIG 4 ACCOUNTING FIRM, I DETERMINED THAT THEY WERE INCORRECTly PAYING TAX TO NYS AND NYC. I OBTAINED REFUNDS OF $342.119.

Tax Client

NY, NY

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