THE INITIATIVE

We live in the 21st century and still middle-class and lower-class people are being taxed more than the rich. The middle-class population are the ones that shoulder most of the tax burden while the rich get to enjoy their elite lives. If you are in the middle-class category, you would have experienced getting a huge tax bill that cannot be paid off right away. Well, we have some good news for you! There are several legal ways to handle your tax bills with ease and quickly. The best way is to enrol yourself in the Fresh Start Initiative, a program that helps reduce your tax bills. Let us get to know all about this creative and helpful initiative below:

Do find more information about Unfiled Tax Returns Michigan

FRESH START INITIATIVE: WHAT IS IT?

Unable to pay off your huge tax bills right away? Do not worry about it because the Fresh Start Initiative is there to help you out! Facing a huge tax bill can be very overwhelming, especially if paying it off is going to cause a lot of financial stress and burden on your career and yourself. It is a very common issue faced by most taxpayers and the IRS is here to save your day. The initiative does not just offer one relief. It is a mixture of many schemes put together to benefit various taxpayers with unique problems. These schemes cater to the financial needs of taxpayers who are stressed out about their tax debts. The various useful schemes under this initiative are:

  1. Instalment Agreement
  2. Currently Not Collectible
  3. Offer In Compromise
  4. Penalty Abatement
  5. Innocent Spouse Scheme

There is no guarantee that you are eligible for such schemes because the IRS has the sole authority to determine the eligibility of taxpayers under these schemes. You might be eligible for some or all the schemes, and the IRS is willing to work with you on a one-on-one basis to decide which would be the most beneficial for you after deeply analysing your financial situation. This does not just help the taxpayers but also hugely benefits the IRS.

ELIGIBILITY CRITERIA FOR THE FRESH START INITIATIVE

You might be confused and uncertain about whether you are a suitable candidate or not to apply for this scheme. The chances are highly likely because the IRS is very much interested in solving any tax-related problems. The IRS provides the best tax-relief solution by carefully analysing your financial situation. To obtain more information and gain in-depth knowledge, reach out to a tax professional who is experienced in this field. The Fresh Start Initiative was quite popular and catchy a few years ago and that spark is still there.

The eligibility criteria to enrol for this tax-relief program are:

  1. You are a freelancer generating your income and your earnings have been reduced by 25%
  2. You have a spouse, and your income is less than $200,000
  3. You are unmarried and your income is below $100,000
  4. Your balance tax liability is not greater than $50,000.