Tax tip: IRS help for financially distressed taxpayers - Spokane, North Idaho News & Weather KHQ.com

Tax tip: IRS help for financially distressed taxpayers

If you are facing financial difficulties and struggling to meet your tax obligations the IRS can help. As the 2009 tax filing season begins, in addition to new credits, deductions and exclusions, the IRS is taking steps to help people who owe back taxes. Here are some areas where IRS can help:

  • Added Flexibility for Missed Payments: The IRS is allowing more flexibility for individuals with existing Installment Agreements who have difficulty making payments because of a job loss or other financial hardship. Depending on the situation, the IRS may allow a skipped payment or a reduced monthly payment amount. Taxpayers in this situation should contact the IRS.

  • Additional Review for Offers in Compromise on Home Values:  An Offer in Compromise (OIC), an agreement between a taxpayer and the IRS that settles the taxpayer's tax debt for less than full amount owed, may be a viable option for taxpayers experiencing economic difficulties.  However, the equity taxpayers have in real property can be a barrier to an OIC being accepted. With the uncertainty in the housing market, the IRS recognizes that the real-estate valuations used to assess ability to pay are not necessarily accurate. So in instances where the accuracy of local real-estate valuations is in question or other unusual hardships exist, the IRS is creating a new, second review of the information to determine if accepting an offer is appropriate.

  • Prevention of Offer in Compromise Defaults: Taxpayers who are unable to meet the periodic payment terms of an accepted OIC will be able to contact the IRS office handling the offer for available options to help them avoid default.

  • Postponement of Collection Actions: IRS employees will have greater authority to suspend collection actions in hardship cases where taxpayers are unable to pay. If an individual has recently encountered a job loss or other financial problem, IRS assistors may be able to suspend collection in some situations without documentation to minimize burden on the taxpayer.

  • Expedited Levy Releases: The IRS will speed the delivery of levy releases by easing requirements on taxpayers who request expedited levy releases for hardship reasons. Taxpayers seeking expedited releases of levies to an employer or bank should contact the IRS number shown on the notice of levy to discuss available options. When calling, taxpayers requesting a levy release due to hardship should be prepared to provide the IRS with the fax number of the bank or employer processing the levy.

If you are behind on tax payments there could be additional help available if you are facing an unusual hardship situation.  For assistance with your back taxes contact the phone numbers listed on your IRS correspondence.

More information is available on the IRS web site at IRS.gov.

  • Most Popular StoriesMost Popular StoriesMore>>

  • Spokane man intervenes in terrifying case of road rage

    Spokane man intervenes in terrifying case of road rage

    Thursday, September 21 2017 2:23 AM EDT2017-09-21 06:23:54 GMT

    SPOKANE, Wash. - A terrifying case of road rage could have gotten much worse if it hadn't been for a total stranger. The man went from a spectator to a participant in a matter of seconds. Once James Williams saw there were kids involved in this potentially dangerous situation, the former Marine Corps. medic said he had to do whatever he could do to help.

    >>

    SPOKANE, Wash. - A terrifying case of road rage could have gotten much worse if it hadn't been for a total stranger. The man went from a spectator to a participant in a matter of seconds. Once James Williams saw there were kids involved in this potentially dangerous situation, the former Marine Corps. medic said he had to do whatever he could do to help.

    >>
  • Coeur d’Alene Police search for armed robbery suspect

    Thursday, September 21 2017 9:35 AM EDT2017-09-21 13:35:12 GMT

    COEUR D'ALENE, Idaho - Coeur d’Alene Police are searching for an armed robbery suspect who entered a grocery store demanding money from the clerk at gunpoint. The robbery occurred around 9pm Wednesday at Jordan's Grocery in the 1000 block of N. 15th street. The suspect male entered the store with a handgun and demanded money from the clerk who removed all the cash from the register and gave it to the suspect.

    >>

    COEUR D'ALENE, Idaho - Coeur d’Alene Police are searching for an armed robbery suspect who entered a grocery store demanding money from the clerk at gunpoint. The robbery occurred around 9pm Wednesday at Jordan's Grocery in the 1000 block of N. 15th street. The suspect male entered the store with a handgun and demanded money from the clerk who removed all the cash from the register and gave it to the suspect.

    >>
  • Family, friends remember artist killed in I-90 crash

    Family, friends remember artist killed in I-90 crash

    Wednesday, September 20 2017 11:13 PM EDT2017-09-21 03:13:49 GMT

    SPOKANE, Wash. - When Ryan Foster received the tragic news about losing his sister in a crash on Interstate 90, he couldn’t believe it. He was all the way back east in Jersey City, New Jersey, and got on a plane as fast as he could "Just shock, disbelief. I mean there's still a great deal of it, but at this point it's just about remembering her," said Ryan. 24-year-old Michaelanne Foster is being remembered as a talented artist and a loving and caring sister.

    >>

    SPOKANE, Wash. - When Ryan Foster received the tragic news about losing his sister in a crash on Interstate 90, he couldn’t believe it. He was all the way back east in Jersey City, New Jersey, and got on a plane as fast as he could "Just shock, disbelief. I mean there's still a great deal of it, but at this point it's just about remembering her," said Ryan. 24-year-old Michaelanne Foster is being remembered as a talented artist and a loving and caring sister.

    >>
HD DOPPLER 6i
/