Another Successful $100 IRS Tax Debt Settlement

This client hired us in October 2021 to help them deal with a debt caused by an IRS examination. They were unable to repay the IRS as their only income source was their Social Security. Despite only owing approximately $6,000 the IRS had been trying to collect this debt making the incorrect assumption that they had the income to pay this back. The IRS also claimed that they had assets they could sell to pay the debt off. It was evident they were unwilling to work with the client when they suggested a payment plan that was simply not affordable.

We immediately got to work on a proposal for a settlement on their tax debt and submitted it in November of 2021. The IRS dragged the proposal through their process and delayed as much as they could in the hopes that we would give up. When an agent was finally assigned we proved beyond doubt that the client truthfully had no way of paying this debt back. There were still some arguments raised against the client’s settlement but ultimately the IRS recognized the client’s situation and accepted the settlement. We got word of the acceptance in November of 2022. The client’s debt was settled for only $100, saving them more than $5,000 in taxes, interest, and penalties. With this tax problem behind them, the client can now enjoy their retirement.

Obviously all tax situations are different, however if you would like to learn more or schedule time to discuss your own tax issues, please click here and we would be happy to assist you.