Understanding Your Tax Relief Options

When you owe the IRS, you have several legitimate options to resolve your tax debt. Understanding these programs is the first step toward financial relief.

What is Tax Relief?

Tax relief programs are official IRS programs designed to help taxpayers who cannot pay their full tax debt. These aren't "loopholes" or scams - they're legitimate government programs established by tax law.

The IRS wants to collect what you owe, but they also recognize that some taxpayers genuinely cannot pay. These programs balance the government's need to collect revenue with taxpayers' ability to pay.

The Three Main Programs

1. Installment Agreement (IA)

Best for: Taxpayers who can afford monthly payments but need time to pay off their debt.

Pay your full tax debt over time (up to 72 months)
Stop penalties and interest from accruing (in some cases)
Avoid levies and wage garnishments
Monthly payments based on your ability to pay

2. Offer in Compromise (OIC)

Best for: Taxpayers who cannot afford to pay their full tax debt, even over time.

Settle your tax debt for less than you owe
Based on your income, expenses, and asset equity
Requires detailed financial disclosure (Form 433-A)
Most difficult to qualify for, but provides maximum relief

3. Currently Not Collectible (CNC)

Best for: Taxpayers experiencing financial hardship who cannot afford any payment.

Temporarily pauses IRS collection activity
No monthly payments required
Debt remains, but collection is suspended
Must prove paying would cause economic hardship

How Do I Know Which Program I Qualify For?

The IRS evaluates your case based on specific financial criteria:

Monthly Income: What you earn from all sources
Monthly Expenses: Allowable living expenses per IRS standards
Assets: Equity in property, vehicles, investments, and bank accounts
Tax Debt Amount: How much you owe in total

Use our qualification tool on the dashboard to see which programs you may be eligible for based on your specific financial situation.

Next Steps

Ready to find your best option?

Complete the tax debt analysis on your dashboard
Review your qualification results
Start your application for your recommended program
Access program-specific forms and guides

What is Tax Relief?

The Three Main Programs

1. Installment Agreement (IA)

Best for: Taxpayers who can afford monthly payments but need time to pay off their debt.

Pay your full tax debt over time (up to 72 months)

Stop penalties and interest from accruing (in some cases)

Avoid levies and wage garnishments

Monthly payments based on your ability to pay

2. Offer in Compromise (OIC)

Best for: Taxpayers who cannot afford to pay their full tax debt, even over time.

Settle your tax debt for less than you owe

Based on your income, expenses, and asset equity

Requires detailed financial disclosure (Form 433-A)

Most difficult to qualify for, but provides maximum relief

3. Currently Not Collectible (CNC)

Best for: Taxpayers experiencing financial hardship who cannot afford any payment.

Temporarily pauses IRS collection activity

No monthly payments required

Debt remains, but collection is suspended

Must prove paying would cause economic hardship

How Do I Know Which Program I Qualify For?

The IRS evaluates your case based on specific financial criteria:

Monthly Income: What you earn from all sources

Monthly Expenses: Allowable living expenses per IRS standards

Assets: Equity in property, vehicles, investments, and bank accounts

Tax Debt Amount: How much you owe in total

Use our qualification tool on the dashboard to see which programs you may be eligible for based on your specific financial situation.