Applying for the IRS Fresh Start Program: Mistakes to Avoid | Axiom Tax Resolution Group

When you’re ready to apply for the Fresh Start Program, you’ll want to make sure that you’re working with a tax relief expert that has a proven track record with the IRS Fresh Start Program. A tax relief expert that is knowledgeable about the Fresh Start Program can help you with the following:

  • Help you establish your tax relief eligibility;
  • File your paperwork and application directly to the IRS;
  • Help you with any negotiations or collections with the IRS;
  • Provide you with a plan that gets your fresh start off on the right track;

If you rush the process and make a mistake in your application, it can prevent you from getting the financial relief you deserve and end up having a due balance to boot. 

With that in mind, here are some common mistakes taxpayers need to avoid when applying for the Fresh Start program?

Mistake #1: Not Knowing What Qualifies as a Break 

If you owe a large amount of tax debt to the IRS and are eligible for the Fresh Start program, you need to make sure that you’re looking at the right numbers to get a true picture of your tax debt.

One of the most common mistakes taxpayers make when they apply for the Fresh Start Program is to overlook exclusions. Exclusions are allowed under the Fresh Start Program and they can significantly reduce your amount of debt.

Mistake #2: Failing to Provide Proof of Financial Hardship

The IRS Fresh Start Program is specifically tailored to provide financial relief to taxpayers who are experiencing financial hardship. To get financial relief under this program, you will need to provide extensive proof of your monetary struggles.

This is one of the primary reasons many taxpayers have trouble getting approved for the Fresh Start Program.

This is also why you need to work with a tax relief expert as early as possible when you are preparing your application because you will need to provide documentation to support your financial hardship claim.

Mistake #3: Submitting Missing or Inaccurate Documentation

If you are filing your application under the Fresh Start program, you will need to submit documentation that supports your application.

Inaccurate or missing documentation can slow down your application and increase the likelihood that it will not be approved. With that in mind, there are a series of forms that are required when you apply for the Fresh Start Program. 

The documentation that you may need to provide may include (but is not limited to) the following:

  • Doctor/medical statements;
  • Fire department reports, if applicable;
  • Insurance claims;
  • Student loan statements;
  • Death certificates of family members, if applicable; 
  • Personal letter attached to your Form 843 detailing your financial hardships;

You also need to file all of your missing or unfiled tax returns. Additionally, you need to ensure that your estimated tax payments are current and that the information provided from your current withholdings is accurate. 

The Bottom Line: Always be Careful When Applying for the IRS Fresh Start Program

Filing for the IRS Fresh Start Program can be a bit of a challenge. However, if you have a lot of tax debt and you’re struggling to make ends meet, the Fresh Start Program may provide the financial relief that you need to get back on track.

On that note, it’s best to work with a tax relief expert that can help you with your Fresh Start application.

How Can We Help You?

Are you dealing with IRS tax problems? Not to worry—Axiom Tax Resolution Group is here to help. We are tax resolution services specialists that provide tax solutions to our clients. With our help, we get to create a roadmap and strategy that will help you resolve your tax woes.

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