The IRS has initiated a series of key steps to alleviate challenges caused by COVID-19 issues, including but not limited to the following:
- Taxpayers (TP) with an existing instalment agreement may suspend payments between April 1 and July 15, 2020 without the risk of default, although by law interest will continue to accrue on any unpaid balances
- Non-Filers for tax years before 2019 are encouraged to file delinquent returns to claim their refunds before they expire by statute or use the opportunity through July 15, 2020 to resolve their tax obligations
- Offer-In-Compromise: Taxpayers assistance is driven by their stage in the Offer-In-Compromise process. Specifically, the TP has until July 15, 2020 to provide requested additional information to support a pending OIC; TP has an option of suspending all payments on accepted OICs until July 15, 2020; OIC for those taxpayers who are delinquent in filing their tax return for tax year 2018 will not be defaulted on or before July 15, 2020 and a "Fresh Start.” Initiative for those taxpayers with a liability exceeding their net worth.
- Liens and levies (including any seizures of a personal residence) initiated by field revenue officers will be suspended between April 1 and July 15, 2020.
- New Passport Certifications to the Department of State for taxpayers who are "seriously delinquent" has been suspended between April 1 and July 15, 2020.
Refer to IR-2020-59, “IRS unveils new People First Initiative; COVID-19 effort temporarily adjusts, suspends key compliance programs” for further details regarding the programs.
If you live in Stamford, Darien, Norwalk, New Canaan, or anywhere else in Lower Fairfield County of Connecticut and beyond, and need professional help navigating favorably through these IRS compliance programs, please contact Chemrick today at 203-722-9244 or by email at firstname.lastname@example.org for a phone consultation on best way forward.
Patrick Chemngorem, CPA, MT
Chemrick Tax Resolution LLC