IRS Proposes Higher Fees for OIC & Payment Arrangements

Due  to continuous budget cuts for the IRS, the Agency has proposed plans to raise fees for programs that help taxpayers who are struggling with enormous tax debt. These proposed raise will be on fees which are charged for an Offer in Compromise or fees to set up payment installation agreements.  These fees have not been raised since 2007 but with the budget cuts and finance allocation challenges, the IRS is forced to find more money elsewhere to help lessen the impact of the aforementioned issues.  The fees are not enormous in any way (150 to 186), but to those who have nothing, any amount seems like too much.  These programs help people out of tax debt, but are not a “fix-all”.  Continuous compliance remains the most important part any responsible person’s tax debt recovery process.