6 Proven IRS Tax Resolution Steps to Regain Financial Peace

1. Understand the Scope of Your IRS Tax Problem

Before you can resolve your tax issues, you need to know exactly what you're dealing with.

Pull IRS Transcripts: These documents show how much you owe, what years are affected, and if there are any pending collection actions.

Identify IRS Letters or Notices: Notices like CP14 (Balance Due) or LT11 (Intent to Levy) are crucial for knowing where you stand.

Common Issues:

Unfiled tax returns

Tax debt from underpayment

Audits and examinations

IRS collections actions (liens, levies, garnishments)

At Tax Relief R Us, we offer a free IRS account investigation to help you understand the full picture.

2. File All Missing Tax Returns

The IRS won’t negotiate if you haven’t filed all required returns.

Unfiled returns are often the root cause of IRS issues.

The IRS may file a Substitute for Return (SFR) on your behalf, which rarely works in your favor.

Filing missing returns can:

Reduce the amount owed

Start the statute of limitations on collections

Open the door to resolution programs like Offer in Compromise

Pro Tip: If you’re unsure of your filing status, we can retrieve your IRS wage and income transcripts to ensure accuracy.

3. Review Your Financials Before Choosing a Resolution Strategy

IRS tax resolution isn’t one-size-fits-all—it depends heavily on your financial situation.

Prepare your:

Monthly income and expenses

Assets and liabilities

Family size and living expenses

This data is critical to qualify for:

Installment Agreements

Currently Not Collectible (CNC) status

Offer in Compromise

Tax Relief R Us performs a deep financial analysis to match you with the best resolution option.

4. Explore IRS Resolution Programs

There are multiple IRS tax resolution programs that offer relief depending on your circumstances:

Installment Agreements: Pay your debt over time. Includes:

Streamlined Installment Agreements

Partial Payment Plans

Offer in Compromise (OIC): Settle your tax debt for less than you owe if you qualify.

Currently Not Collectible (CNC): If you can't afford to pay, this status halts IRS collections temporarily.

Penalty Abatement: You may qualify to reduce or eliminate penalties due to reasonable cause or first-time forgiveness.

Innocent Spouse Relief: Protects individuals from joint tax debt caused by a spouse’s errors or omissions.

Let Tax Relief R Us guide you through the application process for the best possible outcome.

5. Communicate Proactively with the IRS

The IRS is more willing to work with taxpayers who stay in communication.

Always respond to IRS notices before the deadline.

Set up a Power of Attorney (POA) if you're working with a tax professional—this allows us to speak directly to the IRS on your behalf.

Avoid defaulting on agreements—it can trigger aggressive collection efforts.

With Tax Relief R Us in your corner, we handle the communication so you can focus on your daily life.

6. Protect Yourself from IRS Collections

If you ignore IRS debt, you could face serious consequences:

Tax Liens: Filed against your property, hurting your credit.

Wage Garnishments: IRS can seize part of your paycheck.

Bank Levies: They can freeze and take funds from your account.

IRS tax resolution means acting