Anyone deal with IRS tax settlement? Need advice

I just got a CP504 notice and I’m looking to hire someone to help me sort this out. Does anyone have recommendations for companies or services? Also, how much does it usually cost? I owe about $15,000 to the IRS.

If you go with Optima Tax Relief, expect to pay around $25,000.

Sage said:
If you go with Optima Tax Relief, expect to pay around $25,000.

That’s crazy. LOL.

Willow said:

Sage said:
If you go with Optima Tax Relief, expect to pay around $25,000.

That’s crazy. LOL.

And the worst part is, you’d still have to pay the IRS on top of that.

Honestly, you probably won’t be able to settle it. Just set up an installment agreement with the IRS. It’s the simplest way.

The IRS usually lets you stretch out $15,000 over 72 months. That’s about $250 per month. Just set up a payment plan with them directly.

Don’t go with those tax relief companies. Hire a qualified CPA or EA instead. They’ll give you better advice without the hype.

What exactly are you trying to consolidate?

If you can manage around $225 a month for payments to the IRS, you probably don’t need to hire a ‘tax relief’ company. Those companies often mislead people with terms like ‘fresh start’ or ‘forgiveness,’ which usually just refer to an Offer in Compromise.

Check out the IRS Offer in Compromise Pre-Qualifier to see if you’d even qualify:

Also, you might want to look into First Time Penalty Abatement. It won’t cover everything, but it’s an easy way to lower your total if you qualify:

@Willow
You could also look into a ‘currently not collectible’ status if you qualify.

Aris said:
@Willow
You could also look into a ‘currently not collectible’ status if you qualify.

Yeah, that’s called ‘Currently Not Collectible.’ Might be worth exploring.

As an EA, if you were already my client, I’d help you set up an installment agreement at no extra charge. If not, I’d charge around $200–300 to handle it.

Jaden said:
As an EA, if you were already my client, I’d help you set up an installment agreement at no extra charge. If not, I’d charge around $200–300 to handle it.

I owe $230,000, and my CSED runs out in 2029. Made a lot of bad decisions, and now I’m trying to fix things. I don’t have a job, no assets, no property. My driver’s license got suspended over unpaid taxes, so I can’t get my CDL for work. If I go the ‘currently not collectible’ route, would that help with the license issue? It expired recently, and I’m not sure how to even get back on track without it.