Yesterday, the IRS announced new policies and programs to help taxpayers pay back taxes and avoid tax liens. IRS Commissioner Doug Shulman said, "We are making fundamental changes to our lien system and other collection tools that will help taxpayers and give them a fresh start. These steps are good for people facing tough times, and they reflect a responsible approach for the tax system. These steps are in the best interest of both taxpayers and the tax system. People will have a better chance to stay current on their taxes and keep their financial house in order. We all benefit if that happens."

  • The changes include:
    • Significantly increasing the dollar threshold when liens are generally issued, resulting in fewer tax liens.
    • Making it easier for taxpayers to obtain lien withdrawals after paying a tax bill.
    • Withdrawing liens in most cases where a taxpayer enters into a Direct Debit Installment Agreement.
    • Creating easier access to Installment Agreements for more struggling small businesses.
    • Expanding a streamlined Offer in Compromise program to cover more taxpayers.
  • Additional information can be accessed here.