Ways to fix IRS debt
12 real options. Find the one that fits.
All 12 ways to get help
Offer in compromise
Ask the IRS to take less than you owe. Hard to get.
See offer in compromise
Payment plan
Pay what you owe a little each month.
See payment plan
Not collectible
The IRS pauses collection while money is too tight.
See not collectible
Penalty relief
Ask the IRS to remove late filing or late payment penalties.
See penalty relief
Innocent spouse
Relief from tax your spouse caused on a joint return.
See innocent spouse
Levy release
Stop a levy on your bank account or other property.
See levy release
Lien help
Get a tax lien released, withdrawn or moved off a home sale.
See lien help
Wage garnishment
The IRS takes part of every paycheck until you act.
See wage garnishment
Unfiled returns
Catch up on old returns before the IRS files for you.
See unfiled returns
Audit help
Know what an audit is, what to send and your rights.
See audit help
Payroll tax debt
Unpaid payroll taxes can become your personal debt.
See payroll tax debt
State tax debt
State tax debt has its own rules, deals and clocks.
See state tax debtResults depend on your situation. Not every case qualifies.
Which one fits you?
Offer in compromise: People who truly cannot pay the full debt, even over time, and who have filed every return.
An offer in compromise is a deal where the IRS takes less than the full amount you owe. The IRS looks at your income, your bills and what you own. It usually says no if you could pay in full with a payment plan. Read more
Payment plan: People who can pay the full debt if they get more time.
A payment plan lets you pay the IRS over time. A short plan gives you up to 180 days with no setup fee. A long plan lets you pay each month. Interest and some penalties keep adding up until you pay it all. Read more
Not collectible: People whose income only covers basic living costs, with nothing left to pay the IRS.
Currently not collectible, or CNC, means the IRS stops most collection because paying would leave you unable to cover basic living costs. You still owe the full amount. Penalties and interest keep growing. Read more
Penalty relief: People with late filing, late payment or late deposit penalties who have a clean past or a real reason.
Penalty abatement means the IRS removes or lowers a penalty. The two main paths are a clean history of filing and paying on time, and a good reason like a fire, a serious illness or a death in the family. Read more
Innocent spouse: People who filed jointly and later found out their spouse left out income or claimed false deductions.
Innocent spouse relief can free you from tax your spouse or ex owes because of errors on a joint return that you did not know about. You ask for it with Form 8857. Read more
Levy release: People whose bank account, pay, Social Security or other property is being taken by the IRS.
A levy is when the IRS takes your property to pay a tax debt. The IRS must release a levy in some cases, like when you set up a payment plan that does not allow it, or when the levy causes economic hardship. Read more
Lien help: People with a lien that blocks a loan, a home sale or a refinance.
A federal tax lien is the government's legal claim on your property when you don't pay a tax debt. The IRS releases it within 30 days after you pay in full. A withdrawal removes the public notice. Discharge and subordination can help you sell or refinance. Read more
Wage garnishment: People whose employer got an IRS levy on their wages.
An IRS wage levy, often called a garnishment, sends part of every paycheck to the IRS until you pay, set up another way to pay, or the levy is released. Part of your pay is exempt, based on your standard deduction and dependents. Read more
Unfiled returns: People with one or more years of returns not filed.
If you don't file, the IRS can file a substitute return for you. That return may skip deductions you could have claimed. It leads to a bill, then liens and levies if you don't pay. Filing your own return is usually better. Read more
Audit help: People who got an audit letter or a CP2000 notice about income that doesn't match.
An IRS audit is a review of your return and records to make sure they are right. The IRS starts an audit by mail, never by phone. Most audits look at returns filed in the last 2 years. Read more
Payroll tax debt: Owners, officers and others who control which bills a business pays.
Payroll taxes you hold back from workers' pay are trust fund taxes. If the business doesn't send them in, the IRS can charge the Trust Fund Recovery Penalty to the people in charge. Then it can collect from their personal assets. Read more
State tax debt: People who owe state income, sales, payroll or business taxes.
States collect their own taxes and set their own rules. Many have payment plans and some have offer programs. A deal with the IRS does not cover your state debt, and a state deal does not cover the IRS. Read more
Questions about tax debt help
What can I do if I owe the IRS and can't pay?
Most people set up a payment plan. Some get penalties removed. A few get an offer in compromise. If you truly can't pay, the IRS may mark your account not collectible for now. Interest keeps growing in every case.
Does the IRS forgive tax debt?
Not across the board. The real paths are a payment plan, penalty relief, an offer in compromise, not collectible status, or the 10 year collection clock running out.
Is an offer in compromise easy to get?
No. In fiscal year 2025 the IRS accepted 5,464 of 38,797 offers, about 14%. The IRS has a free pre-qualifier tool you can try first.
Do I need a tax pro?
Not always. You can call the IRS or set up many plans online yourself for free. A pro can help with big balances, levies, unfiled years or an offer.
See your options
A few questions. A tax pro calls you back.
Free tools: penalty calculator, 10 year clock, IRS offer data
Free to use. Not the IRS or any government agency. Results depend on your situation. Not every case qualifies.