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Back Taxes
Resolve IRS back taxes with the right path for your situation.
Back taxes do not stand still. Failure-to-file and failure-to-pay penalties, plus interest, grow the balance every month until the case is addressed. The good news: the IRS has structured resolution paths for almost every situation — installment agreements, Offer in Compromise, Currently Not Collectible, and penalty abatement. Picking the right one starts with knowing the actual balance and which returns are still missing.
- BBB-vetted partner firms
- $10K+ tax debt focus
- Free, no-obligation consultation
Trusted Tax Relief is a matching service, not a law firm or CPA firm, and is not affiliated with the IRS. Eligibility and outcomes depend on the facts of each case.
How back tax resolution actually works
Most back tax cases follow the same shape: confirm balance, get into filing compliance, then choose a resolution path that fits the numbers. The IRS will not approve most resolution requests (installment agreement, Offer in Compromise, hardship) until all required returns are filed — that's the single most overlooked step. After compliance, the choice between installment, Offer in Compromise, Currently Not Collectible, or penalty abatement depends on income, assets, required expenses, and the reason penalties were assessed. Skipping the compliance step or picking the wrong path usually means repeat IRS contact and reset paperwork.
- 01
Pull current IRS account transcripts and wage & income transcripts. Confirm the actual balance, penalties, and which years are still missing.
- 02
Bring filings current. The IRS generally requires the last 6 years filed before approving an installment agreement or Offer in Compromise.
- 03
Compare resolution paths — installment, partial-pay installment, Offer in Compromise, hardship (CNC), or first-time penalty abatement — against the numbers and timeline.
- 04
Submit the chosen path with documentation, set up direct debit where applicable, and stay current on future filings to keep the resolution in good standing.
What waiting actually costs
Back tax balances do not pause.
Unaddressed back taxes do not just sit — they compound and escalate.
Penalties stack monthlyFailure-to-file is 5% per month (up to 25%). Failure-to-pay is 0.5% per month. Both run together on unfiled, unpaid balances.
Interest compounds dailyIRS interest on unpaid balances compounds daily at the federal short-term rate plus 3%.
Substitute returns lock in worst caseIf returns stay unfiled long enough, the IRS files a Substitute for Return — no deductions, no credits, usually a much higher balance.
Collection actions escalateUnaddressed balances move from notice → CP504 → LT11 → wage levy, bank levy, refund offset, and passport restrictions.
What to have ready
- Most recent IRS notice or balance letter (or transcript)
- List of any unfiled or amended years
- Income, expenses, and brief asset summary
- Reason for any missed filings — supports first-time abatement
How TTR Works
How we match you with the right tax firm.
Trusted Tax Relief is a matchmaker, not a tax firm. We only refer to BBB-vetted partners that focus on resolving $10K+ federal and state tax debt. No call centers, no upsells, no IRS affiliation.
01 Free intake
Share the basics about the IRS or state tax situation. Takes about three minutes and there is no obligation.
02 Vetted match
We hand-match the case to a partner firm with relevant experience for the balance, notice type, and state.
03 Resolution plan
The firm reviews options (installment, hardship, OIC, abatement) and only moves forward if it makes sense for the taxpayer.
Common questions
What if returns are missing?
Filing or amending missing years is usually required before the IRS will approve an installment agreement or Offer in Compromise. A tax professional helps prioritize which years to file first based on the statute and IRS compliance rules.
Can interest and penalties be reduced?
Penalty abatement (first-time or reasonable cause) is sometimes available and can be significant. Interest is rarely waived. Eligibility depends on the reason penalties were assessed and the taxpayer's prior compliance history.
How long does back tax resolution take?
Simple installment agreements can finalize in weeks. Offer in Compromise review and complex multi-year cases typically run 6-12 months and require ongoing documentation. The first 30 days are usually about getting into compliance and pulling the right transcripts.
Will the IRS forgive back taxes?
Outright forgiveness is rare and usually requires either Offer in Compromise (settlement based on collectibility), hardship (Currently Not Collectible — collection paused but balance remains), or expiration of the 10-year collection statute. Most cases resolve through structured payment, not forgiveness.
How much does Trusted Tax Relief cost?
The initial consultation is free. If a partner firm takes on the case, the firm sets the fee based on complexity and balance. The taxpayer reviews and approves any fee before work begins.
How does Trusted Tax Relief make money if the consultation is free?
Partner firms pay TTR a referral fee for qualified, vetted matches. That fee is paid by the firm, not the taxpayer, and does not change the firm's quoted price.
How do I know this isn't a scam?
TTR only refers to BBB-vetted firms with a track record on $10K+ federal and state tax debt. We are not the IRS, we never ask for upfront payment to the IRS, and we never promise a specific settlement amount. If anything sounds too good to be true, walk away.
Will resolving IRS tax debt hurt my credit?
An installment agreement on its own does not appear on credit reports. A federal tax lien historically did, but the three major credit bureaus stopped reporting tax liens. Resolving the underlying debt is generally better for long-term credit than ignoring it.
Ready to resolve your back taxes?
Get matched with a vetted tax professional and review the right back tax resolution path before the IRS picks one for you.
Get My Free ConsultationTrusted Tax Relief is a matching service, not a law firm or CPA firm, and is not affiliated with the IRS or any state tax agency. We do not make settlement guarantees. Eligibility, timing, and outcomes depend on the facts of each case and the IRS rules in effect. Reductions in tax liability are not common and require formal IRS review of assets, income, and required expenses. Penalties and interest continue to accrue on unpaid balances unless and until the IRS issues relief.
