IRS Hardship Status FAQs

Hardship Status FAQs

Hardship Status FAQs > Home

Hardship Status FAQs

What do I have to do to qualify for this program?

You must have a legitimate hardship. This is not an easy case to establish! Taxpayers often try it on their own only to find out they do not qualify. In order to determine if you qualify, you MUST disclose ALL your financial information (income, employment, banking, retirement and all assets) to the IRS. So now you understand, you can really make things worse if you DO NOT QUALIFY!

Do you owe the IRS and can’t pay, call Legacy Tax Resolution Services at 800-829-7483 to see if you qualify for Hardship Status.

How long has this program been around?

This program has always been around. It’s just not a program that the IRS will likely tell you about.

Do you owe the IRS and can’t pay, call Legacy Tax Resolution Services at 800-829-7483 to see if you qualify for Hardship Status.

How do I know if I qualify and when could I find out?

The IRS will determine if you have the ability to pay using the National Standards Program. This test is very similar to the means test for Chapter 7 Bankruptcy. If it can be determined that paying the IRS would create an extreme hardship, your case may be placed in a Non-Collectable Status.

IMPORTANT POINT: If you qualify for non-collectible status you may also qualify for Bankruptcy under Chapter 7. Should you qualify your IRS debt MAY BE dischargeable! A professional analysis by a Certified Tax Resolution Specialist will be needed to make the determination of dischargeability.

How long will my case stay in the Non-Collectable Status?

Your status will remain non-collectible for at least one year, most times for three years. It will likely be reviewed at 18 months and periodically thereafter. Depending on your tax returns, your case could stay there for the life of the statue.

What forms are necessary to complete the Hardship Test?

Form 433A or 433F Information Collection Statements are the IRS forms needed to complete this test. Supporting documentation will also be needed to support the information provided.

What other situations qualify for Hardship Status?

The taxpayer has a terminal illness or excessive medical bills;
The taxpayer is incarcerated;
The taxpayer’s only source of income is social security, welfare, or unemployment;
The taxpayer is unemployed with no source of income.

Each situation is truly unique and must qualify for hardship status based on ability to pay.

What will the IRS use to review my case?

IRS will require a 433 Information Collection Statement with corresponding documentation;
IRS will search and verify the value of your assets through DMV and County Courthouse records;
IRS will use the National Standards Test to your qualify expenses.

Get Some Help

If you don’t know how to address the issue(s), have unfiled return/unpaid balances or just done feel confident, let the experts at Legacy Tax & Resolution Services represent you. Work with our team of Certified Tax Resolution Specialists to resolve your issue(s) quickly. Best of all, you don’t have to talk to the IRS or State; we can speak on your behalf.

FOR A FREE CONSULTATION

Call 800-829-7483 or fill out the form below.

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