How to Prove Hardship to the IRS
Owing the Internal Revenue Service (IRS) brings a lot of stress and worry to taxpayers, especially when making payments causes a financial hardship. If you have trouble making scheduled payments to the IRS, you may qualify for a temporary or permanent hardship program. To receive relief, you must document your hardship to the IRS. An IRS financial form and proof of your income and expenses are required.
Other People Are Reading
Instructions
-
-
1
Prepare IRS Form 433-A, Collection Information Statement for Individuals. The IRS uses information you provide on this form to measure your hardship.
-
2
Look at the IRS collection standards for your household size and area of residence. The IRS has standard allowances for housing, utilities, transportation, food and miscellaneous expenses. You must document monthly expenses for these categories that exceed IRS allowances.
-
-
3
Gather documents to prove your income and expenses. Examples are three months of recent pay stubs and bank statements for all accounts, mortgage statements and documentation of miscellaneous expenses, such as student loan payments. Provide documents supporting any court-ordered payments, plus proof of payments.
-
4
Call the IRS at 800-829-1040 and ask to speak with the collection division. A collections agent will take your financial information and provide an address where you are to send your documents. You may also contact your local taxpayer advocate to discuss your hardship. The taxpayer advocate office assists taxpayers with the resolution of balance due accounts, hardships and discrepancies at no charge. In some cases, the taxpayer advocate may be able to provide fast relief.
-
1
