IRS launches online tool to help taxpayers manage tax debt
IRS launches online tool to help taxpayers manage tax debt

The US Internal Revenue Service (IRS) has released a new digital tool intended to help taxpayers understand and manage tax debts.

According to the IRS, the Tax Debt Help tool lets individuals and businesses easily review payment options and decide their next steps.

The launch is part of the agency’s wider push to expand online services and simplify how people comply with tax rules.

IRS CEO Frank Bisignano said: “This new Tax Debt Help tool reflects the agency’s commitment to making tax compliance clearer, more accessible and less intimidating for taxpayers.

“By guiding taxpayers through their options to pay with simple, interactive questions, we are helping them understand the paths available and take confident next steps.

“The deployment of this new tool shows the transformation under way at the IRS and the progress the agency has already made to deliver more user-friendly, digital-first services to taxpayers.”

The tool guides users through a series of questions about their financial situation and the nature of their tax debt.

Based on those answers, the tool points taxpayers towards possible resolution routes administered by the IRS.

These may include setting up payment plans, a temporary suspension of collection or considering an offer in compromise where eligibility rules are met.

By setting out these choices in a clear and ordered way, the tool is intended to help taxpayers decide how to tackle their liabilities.

The IRS says the service is designed for ease of use, does not require tax expertise and is available at any time.

To address privacy concerns, the tool does not ask for personally identifiable information.

Taxpayers can review options without entering details such as names, addresses or social security numbers.