--- title: Ways to Get Help With IRS and State Tax Debt | TaxTruce url: https://taxtruce.com/coverage updated: 2026-10-29 --- # Ways to fix IRS debt 12 real options. Find the one that fits. ## All 12 ways to get help [Can't pay in full ### Offer in compromise Ask the IRS to take less than you owe. Hard to get. See offer in compromise](/coverage/offer-in-compromise)[Can pay over time ### Payment plan Pay what you owe a little each month. See payment plan](/coverage/installment-agreement)[Can't pay at all ### Not collectible The IRS pauses collection while money is too tight. See not collectible](/coverage/currently-not-collectible)[Hit with penalties ### Penalty relief Ask the IRS to remove late filing or late payment penalties. See penalty relief](/coverage/penalty-abatement)[Joint filers ### Innocent spouse Relief from tax your spouse caused on a joint return. See innocent spouse](/coverage/innocent-spouse-relief)[Bank or pay seized ### Levy release Stop a levy on your bank account or other property. See levy release](/coverage/levy-release)[Lien on property ### Lien help Get a tax lien released, withdrawn or moved off a home sale. See lien help](/coverage/lien-withdrawal)[Paycheck garnished ### Wage garnishment The IRS takes part of every paycheck until you act. See wage garnishment](/coverage/wage-garnishment-release)[Haven't filed ### Unfiled returns Catch up on old returns before the IRS files for you. See unfiled returns](/coverage/unfiled-tax-returns)[Got an audit letter ### Audit help Know what an audit is, what to send and your rights. See audit help](/coverage/audit-help)[Business owners ### Payroll tax debt Unpaid payroll taxes can become your personal debt. See payroll tax debt](/coverage/payroll-tax-help)[Owe your state ### State tax debt State tax debt has its own rules, deals and clocks. See state tax debt](/coverage/state-tax-help) Results depend on your situation. Not every case qualifies. Quick compare ## 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](/coverage/offer-in-compromise) 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](/coverage/installment-agreement) 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](/coverage/currently-not-collectible) 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](/coverage/penalty-abatement) 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](/coverage/innocent-spouse-relief) 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](/coverage/levy-release) 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](/coverage/lien-withdrawal) 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](/coverage/wage-garnishment-release) 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](/coverage/unfiled-tax-returns) 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](/coverage/audit-help) 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](/coverage/payroll-tax-help) 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](/coverage/state-tax-help) ## 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.