After my divorce the wife and I still owed taxes from earlier years…that one debt is still keeping us connected in a way that I do not like.

I see these ads on the radio about some type of IRS Start Fresh program…anyone with any experience in these? Do they actually work to eliminate/reduce some of the interest and/or penalties?

Why not talk to them first?

You can do anything those outfits can do yourself. If you can't pay the debts and keep up with your current taxes, put together some offer packets for the delinquent tax periods. Or, try to get into an installment agreement you can afford. The collections statute is running on those tax periods, so eventually your wife and you will be getting contacted.

https://www.irs.gov/payments/offer-in-compromise

I am super skeptical of most of the heavily marketed tax debt agencies that do cold calling/radio ads, and beware of any of them claiming pennies on the dollar.

Those types of things are typically the "too good to be true" variety.

I would look to other ways to get it done. If it is a toxic situation you are going to have to get the new one to buy in. Even if it disrupts plans with number 2 in the short run. Best of luck.

Bottom line is that those outfits are in business to make money. Apply the Dilbert principle...which is more likely?
1) they are looking to recoup their expenses plus a profit from the Federal Govt., or
2) they are looking to do so from their "clients?"

I suspect their business model is to negotiate a settlement with the IRS, then make the taxpayer a loan for that amount (or more) at an interest rate that is favorable to the business. The taxpayer ends up paying out more than the original IRS obligation. They are really in the loan origination business, not "tax relief."

scam. If you are having tax problems speak with an accountant that does taxes.

Yes, go direct and see if it works for you.

It depends on your particular situation. How much you owe, how much you make, how old you are, do you own your home (including if you pay a mortgage), do you have children, etc. And no I don't want answers to those, just saying there is no one-size-fits-all answer imho.

My wife had a bad experience with the program using her CPA for advice (someone who does taxes but is NOT a lawyer). This is a legal issue not an issue of calculating how much the IRS can snatch from you. So, it may well be worth consulting with an experienced attorney. I would suggest using someone local, not one of the nationally advertising outfits.

It could well be that an attorney greases the skids. When the IRS sees an attorney is involved, and the wording on the documents is precisely what they want, and they've approved cases this attorney has worked before, it could be to your advantage.

We eventually did consult with an attorney which cost a couple hundred dollars, but it was too late. Again, this is a legal thing not a math thing, so once you pass each step you can't really go back to start over.

The short version is my wife's first husband passed away, and she incurred taxes and penalties for cashing out the retirement account, which she needed to do for living expenses. She was unofficially retired, so no paycheck at that time.

We met a couple of years later. She had gone back to work to pay her bills. Then we married. I was still working.

The IRS just wants their $$. Even though my wife's case was well within their published guidelines, they decided not to give any relief because by then she was earning a paycheck, married to me earning a paycheck, and we owned a home. As the lawyer whom we consulted with said, "you're expecting someone working for the IRS on a government paycheck who lives in (a working class city) to have sympathy for you living in (a nice mountain resort town)".

Getting remarried was a mistake for her tax situation. Her going back to work was a mistake. Us owning a home (with a significant mortgage) was a mistake.

There may be specific ways you can either eliminate the tax issue or separate it so that you no longer have to deal with your ex. The lawyer would be the one to advise you.

It probably doesn't need to be said. But not just any attorney. Get a tax attorney who specializes in individual taxes, not corporate.

In the long run, it is way cheaper to hire an expert and get it done rather than do it yourself.

I speak from experience with dealing with Government on a regular basis.

A point I should have included earlier is that, if you do choose to hire an attorney or EA to represent you, you can save money and time by completing form 433a and possibly 433b (if a business debt is at issue) in advance and tracking down supporting documentation. Attorneys who do IRS debt collection defense work typically charge 3-500 each for those forms, plus time for reviewing your supporting documentation. There are instructions available online and those forms are straightforward.

You'll need to complete at least a 433a in almost every case when working with an attorney to address an IRS debt, unless there is some sort of error or mistake.