December is supposed to be a month for holidays, family, and a little breathing room. Unfortunately, the IRS doesn’t operate on that schedule.

If you’ve been dealing with back taxes, unfiled returns, or scary IRS letters in 2025, the final month of the year is the moment to stabilize your situation before penalties restart, interest compounds, and collection actions reset in January.

Here’s a simple, actionable checklist to put yourself back in control before the New Year’s countdown begins.

1. Open Every IRS Letter (Yes, Every One)

Many taxpayers wait until January to deal with the mail stack. By then, deadlines have passed, appeal windows have closed, and penalties have kicked in.

Why this matters:

  • Some letters give you 30 days to respond.
  • Others warn of wage garnishment, bank levies, or liens.
  • Ignoring them removes options you still have today.

If you’re overwhelmed, Shapiro Tax Relief can review your notices and translate them into plain English.

2. Get a “Status Check” on Your IRS Account

Before the year ends, request your transcripts or let us retrieve them for you.

This gives you clarity on:

  • What you actually owe
  • What years are missing
  • Whether you’re in compliance
  • Whether the IRS is preparing enforcement

You don’t want surprises in January. The IRS becomes significantly more aggressive after the holiday slowdown.

3. File Any Missing Tax Returns

If you’re behind—even one year—your relief options shrink.

You must be in “current compliance” before the IRS will:

  • Approve a payment plan
  • Consider a settlement
  • Stop enforced collection
  • Lift certain penalties

Filing is the fastest way to regain leverage, even if you can’t pay yet.

4. Lock In a Payment Arrangement Before the Calendar Resets

If you owe and can’t pay in full, establishing a plan now prevents harsh action later. December is a prime time to:

  • Set up an affordable installment agreement
  • Request a temporary non-collectible status
  • Prepare for an Offer in Compromise
  • Freeze enforcement before it starts

The earlier you act, the more options you keep.

5. Collect All Income Documents Early

W-2s and 1099s for 2025 will arrive soon, but December is the time to make sure your records match what the IRS expects.

Getting organized now prevents filing delays and questions later—questions that can stall your relief process.

6. Avoid the January Penalty Spike

Interest and penalties compound monthly.

If you:

  • Miss a filing deadline
  • Don’t fix a missing return
  • Ignore a CP14 or CP501 notice

…the first weeks of January are when many taxpayers experience a sudden spike in IRS activity.

A quick December strategy session can prevent this.

7. Get Professional Help Before You’re in Crisis

IRS problems don’t solve themselves, and they don’t “go away in the new year.” If anything, they intensify.

Working with a tax relief professional in December gives you:

  • Faster transcript retrieval
  • Direct communication with the IRS on your behalf
  • Freeze or delay of enforced collection
  • Clear next steps based on your financial reality
  • Peace of mind going into 2026

Many clients tell us their biggest regret is waiting too long.

Finish 2025 With Clarity, Not Fear

You don’t have to head into 2026 carrying the weight of IRS stress. One conversation now can prevent months—or years—of financial pressure.

Book a free consultation with Shapiro Tax Relief before the ball drops.

Make 2026 the year you finally get your life back from the IRS.