IRS Updates Allowable Living Expense Standards for 2023

The IRS has updated the Allowable Living Expense (ALE) Standards, effective April 24, 2023.The ALE standards reduce subjectivity when determining what a taxpayer may claim as basic living expenses to avoid undue hardship when the taxpayer must delay full payment of a delinquent tax.The standard allowances provide consistency and fairness in collection determinations by incorporating average expenditures for necessities for citizens in similar geographic areas.