Once a taxpayer successfully submits an Offer in Compromise (OIC) application to the IRS, certain events occur as the IRS considers whether to accept the OIC. Offer in compromise applications typically require specific IRS forms and substantial paperwork to document...
IRS Offer in Compromise
APPLYING FOR AN OFFER-IN-COMPROMISE
The IRS will settle unpaid tax debt with taxpayers for less than the full amount owed through an agreement known as an Offer in Compromise (OIC). Thus, an offer in compromise may be a realistic option for taxpayers hoping to resolve a tax balance due. Taxpayers who...
ARE YOU ELIGIBLE FOR AN OFFER-IN-COMPROMISE?
The IRS provides payment alternatives for any taxpayer with delinquent taxes. The requirements of these programs can be complicated and may require the assistance of a qualified tax professional. The IRS suggests such assistance may be useful in helping...
3 THINGS TO KNOW BEFORE YOU SUBMIT AN OFFER IN COMPROMISE
Many taxpayers are interested in the Offer in Compromise (OIC) program because it provides tax debt forgiveness. However, many offers are rejected because the taxpayers don’t qualify, don’t complete their applications properly, or don’t submit the right offer...
THE TIMELINE FOR AN IRS OFFER IN COMPROMISE
Six to twelve months is a reasonable timeline for receiving a decision on your Offer in Compromise (OIC). However, some offers take longer to resolve, and the IRS has up to two years to give you a response. If you don’t receive a decision from the IRS within two...
WHO IS ELIGIBLE FOR AN OFFER IN COMPROMISE?
The IRS Offer in Compromise (OIC) program allows taxpayers to settle their debt for less than they owe, but the eligibility requirements are fairly strict. You must meet all of the following conditions just to be considered for an OIC. No Unfiled Tax Returns The IRS...
How to Handle an Offer in Compromise Rejection
It’s disappointing to get an Offer in Compromise (OIC) rejection letter after several months of waiting, but you still have options for resolving your tax debt. You can attempt to negotiate issues with the OIC examiner, take your case to IRS Appeals, or consider other...
How Long Does is Take to Process an Offer in Compromise?
Processing times vary, but you can expect the IRS to take at least six months to decide whether to accept or reject your Offer in Compromise (OIC). The process can take much longer if you have to dispute the examiner’s findings or appeal their decision. Threshold...
Offer in Compromise for Business Tax Debt
The IRS Offer in Compromise (OIC) program is available to business taxpayers, including currently operating businesses. You may be able to settle both personal and business tax debt with one OIC or two separate OICs, depending on the type of business you run. Business...
Offer in Compromise for Doubt as to Liability
An Offer in Compromise (OIC) for doubt as to liability is used when there is a legitimate dispute as to whether the taxpayer actually owes the tax. This type of OIC is not based on your financial situation or ability to pay off your tax debt in full. When There is...