IRS DEBT SETTLEMENT- OFFER IN COMPROMISE

• Many people have heard that there is a way to settle your debt with the IRS for literal pennies on the dollar.
• This is the Offer in Compromise (OIC) program, and yes, it is possible to settle tax debt for a fraction of the original amount.
• An offer in compromise (referred to as an offer or OIC) is an agreement between a taxpayer and the Internal Revenue Service that settles a taxpayer’s tax liabilities for less than the full amount owed.

However, not all taxpayers qualify for an offer In Compromise. Whether you qualify or not will depend on your situation. Call us today to determine whether you qualify at:

• What most people do not realize is that the OIC program exists just as much to benefit the IRS as to help taxpayers. It is constantly changing, and the IRS accepts an OIC only under exceptional circumstances.
• This means getting your settlement accepted requires that you show the IRS that it’s good for them, too. The IRS will settle, but you must show them why they should, using their own rules.
• With this understanding and the assistance from our experienced tax debt settlement professionals, you may be able to achieve an OIC that dramatically minimizes your tax debt.

Offer in Compromise Options:

• With help from our knowledgeable IRS debt relief experts, you may be able to resolve your debt problem with the Internal Revenue Service by submitting an Offer in Compromise. These remedies vary and depend on the taxpayer’s circumstances and the IRS’s willingness to agree to the OIC.
• Within the OIC program, there are three types of settlements, which are:

Doubt as to Collectibility 

A doubt as to collectability offer, is when the taxpayer agrees that he/she owes the taxes but cannot pay the tax debt in full.

To be considered for a doubt as to collectability offer, individuals must make an appropriate offer based on what the IRS deems as their true ability to pay.

The IRS calculates the settlement by applying a formula that adds net assets to a multiple of income minus expenses.

You can depend on our team. We look at each case separately and determine.

We can assess whether the OIC (Offer in Compromise) is suitable for your circumstances. Provide you with an evaluation of the likelihood of acceptance by the IRS.

• Doubt as to Liability– A doubt as to liability Offer in Compromise (OIC) can be used to settle tax debt.
• when there is a legitimate dispute about whether the taxpayer owes the debt.
• If by the IRS accepted, a taxpayer may use a Doubt as to Liability.
• OIC to settle the tax debt for much less than owed, sometimes for pennies on the dollar.
• Efficient Tax Administration– the IRS can accept a compromise based on effective tax administration.
• The IRS may accept an offer based on effective tax administration.
• The IRS is certain that the taxpayer legally owes the tax and that they can collect the full amount owed.
• but requiring payment in full would either create an economic hardship or would be unfair because of exceptional circumstances. The calculation of the settlement takes into account special circumstances, such as severe financial hardship.