OFFERS-IN-COMPROMISE (OIC)

Offers-In-Compromise are agreements between a taxpayer and the Internal Revenue Service that settle the taxpayers’ tax liabilities for less than the full amount owed. The IRS looks to doubt as to collectability, doubt as to liability, and exceptional circumstances as causes to consider that the collection of the tax would create an economic hardship or would be unfair and inequitable. Results vary between lowering the amount due to allowing payment over a certain time period.

Our tax attorneys are helping clients benefit from a new IRS policy – the 2011 Streamlined Offer in Compromise Program.

The expanded Streamlined Offer in Compromise program includes:

•    Fewer requests for additional financial information 
•    When necessary, requests for additional information by phone, not by mail 
•    Greater flexibility when considering your ability to pay     

Qualifying taxpayers are:
•    Wage earners 
•    The unemployed 
•    Self-Employed taxpayers with no employees and gross receipts under $500,000     

Eligibility requirements are:
•    Your total household income is $100,000 or less, and 
•    The amount you owe is less than $50,000 when your offer is filed