IRS Offer In Compromise
IRS Offer In Compromise
Did you know that you can settle your debt with the IRS for just pennies on the dollar with their Offer in Compromise program? The program allows taxpayers to settle with the IRS on tax debt that has been incorrectly assessed or for liabilities they cannot afford to pay. Often it is possible to fully and completely eliminate the taxes you owe - including all penalties and interest - at an enormous discount. There is no preset bottom limit that the IRS will accept to settle your debt especially if your offer is done "right."
The IRS Code states: "We will accept an Offer in Compromise when it is unlikely that we can collect the full amount owed and the amount you offer reasonably reflects the collection potential..." (Internal Revenue Code section 7122).
The IRS Offer in Compromise was created for taxpayers that cannot afford to pay their taxes, even with an Installment Agreement, and for those who simply do not have sufficient asset value to satisfy the tax debt. This program is very complex and time consuming, sometimes taking as little as six months and as long as up to two years. The IRS will want to know everything about your past, current and future financial situation before accepting or denying your Offer in Compromise. Not everyone qualifies for an IRS Offer in Compromise, as every taxpayer's financial situation is different.
However, it is important to note that the IRS Offer in Compromise program may not be the right option for you nor the most effective approach to your tax problem. While the IRS Offer in Compromise is promoted by many cookie cutter tax resolution companies, the truth of the matter is that we may be able to resolve your tax problems by implementing other strategies and using other IRS tax relief programs.
Our CPA Firm wants to know how you wound up with the tax debt you currently have and is this tax debt even correct to begin with! Even before considering the IRS Offer in Compromise, we may have to submit tax returns or amend prior tax returns that may reduce your tax debt and even get you a tax refund. We also work on abating or minimizing IRS tax penalties that have accumulated overtime on your tax debt. Only after we have worked on reducing or eliminating your back taxes owed and considered other favorable IRS tax repayment plans, do we begin working on an IRS Offer in Compromise if we believe you qualify. Seldom is it as simple as filing an IRS Offer in Compromise and walking away. The process is complicated, difficult and lengthy. Many offers are indeed denied, but some are overturned or accepted in the IRS appeals process if done correctly.
In a nutshell, an IRS Offer in Compromise is an excellent way to resolve all your tax debt and get a fresh start with the IRS. Our CPA Firm never advises any taxpayer to deal with the IRS themselves. We have the experience to successfully prepare, submit and settle your tax debt under the IRS Offer in Compromise Program for those that qualify. If done correctly your debt may be settled for only 5-15% of what you presently owe. The key is to determine the least amount that the IRS will accept before making the offer.
Our goal at Gonzalez & Company, CPA, PA is to resolve your tax problems and get you back on track with your life.
We can help you with any IRS Tax Problems, including:
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