The offer in compromise process is outlined by the IRS and allows taxpayers to settle their tax debt for less than the full amount owed, based on their ability to pay, income, expenses, and asset equity. The eligibility criteria for applying for an offer in compromise, such as filing all required tax returns, making estimated payments, and meeting certain financial conditions, are important factors to consider.
The payment options include lump sum cash payments or periodic payments, providing flexibility for taxpayers to fulfill their obligations. Additionally, it is worth noting that low-income certification guidelines can exempt individuals from certain fees and payments while the IRS reviews their offer.
If an offer is rejected, taxpayers have the right to appeal the decision within a specific timeframe using the designated form, Form 13711, and seek assistance from the IRS Independent Office of Appeals. It is also important to remember that tax matters can be complex, and seeking the guidance of a qualified tax professional or attorney, such as Anderson Bradshaw, can be beneficial in navigating the offer in compromise process and other tax-related issues.
Our firm can provide personalized advice based on your specific circumstances and help you work towards achieving the desired outcome.