What is the Offer in Compromise program?

To qualify for the Offer in Compromise program, a taxpayer must meet certain eligibility requirements, including having filed all tax returns, made all required estimated tax payments, and made all required federal tax deposits for the current year. Additionally, the taxpayer must not be in an open bankruptcy proceeding. The IRS will also consider the taxpayer's income, expenses, assets, and ability to pay when determining eligibility for the program. It is recommended to seek the help of a tax professional to determine if the Offer in Compromise program is the best option for your specific tax situation.

The Offer in Compromise (OIC) program is a program offered by the Internal Revenue Service (IRS) in which taxpayers can settle their tax debt for less than the full amount owed. This program allows taxpayers who are unable to pay their tax debt in full to negotiate a settlement with the IRS. The OIC program can provide relief from a significant portion of tax debt, penalties, and interest.

How do you qualify?