Do you feel like you’re drowning in tax debt with no way to get ahead? The Law Office of David J. Harris can help you wipe your tax slate clean for a fresh start with the IRS. We work with taxpayers who owe money to the IRS so they can get themselves back on track financially.

Offers-in-compromise are one way to help alleviate the stress of your overdue taxes. This program provides a positive solution for individuals looking to settle their debt and move forward. With over 35 years of experience, David J. Harris will work with you to find the best and most manageable outcome for your situation.

What is an Offer-in-Compromise?

An offer-in-compromise is an agreement that will allow you to settle your tax debt for less than what you owe. It’s a very common way to resolve larger tax debts, especially if you’re experiencing financial hardship or resolving a currently not collectible account.

An offer-in-compromise is intended to benefit both the IRS and the taxpayer. Not only does it offer you a chance to get rid of your debt, it ultimately ensures the IRS receives its money. When an application is submitted, the IRS will determine whether your current circumstances deem you incapable of paying back your taxes. This determination comes from your current income, expenses, assets, and future earning potential.

An experienced tax attorney can help you navigate the process of filling out your application to ensure that all of your financial information is represented accurately. 

Offer-in-Compromise Eligibility and Exclusions

Before your application can be considered, you want to ensure you check all the boxes for eligibility. To start, all previous tax returns should be filed. Make sure you include a copy of any tax return you’ve filed. If you have the income to pay off your full amount, you may not qualify for approval. However, there are other options we can look at to help alleviate the stress of paying back what you owe.

If you have any on-going bankruptcy proceedings, the IRS will not consider your application. You also want to ensure you don’t have any open audits or spousal claims, as your application will not be considered until they are resolved. They will also reject your application if you are eligible for a full or partial installment payment plan, or if you have equity in assets.

OIC Payment & Application Process

Along with your application, you will need to send a $186 application fee if you do not fall into the low-income certification guidelines. Next, you’ll select how you’ll pay your offer. This can be done through a lump sum cash payment or periodic payments.

You also need to gather and fill out the following forms:

  • Form 656: Offer-in-Compromise Form
  • Form 433-A: Collection Information Statement for Wage Earners and Self-Employed Individuals
  • Form 433-B: Collection Information Statement for Business

Attach any supporting documents necessary to get the most favorable outcome. If you’re unsure of everything you need, the Law Office of David J. Harris will help you organize all of your financial information for your offer-in-compromise application.

Get The Relief You Deserve

If you’re ready to wake up from the nightmare of the IRS knocking at your door, an experienced tax attorney can help you take control over your financial future. Contact David J. Harris today to learn about all of your options to resolve your tax debt. We can help you find the right solution for your individual situation, so do not hesitate to call.