What is an Offer In Compromise?
An offer in compromise allows you to settle your tax debt for less than the full amount you owe. It may be a legitimate option if you can’t pay your full tax liability, or doing so creates a financial hardship. We can council you about the options for your unique set of circumstances
What is an Installment Agreement?
If you’re financially unable to pay your tax debt all at one time, you can make monthly payments through an installment agreement. This can help to reduce or eliminate your payment of penalties and interest.
We DO NOT Recommend.
Many times without representation we find taxpayers are committing to a larger payment than they can financially afford. In our experience if you owe over $10,000 we do not recommend you attempt to set this or any other arrangements on your own.
What Can be Done?
A monthly payment plan can be set up to pay back the taxpayer’s tax liability. The IRS has guidelines as to what amount they will accept and the time frame they will accept it in. A financial statement is required from the taxpayer before our firm can negotiate an installment agreement. If the debt is under $50,000, we offer a stream-lined agreement.
An Offer in Compromise is another option that can lower the total tax liability owed by the taxpayer due to financial constraints. This is a very popular solution advertised by most firms, but not available if the taxpayer has the ability to pay the debt.
Our firm has the knowledge and experience needed to know what the IRS will accept in each situation. Our skilled team can negotiate on your behalf and help obtain an agreement that is reasonable for you.