We are former IRS Agents, Managers and Instructors, having worked countless Offers in Compromise, Offers in Settlements, and Doubt as to Liability cases.
Listed are the major reasons why Offers do not get accepted.
Offers that do not meet this criteria will not be accepted
1. Make sure that all your tax returns are filed and up to date. If not, the IRS will not accept the Offer in Compromise.
2. In the year you are filing the Offer in Compromise, all your estimated tax payments or withholding tax must be up to date.
3. If you are going to owe tax the year you are filing the Offer in Compromise, do not file. Wait until the start of the next tax year and file the Offer. This way, you can include the current year with the Offer in Compromise.
4. Pull a transcript from the IRS to make sure all of your tax years are included in the Offer in Compromise. Should you fail to include any years you owe tax, the IRS will not accept your Offer.
5. Make sure your Form 433-A, financial statement, is complete on every line. The IRS will reject any Offer even if one line item is missing.
6. Provide all required financial documents to the IRS when filing the Offer in Compromise. The IRS will only accept Offers that are completely documented.
7. Make sure you understand the IRS’s objective before you file the Offer in Compromise to ensure you have requested the lowest possible settlement. Remember, the IRS is only interested in two main items, your total equity and your available income. They are not concerned about your debt.
8. Follow the Offer. The IRS will send you a series of letters telling you of it’s status. Once it reaches the Offer group, call the IRS agent working your case to get the quickest possible results.
9. Understand that the IRS will make several attempts to verify your Form 433-A, financial statement, by research. They will check the Internet, credit reports, the DMV and prior tax returns to confirm the information you provided is accurate. The IRS will conduct a thorough investigation.
10. If you choose to hire a professional company, make sure you deal directly with the individual working your case.
Fresh Start Tax is comprised of Former IRS Agents, Managers and Instructors. The staff also includes CPA’s, tax attorneys and former Managers with the Department of Revenue. Our company are experts in the field of tax and tax resolution.
We are licensed to practice in all 50 States. We are fast, affordable and put a premium on communication with our client.
Our firm has the highest rating given out by the Better Business Bureau. We have a combined 140 years Federal and State experience.
Offers in Compromise – How To Get Them Accepted, Former IRS Revenue Officer, Teaching Instructor
