IRS is a real pain in the butt because it continually asks for documents over and over again. It is almost like they want to wear you out. IRS loves paper and documentation and they
ask for their ?paperwork? over and over again.
If you have ever tried to buy a car or home, then you know what it’s like to supply the bank, credit union, or lending institution with all of your personal documents. A financial institution is not going to loan you the thousands of dollars you need for a mortgage without  completely verifying that your income, and that the bills are what you say they are, and your assets are worth what they appear to be on paper. Just like a bank, the IRS is not going to accept an Offer in Compromise (OIC) without some documentation. They want you to you to prove your income is what you say it is, your expenses are what you say they are and your assets are worth what they appear to be worth based on a Quick Sale Value asset. All Offers in compromise are open to public inspection at local offices and IRS must make sure they get it right.
The documents you need to buy a house or get a loan is the same documentation you need to negotiate an acceptable OIC are very similar in nature. The main difference between the two is that you only have to provide the documentation ONE TIME to your mortgage broker. The IRS requires that you provide this documentation and make sure it is updated when the IRS starts and closes the case. Sometimes and cases are worked by different IRS employees and they all look at the case differently. Unfortunately, this is an IRS requirement and it is important to provide the documents. It is just as frustrating for FRESH START TAX as it is for you, to keep up with supporting documents that are required BY THE INTERNAL REVENUE SERVICE.
DOCUMENTS REQUIRED FOR THE INTERNAL REVENUE SERVICE ON FINANCIAL STATEMENTS
? Proof of gross earnings and deductions from each employer or payor.
? Proof of pension, social security, child support, rental, or other income
? Bank Statements for all accounts, showing all account and routing numbers
? Documents proving the current value of, loan amount, and monthly contribution toward all investment accounts
? Statement from life insurance company showing the type, cash value, loan amount (if any), and monthly contribution amount.
? Description of each vehicle owned.
? Description of each piece of property owned.
? Brief description and estimated value of significant household assets.
? Proof of ALL household expenses.
? A brief statement regarding: (1) how you incurred your tax debt; (2) your education, overall health, and work experience; (3) an explanation as to where you will obtain the funds necessary to resolve your tax debt.
? List of all credit accounts, showing credit limit, amount owed, and monthly payment(s)
? Copy of most recent tax return including all schedules and supporting documents
? Other documents as requested by the IRS
.FOR A COMPLETE LIST OF ALL DOCUMENTS, CHECK OUR WEBSITE.