Need Settlement with IRS – Check How Can You Get One

Settling a tax debt with the IRS is possible through an Offer in Compromise process. An OIC allows you to pay a lump sum or a reduced amount that is less than the full amount owed to resolve your tax debt. To be eligible for an OIC, you must prove that you cannot pay the full amount owed and that the amount offered represents your best effort to pay the debt.

Here is a general process for settling a tax debt with the IRS:

·       Gather financial information:

You will need to provide the IRS with detailed financial information, including your income, expenses, and assets.

·       Determine your eligibility:

Based on your financial information, the IRS will determine if you are eligible for an OIC.

·       Submit an offer:

If you are eligible, you will need to submit an offer to the IRS that includes a proposed settlement amount and payment terms.

·       Wait for a decision:

The IRS will review your offer and either accept, reject, or counter it.

·       Negotiate:

If the offer is rejected or countered, you can negotiate with the IRS to reach a mutually acceptable settlement

It’s important to work with a tax professional who can help you prepare and submit a strong offer and negotiate with the IRS on your behalf. The process can be complex and time-consuming, and a professional or a tax settlement company can help increase your chances of a successful settlement.

How long does it take?

The amount of time it takes to settle a tax debt with the IRS through an Offer in Compromise (OIC) varies, but it can take several months to a year or more. The process can be time-consuming and may involve multiple rounds of negotiations with the IRS. The following factors can influence the length of time it takes to settle a tax debt:

·       Complexity of the case:

The more complex the case, the longer it may take to resolve.

·       Negotiations with the IRS:

If the IRS counters your offer, it may take additional time to negotiate a settlement.

·       Availability of financial information:

If the IRS needs additional financial information, the process may take longer.

·       Processing time:

The IRS has a backlog of OIC submissions, so processing time may be longer during periods of high demand.

It’s important to be patient and persistent during the OIC process. A tax professional can help you navigate the process and work with the IRS to reach a settlement as quickly as possible.

Comments are closed.