Offer in Compromise: This program authorizes the IRS to settle liabilities for less than the full amount owed. In order to qualify for the Offer in Compromise program your business must be no longer operation and inactive. In rare circumstances, the IRS will accept an Offer in Compromise if the taxpayer no longer has an association or controlling interest in entity that incurred the liability. Further restrictions to the program apply such as having not enough current saleable assets or a future earning potential to settle the liability and not being able to pay more than the accumulating interest on an annual basis. Furthermore, the program will only apply to liabilities that are not in dispute and not the result of fraudulent activity. Because of these restrictions, Offer in Compromises are screened heavily and very few are accepted. An IRS Offer in Compromise consists of a two step process, which includes filing an application along with a detailed financial statement. Although the application forms are fairly straight forward, Offer in Compromises are based on a strict formula that the IRS Offer Specialists follow. During your client consultations with our staff, using the same formula as the IRS, we perform a pre-analysis of your financial information and other factors that could affect your offer. Unlike some firms, our office policy is not to submit offers unless they have a reasonable chance of acceptance by the IRS. Assets or personal living expenses, no matter …

Related Blogs

• Free California Health Insurance Quotes & Client Services
• Debt Free League Claims Offer in Compromise Tax Settlement Provides Tax Relief for Delinquent Filers « Business & Finance News and Press Releases
• The Call-manager Of Internet Shop | Mike's Blog Marketing Tips