Offer in Compromise
The tax attorney at Columbus, Ohio-based law firm Porter Law Office, LLC assists taxpayers with resolving tax debts through the offer in compromise program. An approved offer allows you to settle your federal tax debt with the IRS for less than the full amount you owe.
Sometimes, we need a fresh start. An IRS offer in compromise provides such an opportunity. If paying your tax debt would cause you serious financial hardship, consider an offer in compromise. Columbus, Ohio tax attorney at Porter Law Office, LLC has in depth experience settling tax debts under the IRS’s offer in compromise program. Contact us today for a free consultation to discuss your options.
Grounds to Compromise a Tax Liability
An offer in compromise is defined as an agreement between a taxpayer and the IRS that settles a tax liability in exchange for payment of less than the full amount owed.
The IRS is authorized to compromise a tax liability on any one of three grounds: (i) doubt as to collectibility; (ii) doubt as to liability; or (iii) to promote effective tax administration. You must also be current on all tax filing and payment requirements with the IRS and you cannot currently be in bankruptcy proceedings.
The IRS has made the OIC program more accessible to a greater number of taxpayers through a series of fresh start initiatives. For more information, read the latest offer in compromise information from IRS. The IRS’s stated goal with this program is to achieve collection of what is potentially collectible at the earliest possible time and at the least cost to the government.
How Much Should I Offer?
The answer is simple: offer the “reasonable collection potential.” This amount reflects your ability to pay; it is not arbitrary. It amounts to the total that can be realized from your assets, plus your net future income. The reasonable collection potential is the offer.
The crux of any offer is a well-constructed reasonable collection potential. The IRS offer examiner will thoroughly review your financial situation including your net monthly income and the net realizable equity in your assets. Therefore, prior to filing an offer, we analyze how your current financial situation impacts your eligibility under the IRS’s offer in compromise program.
Porter Law Office, LLC has helped taxpayers achieve a fresh start under the IRS’s offer in compromise program. We understand the financial analysis model for reviewing offers. Our experienced tax attorney will work with you to thoroughly review your ability to pay to ensure that your application has the best chances of success possible.
Offer in Compromise Representation | Columbus Tax Lawyer
Contact an Experienced Ohio Tax Attorney
If you owe the IRS a tax debt, contact the experienced tax lawyer at Porter Law Office, LLC to discuss your eligibility under the IRS’s offer in compromise program. Some tax debt relief companies will make promises that are simply not true.
Columbus, Ohio tax attorney Matthew R. Porter, Esq. LL.M. understands that not everyone qualifies for an offer in compromise. By analyzing your reasonable collection potential, Mr. Porter will be able to determine your eligibility for an offer in compromise program.