Settle Your Business Tax Debt for Less: Offer in Compromise
The IRS may accept less than you owe when you can't pay in full. We navigate the complex OIC process.
Critical Deadline
Consider before collection statute expires; takes 6-24 months to process
Note: Strategy Sessions require a $250 analysis fee, applied 100% toward your final service.
Understanding Offer in Compromise
An Offer in Compromise (OIC) allows you to settle your tax debt for less than the full amount owed. The IRS accepts OICs when collecting the full amount would create economic hardship, or when there's doubt about the liability or collectability. For businesses, this can resolve years of accumulated tax debt, penalties, and interest at a fraction of the total. However, OICs require detailed financial disclosure and most applications are rejected—proper preparation is essential.
IRS Authority: IRC § 7122, IRM 5.8
What Happens If You Don't Act
How The Tax Pro Advisor Resolves This
Helping Austin and Leander business owners resolve offer in compromise issues with proven strategies and direct IRS representation.
IRS Forms & Documents We Prepare
Frequently Asked Questions
What is an Offer in Compromise?
An Offer in Compromise is an agreement with the IRS that allows you to settle your tax debt for less than you owe. It's available when paying in full would cause financial hardship or there's doubt about the amount owed.
How long do I have to apply for an Offer in Compromise?
There's no deadline, but you should apply before the 10-year collection statute expires. The OIC process typically takes 6-24 months, so earlier is better. Collections generally pause during processing.
Can I settle this for less than I owe?
Yes—that's the entire purpose of an OIC. Settlements can be as low as pennies on the dollar in hardship cases. We calculate the minimum amount the IRS is likely to accept based on your financial situation.
Related IRS Issues
Don't Wait Until It's Too Late
The longer you wait, the fewer options you have. Get a free, confidential consultation to understand your situation and next steps.
Note: Strategy Sessions require a $250 analysis fee, applied 100% toward your final service.