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To qualify for an OIC, you must meet these requirements: All required tax returns must be filed. You must be current on estimated tax payments for the year you apply. Youve received a bill for the tax debts you want to include in the OIC. You cannot be in active bankruptcy proceedings.
IRS contact information If you have questions regarding qualifications for an offer in compromise, please call our toll-free number at 1-800-829-1040. You can get forms and publications by calling 1-800-TAX-FORM (1-800-829-3676), by visiting your local IRS office, or at .irs.gov.
The complete offer investigation can take up to 24 months, depending on inventory levels and case complexity. After we receive your Form 656 and supporting documentation with the required initial payment and application fee or low-income waiver, we will review it to ensure it can be processed.
First, the IRS can accept a compromise if there is doubt as to liability. A compromise meets this criterion only when theres a genuine dispute as to the existence or amount of the correct tax debt under the law. Second, the IRS can accept a compromise if there is doubt that the amount owed is fully collectible.
The Offer in Compromise (OIC) program is for taxpayers that do not have the income, assets, or means to pay their tax liabilities in full, and who will not have the resources to pay their liabilities in the foreseeable future.
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People also ask

In general, the OIC process takes between seven and 12 months to complete. During that period of time, taxpayers are sending payments every month to the IRS. The department will usually decide whether to accept or decline your offer amount within six months of receiving the application.
You can use your Online Account to make offer in compromise (OIC) payments or check if youre eligible to submit an OIC. Well review your OIC and decide if you qualify. An offer in compromise allows you to settle your tax debt for less than the full amount you owe.
Offers in Compromise (OIC) Filling out Form 433-A (technically, its a Form 433-A (OIC)) and providing accurate information about your finances can help verify whether this type of relief suits you. All required returns and any estimated payments made when applicable to qualify must have been filed prior.

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