What You Need to Know About an Offer in Compromise

Posted by Michael Raichelson | Apr 03, 2018 | 0 Comments

When you are faced with tax controversy or tax debt, you may not know where to turn for relief. Fortunately, there are many options available to you when you cannot afford to pay the IRS. One of these options is called an offer in compromise (OIC). Raichelson Law, P.C. is going to review what you need to know about an OIC and choosing the right team for your debt relief concerns.

What is an Offer in Compromise?

The IRS explains, “An offer in compromise (OIC) is an agreement between a taxpayer and the Internal Revenue Service that settles a taxpayer's tax liabilities for less than the full amount owed.” This is a program designed to help people who are unable to afford their taxes. Though thousands of people apply, not all qualify for the program. The IRS notes that if taxpayers are able to pay for the entire amount through installments or other methods then it is highly likely that they will not qualify for an OIC.

What do I need to qualify for an OIC?

There is a lot of paperwork required to qualify and apply for an OIC. Be sure to set aside plenty of time to gather documents and fill them out. The IRS also lists the requirements to qualify:

  • File all tax returns
  • Estimate tax payments for current year
  • Make all federal tax deposits for the current quarter if you are a business owner

There are plenty of resources online to help you determine what paperwork you need to fill out, what you need to begin the process, payment information, and other materials to guide you through the process.

Should I work with a tax professional?

There are ways to make this process easier by working with tax attorneys or professionals to resolve your tax debt. They handle the process for you to make filling out paperwork and ensuring you have all the proper documents easier than doing it on your own. Their expertise can also prove tremendous value depending on the firm. Do your research before choosing a tax attorney or professional to assist you with an offer in compromise.

You want to work with a professional that will look out for your best interests. You can easily hire someone who does their job, but it is the added care for their clients that Raichelson Law, P.C. adds to the process. For the best results, you should always consult with a professional.

What does Raichelson Law, P.C. offer?

Raichelson Law, P.C. offers over 20 years of experience and care for their clients. We understand the hardships of tax controversy and debt, which is why we have made it our mission to offer solutions that work for you. It is our mission to help individuals and businesses to manage their debt and find solutions that will give them the fresh start they deserve. It is through our hard work, experience, and personal approach that we create value for our clients.

Let us take the burden off your shoulders and guide you through the offer in compromise process. Contact Raichelson Law, P.C. today for a free consultation to learn more about how our attorneys can help you.

About the Author

Michael Raichelson

VENTURA & OXNARD BANKRUPTCY ATTORNEY & DEBT SOLUTIONS LAWYER SERVING VENTURA AND LOS ANGELES COUNTY Michael H. Raichelson has over 23 years of experience helping individuals and businesses throughout California and the United States manage their debt problems and find solutions that give them a ...


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The Law Offices of Michael H. Raichelson is located in Calabasas, California, and serves clients in and around Woodland Hills, Wilmington, Harbor City, Carson, Torrance, San Pedro, Long Beach, Compton, Ventura, Gardena, and Los Angeles County.