An Offer in Compromise allows a taxpayer to settle a tax debt with the IRS or State Tax Agency for less than the full amount owed. It is an excellent tax settlement option for a qualifying taxpayer because it allows for the resolution of all outstanding tax balances at once, including penalties and interest, back tax liabilities and multiple tax years. An additional benefit of filing an Offer in Compromise petition is that other collection activities are generally suspended while the application is under review.
That being said, the process of filing an Offer in Compromise can be long and complicated and the qualification criteria are very specific. The CPAs and tax professionals at BCH Consulting, Inc. have extensive experience with the Offer in Compromise settlement option and will only recommend it if they believe it is the best resolution option available and that the offer will be accepted. Once that determination has been made, the tax specialists at BCH Consulting, Inc. prepare the offer and submit all of the required documentation. Following that, we represent the client before the IRS or State Tax Agency until the application is accepted and the process is complete.