IRS Tax Attorney Offer and Compromise

IRS Tax Attorney

Taxes are unique in that once you get behind, it can be hard to figure out how to catch up. An IRS tax attorney can find a method and an offer in compromise is one technique to use.

Offer and Compromise

The offer and compromise is a program offered by the Internal Revenue Service. The IRS used to be known as an absolute vicious agency. It had no problem spending thousands of man hours to hunt down a $1,000 tax bill. This complete lack of perspective was changed in the 1990s. The agency picked up a new chairman that was a former CEO of a number of companies. He retooled the IRS and changed the focus towards getting the most milk from the cow [us] with the least moo. The offer and compromise is one such technique that.

As any IRS tax attorney will tell you, the IRS now believes it is far better to have someone in the tax system and paying taxes. As a result, the agency is willing to compromise on what you owe in outstanding taxes in exchange for getting you back into a current tax paying status. This is done by filing an “offer for compromise” in which you admit you owe a certain amount, but request the figure be reduced since you can’t afford to pay it. The IRS then views the offer and submits the amount it is willing to compromise at. You can then either choose to do that or not.

An IRS tax attorney is definitely worth using on an offer and compromise. The offer needs to be tailored in a manner that is not only going to get the IRS to agree to a reduced amount, but agree to a very reduced amount. The tax attorney may even be able to come up with a strategy where the IRS just waives the full amount you owe on back taxes. Yes, it really happens is not some inflated claim in a marketing program. The IRS has done studies that show it will obtain far more in tax revenues if you are in the system than if the IRS spends time and money hunting you down.

Any IRS tax attorney can put together and file an offer and compromise for you. That being said, you don’t want to use any old attorney. Look for an attorney who does them regularly and who can quote chapter and verse on the procedure. Every IRS tax attorney will give you a free consultation on a potential offer and compromise case, so shop around till you find someone who is competent and you like as well.