Preparing an IRS Offer in CompromiseAtlanta CPA Advises on Offer of Compromise, Back Taxes and IRS Problem Resolution

An Offer in Compromise to the IRS and/or the state of Georgia is a proposal on your part to pay only a portion of the back income taxes you owe. If the offer is accepted, the remainder of the tax debt will be forgiven. For individuals or corporations with significant tax problems, an IRS offer in compromise can eliminate tax obligations much the same way as filing bankruptcy can eliminate personal or corporate debt.

The IRS has specific rules that must be followed when submitting an offer in compromise, including:

  • All tax returns and forms from prior and current years must be submitted
  • You must be paid up on all current year tax obligations, including estimated tax payments
  • The amount you propose to pay must be reasonable, based on your net worth and estimated cash flows for the next several years
  • If the IRS accepts your offer in compromise, you will be required to stay current on all personal and corporate tax obligations for the next five years.

Preparing the Offer in Compromise

We can help you prepare and file your offer. As CPAs, we are licensed to work with the IRS, and have the knowledge and experience to assist you. First, we will examine your tax problem, and make sure that all tax forms have been correctly filed. We will examine your current financial situation, and determine a reasonable amount to offer the IRS and the state of Georgia, based on your assets and liabilities.

We will help you prepare and submit any required paperwork requested by the IRS as a condition of your offer. Finally, we will represent you before the IRS, and negotiate the amount that must be paid, which will typically be somewhere between what the IRS says you owe, and what you offer to pay.

Therefore do not worry about tomorrow, for tomorrow will worry about itself. Each day has enough trouble of its own.

Matthew 6:34


In the event that you owe much more than you can pay, our one-stop filing and representation services will be invaluable as you strive to climb out from under what appears to be a mountain of debt. We have successfully assisted many in navigating through the complexity of tax laws surrounding Offers in Compromise and would welcome your call now.

During the time at which you have open and past due taxes the IRS has many tools at its disposal to enforce collection efforts including: 

  • Tax Garnishment
  • Tax Assessments
  • Trust Fund Penalties & the 100% Penalty
  • Statute of Limitations & Their Waiver

Our keep it simple style in dealing with technically difficult and sensitive issues are embodied in our ability to keep you well informed of the progress on your account as it works its way through the tax system. An Offer in Compromise can help you address during the IRS Representation/Tax Advocacy process from:

  • Back Taxes/Returns for Personal & Business Income Taxes
  • IRS Tax Issues/Tax Problems
  • IRS Tax Penalties & Interest
  • IRS Tax Levies
  • Delinquent Returns
  • Late Payment/Filing of Payroll Tax Returns
  • Wage Levies

During the process of submitting and process of an Offer in Compromise a CPA can help you with:

  • IRS Appeals
  • Collection Appeal
  • IRS Installment Plans
  • Tax Advocacy
  • Tax Mitigation/Elimination

At His CPA PC, we work to make the complex simple while addressing open tax monies to maximize the return on your efforts. Frequently when submitting an Offer in Compromise it allow us to evaluate many items in determining that only your lowest legal possible tax is reflected.

  • Amending Tax Returns
  • Filing of Past Returns
  • Evaluating & Determining Tax Elections
  • Determination/Review of Past & Current Filing Status
  • Review of Past Filed Returns & Their Potential Amendment

When processing your Offer in Compromise care should be taken at each step to ensure:

  • Tax Compliance
  • Tax Filings are Current
  • Tax Payments are Current
  • An Offer in Compromise is the best option
  • Offer in Compromise Submission
  • Negotiation with the IRS Agent
  • Appeal Rights
  • Handling Your IRS Appeal
  • Offer in Compromise Finalization & Payment
  • Timeliness of Future IRS Tax Filings

Contact HIS CPA PC (A Christian CPA Firm) to see how you can learn more than ever before about managing your taxes as well as your business. Just because you receive an IRS audit letter it is not the time to panic but it is the time to carefully consider and determine that all of your tax returns are carefully prepared and compiled on a basis consistent with tax law and payment thereof. Many tax representation issues fail to consider the many nuances of tax law and actionable steps thereof. Retain a CPA today who is well versed with tax representation issues to ensure that only your lowest legal possible tax is paid.