You should know that the internal revenue service is a government agency that is tasked to enforce laws regarding tax. The IRS is also responsible when it comes to tax collection. With that said, it’s quite a fact that the IRS still needs to collect taxes and it’s a fact that a lot of people owe them money in the first place. Owing the IRS large sums of money is not something that can go well which is why these people will want to do anything just to get out of this situation. Since this is a legal issue, it’s only natural for these people to hire a tax attorney or a CPA to help them get the Offer In Compromise that they need from the IRS. Aside from that, these professionals are also there for other reasons such as the collection appeal, collection due process, installment agreement, and some other options.
With all that said, you should know that the offer in compromise is the most attractive instrument. In addition to that, this instrument is the one that can wipe the tax slates of the client anew. However, you have to keep in mind that any offer in regards to this matter still has its disadvantages.
In order for the IRS to grant your request, they will need all your tax information to begin with. This is something that they have to do in order to keep people in check. Adding to that, you have to know that they make use of the tax resolution software.
Also, when it comes to rejected requests, it’s important that the professional you hired to take care of this matter would notify you immediately. It’s necessary for the clients to know the facts since surprising them about it later on can only make things worse especially if they have to deal with the IRS personally. Also, you should keep in mind that getting the offer in compromise approved is something that has a low probability ever since. Knowing that, you will want to think of your next plan before the results are determined. Of course, you should still try your best to have the request accepted in the first place. With that said, you also need to make sure that the CPA or tax attorney that you hired will be able to improve this kind of situation with their expertise. Hiring a professional who can utilize the tax resolution software is also a necessary thing that you should do.
The IRS needs to have proof that you’re willing to do your part and without the help of the tax resolution software, your offer in compromise won’t be any good.