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Tax debt resolution • IRS Form 656
Utah Offer in Compromise Attorney
Owe the IRS more than you can realistically pay? An Offer in Compromise may allow qualifying taxpayers to resolve eligible federal tax debt for less than the full balance. Our attorneys can evaluate eligibility, financial disclosures, and alternatives.
Call 801-899-6064Request a Free ConsultationCan You Settle IRS Tax Debt for Less?
An IRS Offer in Compromise (OIC) is based on statutory and administrative eligibility criteria—not simply the size of your debt. The IRS evaluates income, allowable expenses, asset equity, ability to pay, and other relevant circumstances.
Rogers & Russell reviews your tax account, collection history, and financial records to determine whether pursuing an OIC is sensible. Some taxpayers are better served by a payment arrangement, hardship status, or another remedy. We explain the tradeoffs rather than promising a “pennies on the dollar” result.
IRS Offer in Compromise Forms We Help You Understand
IRS Form 656
Offer in Compromise. The primary offer form used to propose a settlement of eligible federal tax liabilities.
Form 433-A (OIC)
Collection Information Statement for Wage Earners and Self-Employed Individuals. Reports household income, expenses, and assets.
Form 433-B (OIC)
Collection Information Statement for Businesses. Used to report qualifying business finances and assets.
Form 656-B and Form 656-L
Form 656-B is the IRS OIC booklet and instructions. Form 656-L addresses an offer based on doubt as to liability, a distinct basis from inability to pay.
What If the IRS Rejected Your Offer?
An OIC rejection is not necessarily the end of the process. The IRS generally permits an appeal within 30 days from the date of the rejection letter, often using Form 13711, Request for Appeal of Offer in Compromise. A returned offer is different from a rejected offer and has different rules.
We can review the rejection rationale, the IRS income-and-expense analysis, and asset valuations to assess whether an appeal is appropriate. Review IRS appeal guidance.
How Our OIC Review Works
1. Review the tax liability
Identify tax years, balances, filed returns, collection notices, and pending deadlines.
2. Assess financial eligibility
Review assets, expenses, income, collection potential, and any exceptional circumstances.
3. Recommend the next step
Discuss an OIC filing, appeal, payment arrangement, or another option appropriate to the case.
Offer in Compromise FAQs
Does the IRS accept every Form 656 submission?
No. Eligibility, completeness, tax compliance, and the IRS’s assessment of reasonable collection potential matter.
Can I submit an OIC while in bankruptcy?
An open bankruptcy case generally prevents the IRS from considering an OIC. Tax and bankruptcy interactions require individualized review.
Does an OIC automatically remove a federal tax lien?
No. A notice of federal tax lien may remain until applicable offer terms and release requirements are satisfied.
Can I appeal an OIC rejection?
Generally yes, within 30 days from the date of the rejection letter. Form 13711 is a common method.
Speak With a Utah Tax Attorney
Call Rogers & Russell to discuss your IRS notice, tax debt, and available next steps. Ask about a free initial consultation.
Call 801-899-6064Contact Our OfficeRogers & Russell, PLLC | Pleasant Grove, Utah | 801-899-6064
General information only; not legal or tax advice. No attorney-client relationship is created by contacting the firm. Tax Court appearances require admission to practice before that court or other applicable authorization; availability of representation is assessed individually. No outcome is guaranteed.