Hartford Tax Problems – Offer-In-Compromise Solutions

IRS and State tax problems that become too large for payment over time often require the proper presentation of a negotiated settlement for a reduced amount, payable in a one-time lump sum or over a short period in full and final satisfaction of the entire debt amount due to Federal or State taxing authorities. This process is generally known as an Offer-in-Compromise, or OIC.

Proper Submission of an Offer-in-Compromise

Since the calculation and time required to obtain approval of an Offer-in-Compromise can be difficult, it is important that any OIC be carefully analyzed and presented in order to maximize the chances for successful approval by State or Federal taxing authorities. Obtaining approval of a State or Federal Offer-in-Compromise requires the following:

  1. Timely filing of all tax returns to State or Federal authorities;
  2. Proper payment and compliance with current returns and tax obligations.
  3. The offering of the proper compromised amount given the amount of the tax and the taxpayer's assets and ability to repay.

Since the majority of all Offers-in-Compromise are not approved, it is imperative that you obtain the best possible representation in the preparation and submission of your tax offer. At the Law Offices of Neil Crane, we've been helping Connecticut taxpayers solve overwhelming tax problems since 1983.

Offer-in-Compromise Standards and Payment Options

Calculating OIC Offers:

All lump sum or installment Offers-in-Compromise must take into account two major factors:

  1. Assets available through liquidation - This standard requires that a balance sheet analysis of assets and liabilities produce an Offer that equals or exceeds asset equity available through liquidation.
  2. Future Income Analysis - This standard requires an analysis of monthly income above "allowable" expenses over time. This requires the proper calculation of what the IRS or DRS will consider as income and acceptable expenses. Not all monthly expenses will be deemed "necessary" or "allowable" as appropriate deductions.

To avoid OIC Revocations or rejections and make the most of the extraordinary opportunities presented by a State or Federal Offer-in-Compromise, you need the experience and expertise of a qualified legal and tax professional. At the Law Offices of Neil Crane, we have years of experience in analyzing the budgets of thousands of individual and business tax payers throughout the Hartford area .

To obtain a free consultation with one of our knowledgeable Offer-in-Compromise attorneys, call our office at 203-230-2233 or toll free at 1-888-249-3027. We will speak with you directly - We never use voicemail.