Offer in Compromise

Offer in Compromise

An Offer in Compromise or OIC is a reduced balance settlement on IRS debt or state tax debt. In the last published IRS statistics, the IRS reports that the average discount on accepted Offers was 88% (only 12 cents on the dollar was paid by Americans with accepted OICs), and that the average acceptance rate was around 24%. Typically, when an Offer in Compromise is accepted, the tax debt must be paid off in one lump sum payment. A tax relief provider can help prepare and coordinate the process of applying for an Offer in Compromise. OICs submitted by tax professionals have a much higher rate of success than OICs submitted by individuals.