How to file an offer in compromise with the IRS?
Filing an IRS Offer in Compromise, at first glance, may appear not hard at all. Fill out IRS Form 656 Offer in Compromise (also, see How to File IRS Offer in Compromise) and drop it in the mail. Taxpayers should also use the checklist in the Form 656, Offer in Compromise, package to determine if they are eligible for an offer in compromise. You also need to get familiar with IRS Policy Statement P-5-100 for the complete offer in compromise policy statement. Obviously, there are more things to know, a lot of hidden ins and outs in this process that may be only known to experienced tax professionals. So, whenever in doubt, seek professional tax help. See How can I find professional tax debt help? for tips on finding a good tax professional.
