REVISED 8/2004) Why does the IRS require the July 2004 version of Form 656, “Offer in Compromise” package?
The July 2004 version of the Form 656 package was redesigned in order to assist taxpayers in the correct preparation of an OIC application, as well as reduce the burden associated with the process. The package contains the offer in compromise, instructions, Forms 433-A and 433-B, and a worksheet to help calculate the offer amount. A new addition is a processability checklist that helps taxpayers determine if they meet the eligibility requirements to submit an offer. The forms prompt taxpayers to attach necessary financial documents needed in the processing of the offer.
