What payment options are available for the Offer in Compromise Program?
• There are generally three different payment options for an offer in compromise: (1) lump sum whereby the taxpayer makes a 20% down payment of the offer amount when the offer is submitted and pays the remaining portion within five (5) months of the offer being accepted, (2) short-term periodic payment offer whereby the taxpayer agrees to pay the offer amount within 24 months of submitting the offer via monthly payments, and (3) long-term deferred offer whereby the taxpayer agrees to the pay the offered amount over the life of the remaining statute of limitations on collections.
