Is it true that the irs will pardon your taxes owed,like once in a lifetime or something....isnt this that?

Question

offer in compromise?

Answer 1

An offer in compromise is a rather complex process where you itemize everything that you own and come up with an offer to settle a past due tax debt.

Generally, they are only accepted if you owe over $10,000 and, even then, the IRS says "No" over 80% of the time. If you owe under $10k, you should enter in to an installment agreement. If you owe over $10k, and you have no way of paying it, contact CPAs or EAs in your area and find one that has experience filing the offers. Whatever you do, do not call one of the firms that advertises on TV or radio. They're upfront fee can be thousands of dollars.

Answer 2

What they may do is try to implement payments, and then they may settle for a lesser amount if you pay by X date. If that doesn't work, they may attempt to liquidate your assets. The key is to not get in a position where you have to find out the answer! ;-)

Answer 3

the IRs has been known to reduce penalties, and interest in circumstance, and sometime relieve you of tax liability in special circumstance that would otherwise close ur business down.

Alternatively, tax liability consultant/advocates can often reduce or elminate ur corporate tax liability, provided your business has ceased to operate, otherwise holding the president/owner personally liable.

Answer 4

How does one go about getting the amount owed decreased? It is a hardship to me .

Answer 5

Uh, no it's not true - where in the world did you hear that? If that were true, who would bother to pay - just let them run up then ask for them to be wiped clean. Think about it.

Answer 6

No they will not trust e on that, yo might be able to bargain to remove penalties but unless you are rich you will pay.

Answer 7

Some more information required

Answer 8

I want to ask the same question as the user above.