IRS Announces Fee Waiver for Taxpayers Making An Offer In Compromise
Amid the coronavirus crisis, the IRS announced regulations granting low-income taxpayers an avenue to waive the $205 fee imposed on Offers In Compromise (OIC) applications. An OIC is an agreement between a taxpayer and the IRS to settle tax debt for less than the full amount owed, and it is one of the prime ways that taxpayers burdened with tax debt can come to a resolution. The IRS’s announcement was welcome news, even as it was expected and required on the heels of the Taxpayer First Act, passed last July and previously written about on our blog. Now, taxpayers falling at or below 250% of the federal poverty level will be eligible to have the fee waived. If you or someone you know is facing tax debt, please contact our offices at (503) 274-7849.