Filed, Accepted, or Rejected Offer in Compromise (OIC)

Filed, Accepted, Rejected OIC

Filed

  • This means the IRS has received your OIC request and is reviewing it.​ 

  • During this period, the IRS temporarily pauses most collection activities, including levies.​ 

  • The review process can take several months to over a year depending on complexity.​ 

  • You must continue making any required payments under the terms of your OIC application (if applicable).​ 

Accepted

  • The IRS has agreed to settle your tax debt for the offered amount.​ 

  • You must strictly follow the payment terms outline in the agreement.​ 

  • You must stay in compliance with tax filings and payments for the next five years, or the IRS can rescind the agreement.  

Rejected

  • The IRS has denied your offer, usually because they believe you can pay more through other means (e.g., installment plan, asset liquidation).​ 

  • You have 30 days to appeal the rejection if you believe the IRS made an error in their evaluation.​ 

  • Other resolution options, such as a payment plan or currently not collectible status, may still be available.​ 

Ready to Settle Your Tax Debt? Contact Us Today!

If you’re struggling with tax debt and think you may qualify for an Offer in Compromise, our team is here to guide you through the process. We’ll assess your financial situation, determine your eligibility, and handle the paperwork to help you submit a strong offer to the IRS. Reach out today for a free consultation and take the first step toward settling your tax debt for less than you owe.

What is an offer in compromise?

An Offer in Compromise (OIC) is a program offered by the IRS that allows eligible taxpayers to settle their tax debt for less than the full amount they owe. It's designed for individuals or businesses who are unable to pay their full tax liability or if doing so would create a financial hardship. The IRS considers your income, expenses, asset equity, and overall ability to pay when reviewing an offer.

Submitting an Offer in Compromise gives taxpayers a potential path to resolve their tax issues and get a fresh start. While not everyone qualifies, it can be a powerful tool for those who meet the criteria. If accepted, the IRS agrees to forgive the remaining balance of your debt once the agreed-upon amount is paid, giving you relief from ongoing collection actions such as levies, liens, and wage garnishments.