A considerably large amount of taxes needs to be paid by some individuals these days to the Internal Revenue Service which was never allowed to happen before. People who are not able to pay for their taxes are in dire need of help and they would do anything to free them from the trouble that they are currently facing. There are a lot of instruments that the CPA, Enrolled Agent, or Tax Lawyer may use for the process of settling the liabilities that the clients have and some of them are Collection Appeal, Offer In Compromise, Collection Due Process and Installment Agreement, and Injured or Innocent Spouse Defense.
The Offer In Compromise is the most popular instrument that a lot of mediators use these days since there is a very big possibility that the tax slate of the client will be discounted or may even be totally wiped clean. When it is true that this is considered as the most attractive instrument these days, it also has its pros and cons. All of the information concerning all of your assets may be required for diaclosure to the Internal Revenue Service if you are granted a discount of the total amount of tax resolution fees that you have to pay for. Since there is an Internal Revenue Service machine that is able to monitor all of the taxes, you cannot lie about your own. There may be cases when you did your best but the offer will still be rejected. In this situation, make sure that the client is well informed about it so that they will not be alarmed when someone working for the Internal Revenue Service will come looking for them. Although Offer In Compromise may sound like a big hope for the clients, they should know that the disadvantage of this is that only 20% of the total number of offers that are submitted to the Internal Revenue Service will be accepted. There are surely importance factors that you need to do so that you can be included in the 20% of offers that are being accepted by the Internal Revenue Service. Your problem might be diagnosed after it will be analyzed by the tax resolution software logic which you need to take a hold of. This can also help determine what chance you have in joining the 20% that are being accepted by the Internal Revenue Service.
According to a recent survey, there are still representatives who are still using a calculator, pencil, and their brains to have the cases for the Offer In Compromise done.