You Will Need to Follow These Steps to Get an Offer in Compromise
Many people have been known to fail in paying their taxes. You may be thinking of what you can do when you cannot pay your taxes. You should consider gathering information from the best website to know what to do. It would be best if you asked for the important details that will benefit you. You should consider contacting the IRS as it is the one to help you. read more now to know how you can qualify to get an offer in compromise.
The first thing you should know is that it takes a process to apply for an IRS offer in compromise. You should know that you can apply and you be disqualified. There are these documents that you are required to fill out. For instance, you will need to fill out two forms. You will get to indicate if you have other debts and also the things that you own. There is also a fee that you are supposed to pay for it to be taken as the waiver. There is also an amount you will be required to pay to cover 20% of your debt. This payment is a must to make.
There are other things that are checked for you to be qualified for an offer in compromise. You should have these qualifications before you even apply for an offer in compromise. You are supposed to check it out everything before you start the process. Having a court-ordered tax debt and being behind on your taxes can make you disqualified. Also, provide the necessary information and the documents you are asked for. You are supposed to know that you will be disqualified if they find you have not paid the application fee.
The other that the IRS looks at when checking if you are qualified for an offer in compromise is your past, present, and future income. You will also give out information about your car type and how you manage to pay the bills. Once they find that you cannot give something equal to your retained cash flow then you will be disqualified. When you are accepted, you have two ways that you can pay your debt. You can either pay a large amount in five months or you can pay small amounts in 24 months in installments.
There are many benefits you will get when you apply for an offer in compromise. You should know that there will be time to pay the debt at the pace that you need.