Unpaid tax debt is intimidating. At Plachta, Murphy & Associates, we help you resolve the debt and eliminate the stress that accompanies it, so that you can move forward with your life. One option for doing so is called an Offer in Compromise.
The Offer in Compromise (OIC) is a program offered by the Internal Revenue Service (IRS) and the State of Michigan. Many people are unaware of this program, and neither the IRS nor the state routinely publicizes it.
An OIC allows individual and business taxpayers with unmanageable tax debt to negotiate the payment amount with the IRS or state – and it is not just negotiating a payment schedule, but rather reducing the total amount to be paid. The name of the program says it all: the taxpayer offers a compromise to the IRS or state, and the negotiations begin.
By negotiating an OIC, taxpayers can significantly reduce their past-due tax liabilities. We have had success with getting the IRS to accept as little as 3% of the account owed. One client with a tax debt of over $300,000 had a successful offer in compromise of $9,000, thanks to our intervention. While we can't guarantee those results for everyone, we have a consistent proven track record of often getting the amount of tax debt reduced by more than half.
It’s not as easy as pulling a number out of a hat, however. There are regulations that must be followed, detailed financial paperwork to fill out, and needs-based calculations to undertake. Navigating through the bureaucracy of the IRS or the state and negotiating with them can be difficult for taxpayers who go it alone. Retaining an experienced tax resolution professional typically leads to much better results, faster resolution, and much less frustration. At Plachta, Murphy & Associates we advocate for you and protect your rights. We can also help you avoid major problems that can make unpaid tax debts an even heavier burden to carry, such as bank levies, property and account seizure, and wage garnishments.
At Plachta, Murphy & Associates we have over 20 years of experience helping clients resolve their tax issues. We couple our extensive experience with local, state and federal tax resolution with genuine dedication to our clients and their financial well-being. We are not a one-size fits all national tax resolution practice. Rather, we take pride in one-on-one personal and confidential service. We take the time to meet with you, look at your individual and business situation, and find the right resolution so you can obtain financial freedom. Whatever the nature or complexity of your tax issue, we invite you to contact Plachta, Murphy & Associates to schedule a consultation with a member of our Tax Resolution team.