Looking to settle for less with the IRS? – YouTube video text script

Looking to settle for less with the IRS?

Do you have a tax bill you can’t pay?

Are you looking to settle your tax debt for less with the IRS?

You may see ads from companies promising you they can settle your tax debt for less.

And while it is true that an offer in compromise, or OIC, allows you to settle your tax debt for less than the full amount due, what these companies don’t tell you is you don’t need to go through them to make the offer.

They also don’t tell you that making an offer is not an option for everyone.

It's a last resort for those who have exhausted other available options to pay their debt in full, including payment plan options.

And you must meet certain eligibility requirements to qualify for an offer.

These companies also don’t tell you an application fee is the only additional cost,

aside from any offer related payments that the IRS charges to submit an offer and that this fee is waived if you meet certain criteria.

So, you can save yourself time and money if you submit the offer yourself.

And we are here to tell you what you need to know to get started.

Visit IRS.gov/paymentplan to see if you qualify to pay the full amount owed with a payment plan.

If you qualify for a payment plan be aware you may not qualify for an OIC.

Go to IRS.gov/oic to access our OIC Pre-Qualifier Tool to determine if you may be eligible to file an OIC.

The IRS provides the OIC Pre-Qualifier Tool to help you determine if you meet the initial qualifications required to make an offer. Keep in mind, you cannot make payments or file your OIC through this tool.

It only uses the information you enter to calculate a proposed offer amount that you can include with your application.

The tool will ask you to enter the following information.

Be sure to have this on hand before you get started.

Your city, state and zip, household size and your total federal tax debt owed.

All your assets, including bank accounts, home and vehicle values, retirement accounts and any other assets. It will also ask you to input your household income including wages, self-employment, rental and any other income.

Finally, you’ll list your expenses, including housing, transportation, federal, state and local taxes and any other specified expenses.

If the tool states you are eligible it will provide a link to instructions on how to apply.

Remember, the OIC Pre-Qualifier Tool is only a guide to help you get started.

The tool does not consider any special circumstances you might have.

If the tool determines you may not qualify for an OIC because the information you input shows you can pay in full, you still have the right to submit an offer for consideration.

Be sure to follow the application instructions closely to help the IRS process your offer smoothly.

The IRS will make the final decision based on your completed OIC application and a thorough financial review.

You can also use our individual online account to check whether you’re eligible to file an OIC, submit payments, and file your OIC online. To get started, sign in or create an account at IRS.gov/payments/online-account-for-individuals.

Go to IRS.gov/oic to learn more about the OIC program and access links to valuable OIC tools.