Episode 166 - Offers in Compromise Review and Updates

Tax Justice Warriors

On this episode, Andrew Belter and William Schmidt review offers in compromise – what are some of the basics in making an offer and what are the types of offers? There is also a discussion of offset bypass refunds – working with the Taxpayer Advocate Service to try and get a refund for a client who owes a past-due government debt.

Next, we turn to the look at a recent National Taxpayer Advocate blog post and discuss the changes the IRS recently brought to offers in compromise (OICs) and the offset bypass refund (OBR).

Two recent changes noted in the blog post:

• Not applying the current year refunds to the agreed-upon tax liability
• For hardship situations, the OBR remedy is now available during the pendency of an OIC

Andrew and William discuss how those changes provide assistance for low income taxpayers.

NTA Blog: IRS Initiates New Favorable Offer In Compromise Policies - Taxpayer Advocate Service