The radio waves and television are on fire with testimonials about how some company just lowered the amount of taxes owed from one Gazillion Dollars to pennies on the dollar. Is it real?
Well, not really.
Everyone who works with taxes for a living has had the client walk in with a letter from the IRS or the State they reside in, Taxpayer Joe has a open balance of $550,000.00 with penalties and interest accruing on a monthly basis...compounding interest on interest. Taxpayer Joe is having a financial meltdown, his wife/spouse/significant other is at home packing bags to head out of country/move back to mom's/divorcing the S.O.B. and they are taking one last stab at finding out what is wrong.
After reviewing the situation, it appeared Taxpayer Joe, just failed to file his tax return (and he knows it, but does not want to admit he dropped the ball), and by filing the tax return, I can claim, I reduced Taxpayer Joe's taxes from $550,000.00 to whatever was really owed or refund from filing the return (if within the guidelines). Ta-Da, the taxes disappeared, and everything is solved and I can release a radio ad with Taxpayer Joe's testimonial.
Without getting lost in the forest giving you a download of information, I will explain the IRS Offer-in-Compromise (also known as the "OIC") program in it's basic form, as each person and case is different.