< Back to IRS

Kaylee Cook

Has Anyone Successfully Completed an IRS Offer in Compromise Process Recently?

I'm drowning in some pretty significant tax debt and looking into the Offer in Compromise option with the IRS. I checked out their online pre-qualifier tool which says I might qualify, but the whole process looks intimidating. I'm trying to handle this myself without hiring an attorney (can't really afford one right now tbh). Has anyone gone through this process successfully in the last year or so? Any tips or insights you could share? I know everyone's financial situation is different, but I'd really appreciate hearing some success stories and what worked for you. My anxiety is through the roof just thinking about dealing with the IRS directly on something this important.

I actually just went through the OIC process and got my offer accepted about 3 months ago. Here's what helped me succeed: First, documentation is EVERYTHING. The IRS wants to see every detail of your financial life to determine what you can actually pay. Be meticulously accurate about your income, expenses, assets, and liabilities. Don't try to hide anything - they'll find it and it kills your credibility. I organized everything in a labeled folder system which really helped when they requested additional info. Make sure you're current on all required tax filings before submitting your offer. They won't even consider it otherwise. Also, you'll need to keep making estimated tax payments while your offer is pending. The form requires you to calculate a reasonable offer amount based on your assets and future income potential. Be realistic here - lowballing will get you rejected immediately. I offered slightly more than their formula suggested which I think helped my case.

0 coins

Thanks for the detailed response! When you say documentation is everything, did you need to provide bank statements for a specific period? And did the IRS come back with multiple rounds of questions or was it pretty straightforward after your initial submission?

0 coins

Yes, I needed to provide 3 months of bank statements for all accounts. They also wanted recent pay stubs, mortgage statements, car loan details, medical bills, utility bills - basically anything that verified my income and expenses. They did come back with questions twice during my process. The first round was pretty basic clarifications, but the second round was more intensive and felt like they were testing the consistency of what I'd reported. My case took about 8 months total from submission to acceptance. Stay patient and respond quickly to any information requests - that seems to help keep your case moving.

0 coins

After struggling with a $42k tax debt for years, I finally discovered taxr.ai and it completely changed my OIC experience. I was about to give up on the whole process because I kept making mistakes on the forms and couldn't figure out what documentation I needed. Their system analyzed all my tax docs and financial info and helped me understand exactly what I qualified for with an OIC. The website (https://taxr.ai) has this feature that shows you what the IRS is looking for in your specific situation and helps you organize everything perfectly. They even identified some expenses I was eligible to claim that the pre-qualifier tool didn't account for. My offer ended up getting accepted for about 15% of what I originally owed!

0 coins

How does it actually work? Does it just tell you what to do or does it actually help with filling out the forms? I've tried the IRS pre-qualifier but I'm still confused about how to calculate a reasonable offer amount.

0 coins

I'm a bit skeptical about these kinds of services. How is this different from just hiring a tax professional? And can it really help with something as complicated as an OIC?

0 coins

It actually does both - it analyzes your documents to identify what you qualify for, then guides you through completing the exact forms needed for your situation. For the offer calculation, it helps you determine your Reasonable Collection Potential (RCP) based on your assets and income, which is exactly what the IRS uses to evaluate offers. This is different from hiring a tax pro because it's much more affordable while still giving you professional-level guidance. It's specifically designed for complex situations like OICs where most people get stuck. It helped me understand exactly which documentation would strengthen my case based on my specific financial circumstances. The AI found patterns in my expenses that qualified for hardship considerations I didn't know about.

0 coins

I was really skeptical about using an online tool for something as serious as an IRS Offer in Compromise, but after going in circles with the paperwork for weeks, I decided to try taxr.ai based on the recommendation here. I'm honestly shocked at how helpful it was for my situation. The system identified that I was eligible for special consideration due to my medical expenses (something the IRS pre-qualifier didn't account for). It organized all my documentation in exactly the format the IRS wanted and helped me calculate an offer that made sense. Just got my acceptance letter last week - my $67,000 tax debt settled for just under $9,000. Still can't believe it worked, but I'm finally free from this stress after nearly 4 years.

0 coins

After trying to reach the IRS for weeks about my OIC application with no luck, I found this service called Claimyr that actually got me through to a human at the IRS in about 15 minutes. I was about to give up on my OIC because I couldn't get answers to some critical questions about my application. I used their website (https://claimyr.com) after seeing someone post about it, and they have this system that navigates all the IRS phone menus for you. You can see how it works in their demo video: https://youtu.be/_kiP6q8DX5c. When I finally got through to an IRS agent, I learned my OIC was being held up because of a missing form I didn't know I needed to include. Getting that direct information saved my application from being rejected.

0 coins

Wait, how does this actually work? Do they have some special access to the IRS or something? I've been trying to get through for over a month about my OIC.

0 coins

This sounds like BS honestly. Nobody can get through to the IRS these days. If this actually worked, everyone would be using it and the IRS lines would be even more jammed up than they already are.

0 coins

They don't have special access - they use technology to navigate the IRS phone system and constantly redial until they secure a spot in the queue for you. Once they get through, they call you and connect you directly to the IRS agent. It saves you from having to redial hundreds of times yourself. The reason it works is because their system is automated and can handle the repetitive task of calling and navigating the phone tree. Most people give up after a few tries, but their system is persistent. It's not bypassing anything - it's just doing the tedious work for you. The service was created by some tech folks who were frustrated with the same IRS phone problems during the pandemic.

0 coins

So I'm eating crow right now. After posting that skeptical comment about Claimyr, I was desperate enough to try it anyway since my OIC deadline was approaching. Honestly shocked that it actually worked. Got connected to an IRS agent in about 20 minutes after trying for weeks on my own. The agent was able to tell me exactly why my OIC application had been flagged for potential rejection (I had calculated my asset values incorrectly) and gave me specific instructions on what additional documentation I needed to submit to fix it. Without that call, my offer would have been rejected and I'd have had to start the whole process over again. Sometimes being wrong feels pretty good.

0 coins

My OIC was approved last year. One tip that really helped me was calling the Taxpayer Advocate Service before I even started the application. They don't prepare the OIC for you, but they gave me valuable guidance on how to approach my specific situation. Another thing - make sure you're checking the mail and responding to EVERYTHING. My OIC was almost rejected because I missed a letter requesting additional information. They only give you 30 days to respond to these requests.

0 coins

Did you have to meet with an IRS officer in person as part of your OIC process? I've heard mixed things about whether this is required or not.

0 coins

In my case, I did not have to meet with anyone in person. Everything was handled through mail and phone calls. However, this varies by situation and local office procedures. If your financial situation is particularly complex or the IRS has questions about the value of certain assets (like a business or unusual property), they're more likely to request an in-person meeting. From what I've heard from others, these meetings aren't as intimidating as they sound - the officers are generally professional and are just trying to verify information.

0 coins

Has anyone used one of those tax relief companies that advertise on the radio for an OIC? They claim they can settle for "pennies on the dollar" but I'm wondering if they're worth the fees they charge.

0 coins

STAY AWAY from those companies! I made that mistake and paid $3,500 upfront to a "tax relief" firm. They did absolutely nothing I couldn't have done myself and actually caused delays by submitting incomplete paperwork. Many of these places just take your money and do the bare minimum.

0 coins

I'm currently in the middle of my OIC process (submitted about 4 months ago) and wanted to share what I've learned so far since you're just getting started. The biggest thing that's helped me is staying incredibly organized with a dedicated filing system for every single document. I created separate folders for initial application materials, correspondence with the IRS, financial documentation, and backup copies of everything. This has been a lifesaver when they've requested additional info. One thing I wish I'd known upfront - the IRS can take 6-24 months to process your offer, and during that time you MUST stay current on all new tax obligations. If you fall behind on estimated payments or filing requirements while your OIC is pending, they'll automatically reject your offer. I almost learned this the hard way. Also, don't let the anxiety get to you too much. Yes, it's intimidating dealing with the IRS directly, but if you're thorough with your documentation and honest about your financial situation, the process is more straightforward than it seems. The IRS agents I've spoken with have actually been professional and helpful when I've had questions. Good luck with your application! Feel free to ask if you have specific questions about the forms - I'm still fresh on all the details.

0 coins

IRS AI

Expert Assistant
Secure

Powered by Claimyr AI

T
I
+
20,095 users helped today