An Offer In Compromise is an legal agreement between a taxpayer and the Internal Revenue Service (IRS) that provides an alternate route for paying a tax laibility. The IRS has the authority to settle, or compromise, federal tax liabilities by accepting less than full payment under certain circumstances.

Using a Certified Public Accountant (CPA) or an Enrolled Agent (EA) is the best option in dealing with IRS problems because Enrolled Agents focus on income taxes (CPAs and attorneys generally have a larger breadth of accounting work than Enrolled Agents).

It is tempting to be intrigued by ads on TV or the radio that claim to reduce tax liabilities by 90% but then charge large upfront fees ($3,000 to $4,000). Though such cases are not unheard of, they are extreme and rare. At CPA Financial Architects, we not only have no large upfront fees and work around your individual needs. Many times clients come in thinking an OIC may be there best option but after close and careful analysis there may be other more cost effective and efficient methods available. Furthermore, we are able to help clients around the country.