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CAUTION: There are many providers of services on the
internet who will submit your Offer in Compromise forms.
However, such providers merely have you complete the forms.
These bargain basement "Offer experts" may be only
mailing the forms you prepare to the Internal Revenue Service.
Thus, they have done nothing for you. In fact, they may end up
costing you more because critical review and analysis has not
been done. When completing the financial statement forms and
making the Offer, you are painting a financial picture that will
determine the amount of an acceptable Offer. Unless your
representative has the necessary skills and experience, you may
have paid a small fee, only to be subjected to settling for more
under the Offer than you otherwise should have. Your
professional must have experience in: calculating your income
and expenses; determining the amount of the offer you should
make; valuing your assets and liabilities; reviewing joint
ownership considerations; working with the tax law and IRS
internal procedures; arguing the facts and the law, and
negotiating with the IRS.
The IRS has a history of intimidation, and let's face it,
they will take advantage of any taxpayer who represents himself,
and even a taxpayer's advocate who is weak. Remember, IRS Offer
Specialists generally have "collection" backgrounds
and they come at you from the perspective of getting as much
money as they can.
In the end analysis, you should measure the benefits
you derive from the final result. For a taxpayer to engage
someone who merely mails in your Offer forms for a
what at first blush looked like "such a deal", may in
reality end up costing you many thousands of dollars more
because you didn't choose a tax professional who would negotiate
the best settlement for you.