What Factors Will the IRS Evaluate When Approving or Rejecting an Offer in Compromise?

Is an Offer in Compromise the next step for you financially? Are you ready to get out from under your debilitating tax? If you feel paralyzed by tax debt, it might be time to consider an Offer in Compromise, which allows you to settle that debt for a portion of the total amount you owe the IRS. Here’s what you need to know.

What is an Offer in Compromise?

An OIC, or Offer in Compromise, is a tax repayment plan offered by the IRS. It’s an opportunity for the IRS to forgive a portion of the tax debt to allow for repayment by the taxpayer, who then pays the balance. The goal is a settlement that benefits both the taxpayer and the tax collector.

IRS Considerations

There are certain standards the IRS considers that could qualify you for this repayment plan. Here are the factors they evaluate when approving or rejecting an offer in compromise:

  • The taxpayer has exhausted their other options for paying the taxes owed
  • The taxpayer cannot have a history of filing for bankruptcy
  • The IRS isn’t confident they can collect the tax debt in its entirety from the individual or business
  • Any involved party doubts the accuracy of the amount of taxes owed to the IRS
  • It allows the IRS to provide more effective tax administration to the individual or business

If your tax debt has taken over your life and sense of security, there are options to help you get straight with the IRS while also recovering financially. However, it’s a good idea to have someone knowledgeable on your side when you work toward acquiring an Offer in Compromise. The lawyers at McCutchen McLean, LLC are the professionals you’ve been looking for. Contact them today to learn about your options.

McCutchen McLean: Nominated for Best Family Law Attorney in the Best of Lexington Life Competition

McCutchen McLean is proud to serve the Lexington community by providing legal representation in family, estate, tax, and business law. We strive to be the best, and we think the community agrees. We’re thrilled about our nomination for Best Family Law Attorney in the Best of Lexington Life Competition! Here’s what that means to us, and to you.

Lexington Life Magazine

In publication since 2004, Lexington Life focuses on the schools, businesses, churches, and civic groups in the area that make a difference and impact life in Lexington. It’s a family-owned business whose primary focus is direct mail advertising that provides a valuable service to the community. With a readership of over 50,000, it is chock full of information that makes living, shopping, and working in Lexington better.

McCutchen and McLean, LLC

Owned and operated by Robin McLean and James McCutchen, this Lexington law firm provides legal services in family law, elder law, estate planning, probate cases, tax law, and business and corporate law. Started in 2018 in the heart of the community, McCutchen McLean strives to provide knowledgeable, experienced, compassionate assistance to the people of Lexington and the South Carolina region.

Best of Lexington Life

Nominees for Best of Lexington Life come from Chamber Shareholders, and the readers and community members vote to determine the winners each year. They recognize the nominees for working to make Lexington a better place to work, live, and play.

It’s our honor to be a nominee and we feel privileged to serve the people of our community. Contact the team at McCutchen McLean, LLC, for help with your legal needs.



James McCutchen drafted our estate planning documents and he did a fantastic job. The entire process was easy and affordable. I highly recommend James for any of your estate planning or probate needs.



James McCutchen helped me with my business contract for my new business venture. He was able to offer helpful and informative suggestions and recommendations for my contract. It is reassuring to have someone like James look over my contract to know that I will be covered. His service was outstanding and I highly recommend him for your legal needs!!



I recently had a tax issue with the IRS. I called McCutchen McClean law firm and they were able to fit me in quickly. They sat down with me, reviewed all the documents, listened to my concerns, and gave me wonderful advice as to how to fix the issue. They were friendly and understanding. Now, my tax issue is resolved, taking a HUGE weight off my mind. I would recommend them for any tax issue you may have! The service, hospitality, knowledge, and professionalism was outstanding!



We recently used James McCutchen and we could not be any happier! He was very kind, thorough when answering all of our questions and the best part of all we got everything completed pretty quickly. We highly recommend James. Thanks again for everything!



I have referred several clients to them. My clients are very happy with the outstanding, timely service they receive. James and Robin are extremely smart and professional, yet speak in "plain english" so everyone walks away educated regarding their tax, estate or family law issue.



Smart people that do great work.



I used Robin McLean as an attorney to secure a divorce about 20 months ago. I found her to be efficient, reasonably priced, and very well skilled. I was completely happy with her work. She did what she said. Since that time, I needed additional help with paperwork and she responded promptly and to my complete satisfaction. I highly recommend Robin as an attorney.


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