- Instructor: Attorney Bob Schaller
- Lectures: 6
- Quizzes: 1
“Accepting” a Pending Offer by the IRS.
The decision whether to “accept” an offer to compromise is within the IRS’ discretion and must be based upon consideration of all the facts and circumstances. 26 C.F.R. § 301.7122-1(c)(1); Johnson v. Commission of Internal Revenue, 136 T.C. 475, 485 (2011); Christopher Cross, Inc. v. US, 363 F.Supp.2d 855, 857 (E.D. La. 2004). In keeping with IRS Policy Statement P-5-100, IRM § 22.214.171.124.17 (01-30-1992), an offer will only be accepted if it is determined to be in the best interest of both the taxpayer and the IRS. Rev. Proc. 2003-71, § 6.03. The IRS may take into account public policy and tax administration concerns in determining whether an offer to compromise is acceptable. Rev. Proc. 2003-71, § 6.03.
Overview of the IRS' Decision to Accept a Pending Offer
IRS Acceptance Policy
IRS Must Accept Offer in Writing
Acceptance Conclusively Settles All Liability
Offer Rescission Considerations