A doubt as to liability Offer in Compromise (OIC) can be used to settle tax debt when there is a legitimate dispute about whether you actually owe the debt. If accepted, you may use a Doubt as to Liability OIC to settle your tax debt for much less than owe, sometimes for pennies on the dollar.

The process of preparing a Doubt as to Liability OIC takes a lot of effort and knowledge of IRS practices, so consult a tax attorney for assistance.

When Doubt As To Liability Exists

Doubt as to liability generally exits when there is a dispute about the tax assessment that couldn’t be argued earlier for some reason. In other words, the time to dispute the tax liability has passed, but you have a good argument for disputing it.

Doubt as to liability may come up in the following situations:

• New evidence is found after a tax assessment.
• You were unaware of a tax assessment and never received notices from the IRS.
• The IRS audited your return and adjusted your tax liability, but you didn’t receive notices from the IRS.
• You filed an amended return, but it was never processed by the IRS.
• Errors made by employers on wage information returns or errors made by the IRS.

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