Almost every offer in compromise that I have ever submitted for a client has been followed very shortly with a request for more information – even after we submitted a ream of paper with the offer in compromise application. Many times this extremely irritates my clients. I don’t know if it is because some of my clients are very unorganized and it is difficult for them to gather the required information, but they complain and whine a lot.
I understand it is a pain to do this, but the outcome of the offer if they do not provide that information is it will be sent back without consideration. It is very important for anyone requesting an offer in compromise to keep in mind that they will be asked to provide a lot of information to the IRS and may have very strict time limits effected after these requests.
It is also important to keep in mind that you owe a lot of taxes and we are asking the IRS to reduce (sometimes by hundreds of thousands of dollars) the amount of taxes they will accept as payment in full. I get the feeling that a lot of my clients feel that they are entitled to a reduction in the amount of taxes they owe and they shouldn’t have to do anything to get it.