Offer in Compromise (OIC)
Settling your tax liability for less than the full amount owed
Tax resolution encompasses the full range of professional services designed to resolve IRS problems. It is fundamentally different from tax preparation:
| Tax Preparation | Tax Resolution |
|---|---|
| Filing annual tax returns | Resolving disputes and liabilities with the IRS |
| Calculating what you owe or what refund you’re due | Negotiating to reduce what you owe or establish payment plans |
| Proactive — done annually before the deadline | Reactive — done after a problem has occurred |
| Handled by preparers, CPAs, or software | Requires licensed professionals authorized to represent you before the IRS |
| Straightforward process | Complex, multi-step process involving IRS procedures, tax law, and negotiation |
Settling your tax liability for less than the full amount owed
Setting up monthly payment plans with the IRS
Suspending IRS collection when you can’t afford to pay
Removing or reducing IRS penalties
Filing delinquent returns to get back into compliance
Stopping the IRS from taking your paycheck
Recovering funds frozen by the IRS
Removing, subordinating, or discharging federal tax liens
Defending you during IRS examinations
Separating your tax liability from a spouse’s or ex-spouse’s
Challenging unfavorable IRS decisions
Resolving employer tax liability and defending against the Trust Fund Recovery Penalty
Accessing expanded IRS programs for tax resolution
Not every tax issue requires professional help. If you owe $500 and can pay it today, you probably don’t need a tax resolution firm. But there are clear situations where professional representation is not just helpful — it’s essential:
The tax resolution industry, unfortunately, has its share of bad actors. Here are warning signs to watch for when evaluating firms:
No legitimate firm can guarantee an Offer in Compromise will be accepted. The IRS makes that decision based on specific financial criteria. Any firm making this guarantee is either lying or doesn’t understand the process.
Legitimate firms provide information and let you make an informed decision. If someone is pressuring you to sign a contract immediately or claiming you’ll “lose your chance,” walk away.
While tax resolution services do have fees (this is complex professional work), a reputable firm will review your situation first and give you a clear understanding of what’s involved before asking for a large retainer.
Tax resolution requires practitioners who are licensed to represent taxpayers before the IRS: Enrolled Agents (EAs), CPAs, or attorneys. If the firm can’t tell you who will be working on your case and what their credentials are, that’s a major red flag.
A reputable firm will evaluate your situation at no charge before recommending a course of action.
While much IRS correspondence is written, effective tax resolution often requires phone conferences with ACS, meetings with Revenue Officers, and Appeals hearings. A firm that only sends letters may not have the capability to truly resolve your case.
No one can tell you what the IRS will accept until they’ve reviewed your full financial picture, IRS transcripts, and compliance history.
Working with a legitimate tax resolution firm follows a predictable process:
You discuss your situation with a tax professional who evaluates the scope of your problem, the urgency of any pending deadlines, and the likely resolution options. At Global Gate Tax Relief, this initial consultation is always free — call 1-877-800-8180
We obtain your IRS account transcripts (using Form 8821 or Power of Attorney Form 2848), wage and income transcripts, and any filed or assessed returns. This tells us exactly what the IRS has on file, what you owe for each year, where the penalties and interest are, and what stage the collection process has reached.
Before the IRS will negotiate any resolution, you must be in compliance. This means all required tax returns have been filed and all current-year estimated tax payments are up to date. If you have unfiled tax returns, we prepare and file them strategically — this alone can dramatically reduce your balance if the IRS filed Substitute for Returns that didn’t include your deductions and credits.
We analyze your complete financial picture using the same standards the IRS uses: income, living expenses (IRS Collection Financial Standards), assets, equity, and future earning potential. This analysis determines which resolution strategy gives you the best outcome.
Based on the investigation and financial analysis, we recommend and pursue the optimal resolution:
Once the IRS accepts the resolution, we ensure everything is properly implemented. For installment agreements, we confirm the payment schedule. For OICs, we monitor the compliance period. For CNC, we track your CSED and any changes in your financial situation.
Through strategic filing, penalty abatement, and settlement negotiations, we frequently reduce what clients owe by 30–70%.
Once we’re engaged, we work to halt levies, garnishments, and other enforcement actions while we pursue resolution.
We handle all communication, negotiations, and filings with the IRS on your behalf. You never have to pick up the phone or visit an IRS office.
Unlike trying to navigate IRS procedures on your own, we develop a comprehensive strategy based on your specific financial situation and IRS account status.
Having a licensed professional in your corner who knows the system inside and out transforms the experience from overwhelming anxiety to manageable progress.
The IRS resolution process involves extensive paperwork, hours on hold, and precise procedural requirements. We handle all of it.
Studies consistently show that professionally represented taxpayers achieve better resolution outcomes than those who represent themselves.
Robert, a former sales executive in Florida, had not filed tax returns for six years after losing his job and going through a bankruptcy. During those years, he did freelance consulting and earned unreported income. The IRS eventually caught up, filing Substitute for Returns for all six years and assessing a combined liability of $185,000 — including over $52,000 in penalties alone.
When Robert contacted Global Gate Tax Relief, he was receiving CP504 notices and was terrified of a bank levy. Our team immediately filed a Power of Attorney and contacted the IRS to request a hold on collection while we worked the case.
Here’s what we did:
Step 1: We filed Robert’s actual returns for all six years, claiming deductions and credits the IRS’s SFRs had ignored. This reduced his actual tax liability from $185,000 to $97,000.
Step 2: We applied for first-time penalty abatement for the earliest year and reasonable cause abatement for subsequent years, removing $28,000 in penalties.
Step 3: With the reduced balance of $69,000 and Robert’s current financial situation (modest consulting income, minimal assets, high medical expenses), we submitted an Offer in Compromise. The IRS accepted a lump-sum offer of $12,500.
Robert went from a $185,000 IRS nightmare to a $12,500 settlement — a 93% reduction. His case was resolved in 11 months.
We are a dedicated tax relief firm, not a general accounting practice that occasionally handles IRS problems.
•Our Enrolled Agents and tax resolution specialists have unlimited practice rights before the IRS, including the ability to represent you in audits, appeals, collection matters, and settlement negotiations.
Call 1-877-800-8180 for an honest, no-pressure evaluation of your situation. We’ll tell you what you’re facing, what your options are, and whether professional help makes sense for your case.
We provide clear fee quotes after your consultation. No hidden costs, no monthly fees that stretch indefinitely, no bait-and-switch.
Thousands of resolved cases, millions of dollars in reduced tax liabilities, and a commitment to every client that we will pursue the best possible outcome.
We represent taxpayers in all 50 states. IRS procedures are federal, and our team can handle your case regardless of where you live.
Tax preparation is the process of filing your annual tax returns. Tax resolution is the process of resolving problems with the IRS — including back tax liability, unfiled returns, collection actions, audits, and penalties. Think of tax preparation as routine maintenance and tax resolution as emergency repair.
Fees depend on the complexity of your case: the number of tax years involved, the amount owed, the type of resolution needed, and whether immediate collection actions need to be stopped. At Global Gate Tax Relief, we provide a clear fee quote after your free consultation. We do not charge hourly rates that leave you guessing what the final bill will be.
Simple cases (such as setting up a streamlined installment agreement) can be resolved in 30–60 days. Complex cases involving multiple years, Offers in Compromise, or Appeals can take 6–12 months or longer. We set clear expectations during your consultation.
Yes — but not in every case, and never through magic. Reductions come from legitimate strategies: filing original returns to replace inflated Substitute for Returns, applying for penalty abatement, negotiating Offers in Compromise, and ensuring the IRS has correctly computed your liability. A reputable firm tells you honestly whether reduction is realistic in your specific situation.
In many cases, yes. Once we file a Power of Attorney and formally engage with the IRS, we request a hold on collection activity. If a Collection Due Process hearing is timely requested, the IRS is legally required to suspend levy action for the tax periods covered. During OIC consideration, the IRS also suspends most collection actions.
Absolutely. Unfortunately, we frequently help clients who were poorly served by other firms. We start fresh with a thorough investigation of your IRS account and pick up where the previous firm failed. Your IRS problems are still solvable.
No. We handle everything remotely — phone consultations, electronic document sharing, and IRS representation. We serve clients nationwide.
The IRS is not going to forget about your tax liability. Penalties and interest are growing every day. Collection actions can escalate without warning. But there are legitimate, effective solutions — and the sooner you act, the more options you have available.