The Law Dictionary

Your Free Online Legal Dictionary • Featuring Black’s Law Dictionary, 2nd Ed.

OFFER IN COMPROMISE (OIC) Definition & Legal Meaning

Definition & Citations:

A taxpayer can pay an amount less than the amount owed for tax liabilities, under this agreement between the IRS and the taxpayer. This only comes into effect if the IRS gets sufficient evidence that the taxpayer will not have sufficient funds even after selling his assets, while taking into account his current and potential earnings.

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