Free IRS Offer in Compromise Estimator

See whether you might qualify to settle IRS tax debt for less than you owe, and get a rough estimate of what the IRS could accept.

Educational Disclaimer: This tool provides a simplified estimate. It does not guarantee IRS acceptance of any offer amount. Consult a qualified tax professional before applying.

How to Use This Calculator

  1. 1Enter your cash, liquid assets, and equity in real estate or vehicles
  2. 2Enter your monthly income and necessary living expenses
  3. 3Choose how quickly you could pay a lump-sum offer
  4. 4Enter your total tax debt to see how it compares to your estimated offer

What This Is Useful For

  • • Get a rough sense of whether an Offer in Compromise might be worth exploring
  • • See how assets and monthly disposable income factor into IRS collection potential
  • • Understand that this is a starting estimate, not a substitute for professional tax advice
$2,000
$0
$0
$3,000
$4,200
$3,800
$18,000

How quickly could you pay the offer amount?

Your total tax debt is $18,000.

Based on what you entered, the IRS might accept as little as $8,280.

Estimated offer range: $8,280 – $10,120

Disclaimer: This is a simplified estimate for educational purposes only. The IRS uses detailed, county-specific expense standards and asset valuation rules that this tool does not fully replicate. Talk with a qualified tax professional before submitting an Offer in Compromise.

Want to know more?

See our IRS Bank Levies guide for what happens if tax debt goes unresolved, or check your debt-to-income ratio to see your full financial picture.

Frequently Asked Questions

What is an IRS Offer in Compromise?⌄

An Offer in Compromise (OIC) is a program that lets some taxpayers settle their tax debt for less than the full amount owed, if the IRS agrees they can't reasonably pay the full balance.

How does the IRS decide what to accept?⌄

The IRS generally looks at your Reasonable Collection Potential — the value of your assets plus what it believes you could pay from future income — and typically won't accept an offer below that amount.

Does everyone qualify for an Offer in Compromise?⌄

No. The IRS rejects many offers that don't reflect a taxpayer's true collection potential, and there are also filing and compliance requirements to qualify at all.

Is this estimate exact?⌄

No — this tool uses a simplified version of the IRS math. The IRS applies detailed, county-specific expense standards and asset rules that this calculator doesn't fully replicate.

Dealing with more than just tax debt?

Our free assessment can help you understand all your debt relief options, not just IRS debt.

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