Get the free Form 656

This document provides a comprehensive guide for taxpayers to submit an Offer in Compromise (OIC) to the IRS, including eligibility criteria, instructions on filling out the form, and the necessary

How to fill out form 656

How to fill out Form 656

1. Obtain Form 656 from the official USCIS website or local office.
2. Fill in your personal information, including your name, address, and phone number.
3. Indicate the type of application you are submitting (such as a fee waiver or request for a benefit).
4. Sign and date the form in the designated sections at the bottom.
5. Include any required supporting documentation or fees, if applicable.
6. Review the completed form for any errors before submission.
7. Submit the form to the appropriate address as specified in the instructions.

Who needs Form 656?

1. Individuals applying for a waiver of fees associated with immigration forms.
2. Applicants who are unable to pay the required fees due to financial hardship.
3. Those seeking benefits from the U.S. Citizenship and Immigration Services (USCIS) that require Form 656.

People Also Ask about

How much is the fee for form 656?

Form 656(s) – you must submit individual and business tax debt (Corporation/ LLC/ Partnership) on separate Forms 656. $205 application fee (non-refundable). Initial payment (non-refundable) for each Form 656.

What is form 656 used for?

Use Form 656 when applying for an offer in compromise (OIC), which is an agreement between you and the IRS that settles your tax liabilities for less than the full amount that you owe.

Who qualifies for back tax forgiveness?

Qualifications for Tax Relief The IRS ultimately determines whether you qualify for debt forgiveness. However, the agency generally considers taxpayers who meet these criteria: a total tax debt balance of $50,000 or less, and a total income below $100,000 for individuals (or $200,000 for married couples).

What is a 656 form from the IRS?

The Form 656 identifies the tax years and type of tax you would like to compromise. It also identifies your offer amount and the payment terms. Your offer amount must be equal to or greater than the amount calculated in Form 433-A(OIC) or 433-B(OIC).

How much is the fee for Form 656?

Form 656(s) – you must submit individual and business tax debt (Corporation/ LLC/ Partnership) on separate Forms 656. $205 application fee (non-refundable). Initial payment (non-refundable) for each Form 656.

Does an offer in compromise hurt your credit?

An Offer in Compromise (OIC) does not directly impact your credit score, as the IRS does not report OICs to credit bureaus. However, the related processes, such as federal tax liens filed for unpaid taxes, can indirectly affect your credit. Tax liens, which are public records, can significantly lower your score.

For pdfFiller’s FAQs

What is Form 656?

Form 656 is a document used by taxpayers to request an Offer in Compromise (OIC) with the Internal Revenue Service (IRS), allowing them to settle their tax debt for less than the full amount owed.

Who is required to file Form 656?

Individuals or businesses owing federal taxes who are unable to pay the full amount due and wish to settle their tax liabilities for a lower amount are required to file Form 656.

How to fill out Form 656?

To fill out Form 656, taxpayers need to provide their personal information, financial information, details about the tax debts, and select the type of offer they are submitting (such as doubt as to collectibility or doubt as to liability).

What is the purpose of Form 656?

The purpose of Form 656 is to formally submit an Offer in Compromise to the IRS, allowing the taxpayer to negotiate a settlement of their tax debt based on their ability to pay.

What information must be reported on Form 656?

Form 656 requires taxpayers to report personal identification information, financial information including income, expenses, assets, liabilities, and details regarding the tax debt they are seeking to compromise.