08/19/2026
For those of us doing tax resolution work, these Offer in Compromise acceptance numbers are worth paying attention to.
2023: 42.14%
2024: 21.43%
2025: 14.08%
That is a very sharp drop in acceptance rates over a short period of time.
OIC should not be treated as a default resolution strategy. Client expectations need to be managed early. The financial analysis has to be done carefully before the offer is ever submitted.
And more than ever, practitioners need to be realistic about what the IRS will view as reasonable collection potential.
A lot of taxpayers come in believing OIC is the solution because they heard the IRS settles for pennies on the dollar. But with acceptance rates moving in this direction, submitting weak or marginal offers can waste time, delay better alternatives, and create false hope.
It also raises a broader practice question: are we seeing tougher IRS review standards, better screening by practitioners before submission, or simply a larger volume of non-qualifying offers being filed?
Curious whether others in the group are seeing the same trend in actual casework.
