The IRS proposes regulations (www.irs.gov/pub/irs-regs/10377702.pdf) that would charge a $150 user fee to many taxpayers seeking an agreement, known as an offer in compromise (OIC), with the IRS to resolve their outstanding tax obligations. (Tax Matters).

The IRS proposes regulations (www.irs.gov/pub/irs-regs/10377702.pdf) that would charge a $150 user fee to many taxpayers seeking an agreement, known as an offer in compromise (OIC), with the IRS to resolve their outstanding tax obligations. The fee would cover the cost of processing such requests. Taxpayers would have to submit the fee, if appropriate, with their OIC application. According to the proposed regulations, the IRS would exempt certain taxpayers from the fee, including those whose income falls below the poverty line, as defined by the Department of Health and Human Services, or those requesting an OIC where the only question is whether the assessed tax was correct. Comments are due February 4.