An OIC is not without limitations. To qualify, a taxpayer should confirm through extensive monetary paperwork that his/her regular monthly expenditures surpass monthly income, as well as that paying the financial obligation, even throughout time, would certainly trigger severe monetary hardship. In addition, the taxpayer should consent to every one of the IRS' proposed offer terms, such as ending up being certified with all Internal Revenue Service reporting guidelines for a set number of years, or owing the full equilibrium of the original debt plus rate of interest if default takes place.