Form 433-A (OIC): Collection Information Statement for Individuals

orm 433-A (OIC) is generally completed by gathering the individual’s financial information, entering personal and employment information, reporting income and expenses, identifying assets and liabilities, completing applicable financial sections, and reviewing the form before submission.

The basic process is to gather current financial records, enter personal information, report employment and income, list expenses, identify assets and liabilities, provide applicable supporting documentation, complete the required certification and signature, and review the completed form before submitting it with the applicable offer in compromise materials. Taxpayers should retain a copy of the completed form and supporting records.

Section 1

Enter the taxpayer’s personal information. This generally includes the individual’s name, address, Social Security number or other taxpayer identification number, marital status, and other applicable information.

The information should generally agree with the taxpayer’s tax and personal records. Taxpayers should review the information carefully before continuing with the financial sections.

Section 2

Enter applicable employment information. This generally includes the taxpayer’s employer, employment status, occupation, and other applicable employment information.

The employment information should generally be current and consistent with the taxpayer’s employment and income records. Supporting employment documentation should generally be retained.

Section 3

Report the taxpayer’s income. This generally includes wages, salaries, self-employment income, retirement income, investment income, and other applicable sources of income.

The amounts reported should generally be supported by pay records, bank statements, business records, tax records, or other applicable documentation. Taxpayers should include applicable income information that is required for the financial statement.

Section 4

Report the taxpayer’s monthly living expenses. This generally includes applicable housing, utilities, transportation, food, health care, insurance, and other household expenses.

The expenses reported should generally be based on the taxpayer’s financial records and applicable circumstances. Taxpayers should maintain records supporting the amounts reported.

Section 5

Report the taxpayer’s bank accounts and other financial accounts. This may include checking accounts, savings accounts, investment accounts, retirement accounts, and other applicable financial accounts.

The account information should generally be accurate and supported by current financial statements or account records. Taxpayers should review balances and account information before submitting the form.

Section 6

Report applicable real estate and other property. This generally includes homes, land, rental property, or other real property owned by the taxpayer.

The taxpayer should generally provide applicable ownership and value information based on available records. Supporting property records, loan information, and other documentation should generally be retained.

Section 7

Report vehicles and other personal assets. This may include automobiles, recreational vehicles, valuable personal property, and other applicable assets.

The information should generally reflect the taxpayer’s applicable ownership and financial records. Taxpayers should review asset information carefully and retain supporting documentation.

Section 8

Report applicable business interests and self-employment information. This may include ownership interests, business assets, business income, business expenses, and other applicable financial information.

Business information should generally be supported by accounting records, financial statements, bank records, tax records, and other applicable documentation. Taxpayers should ensure that personal and business information is properly identified.

Section 9

Report the taxpayer’s liabilities and debts. This generally includes mortgages, vehicle loans, credit accounts, personal loans, tax liabilities, and other applicable obligations.

The amounts reported should generally be supported by current account statements, loan records, and other financial documentation. Taxpayers should review outstanding balances and payment information for accuracy.

Section 10

Review the taxpayer’s overall financial information and applicable calculations. This generally involves considering the taxpayer’s income, expenses, assets, liabilities, and other financial information reported on the form.

The financial information should generally be consistent throughout Form 433-A (OIC) and related offer in compromise documents. Differences between sections or supporting records should be reviewed before submission.

Section 11

Complete the applicable certification and signature information. The taxpayer generally certifies that the financial information provided is accurate and complete to the best of the taxpayer’s knowledge.

The taxpayer should review the entire form before signing. The signature and date should be completed as required before Form 433-A (OIC) is submitted.

Final Review

Review Form 433-A (OIC) after completing all applicable sections. Check the taxpayer information, employment information, income, expenses, bank accounts, investments, real estate, vehicles, other assets, liabilities, financial calculations, supporting records, certification, and signature.

A final review can help identify incorrect or incomplete information before the form is submitted. Taxpayers should retain Form 433-A (OIC), supporting financial records, tax records, bank statements, asset records, liability records, and other documentation associated with the offer.