Relief options
Compare the paths before focusing on one.
IRS resolution programs solve different problems. This comparison highlights purpose, financial tests, likely outcomes, and important limits—not a guarantee of eligibility.
| Decision factor | Offer in Compromise | Installment Agreement | Currently Not Collectible |
|---|---|---|---|
| Primary purpose | Settle eligible debt for less than the full balance | Pay the balance over time | Temporarily pause collection for hardship |
| Core financial test | Ability to pay and reasonable collection potential | Payment amount, balance, and term rules | Income, allowable expenses, and available equity |
| Typical outcome | Accepted, returned, withdrawn, or rejected | Monthly payment arrangement | Temporary collection hold with periodic review |
| Important limitation | Not everyone qualifies; filing and payment compliance matter | Interest and penalties generally continue | Debt remains and the collection statute continues to matter |