Catalog Number 16728N www.irs.gov
Form
656 (Rev. 4-2020)
Page 6
Section 7 (Continued) Offer Terms
l) I will comply with all provisions of the internal revenue laws, including requirements to timely file tax returns and
timely pay taxes for the five year period beginning with the date of acceptance of this offer and ending through the
fifth year, including any extensions to file and pay. I agree to promptly pay any liabilities assessed after
acceptance of this offer for tax years ending prior to acceptance of this offer that were not otherwise identified in
Section 1 or Section 2 of this agreement. I also understand that during the five year period I cannot request an
installment agreement for unpaid taxes incurred before or after the accepted offer. If this is an offer being
submitted for joint tax debt, and one of us does not comply with future obligations, only the non-compliant
taxpayer will be in default of this agreement. An accepted offer will not be defaulted solely due to the assessment
of an individual shared responsibility payment.
I must comply with my future
tax obligations and understand
I remain liable for the full
amount of my tax debt until all
terms and conditions of this
offer have been met.
m) I agree that I will remain liable for the full amount of the tax liability, accrued penalties and interest, until I have
met all of the terms and conditions of this offer. Penalties and interest will continue to accrue until all payment
terms of the offer have been met. If I file for bankruptcy before the terms and conditions of the offer are met, I
agree that the IRS may file a claim for the full amount of the tax liability, accrued penalties and interest, and that
any claim the IRS files in the bankruptcy proceeding will be a tax claim.
n) Once the IRS accepts my offer in writing, I have no right to challenge the tax debt(s) in court or by filing a
refund claim or refund suit for any liability or period listed in Section 1 or Section 2, even if the IRS defaults the
offer.
o) If I fail to meet any of the terms of this offer, the IRS may revoke the certificate of release of federal tax lien and
file a new notice of federal tax lien; levy or sue me to collect any amount ranging from one or more missed
payments to the original amount of the tax debt (less payments made) plus penalties and interest that have
accrued from the time the underlying tax liability arose. The IRS will continue to add interest, as required by
section 6601 of the Internal Revenue Code, on the amount the IRS determines is due after default. Shared
responsibility payments are excluded from levy.
I understand what will happen if
I fail to meet the terms of my
offer (e.g., default).
p) To have my offer considered, I agree to the extension of the time limit provided by law to assess my tax debt
(statutory period of assessment). I agree that the date by which the IRS must assess my tax debt will now be the
date by which my debt must currently be assessed plus the period of time my offer is pending plus one additional
year if the IRS rejects, returns, or terminates my offer or I withdraw it. (Paragraph (j) of this section defines
pending and withdrawal.) I understand that I have the right not to waive the statutory period of assessment or to
limit the waiver to a certain length or certain periods or issues. I understand, however, that the IRS may not
consider my offer if I refuse to waive the statutory period of assessment or if I provide only a limited waiver. I also
understand that the statutory period for collecting my tax debt will be suspended during the time my offer is
pending with the IRS, for 30 days after any rejection of my offer by the IRS, and during the time that any rejection
of my offer is being considered by the Appeals Office.
I agree to waive time limits
provided by law.
q) The IRS may file a Notice of Federal Tax Lien during consideration of the offer or for offers that will be paid
over time. If the offer is accepted, the tax lien(s) for the periods and taxes listed in Section 1 will be released
within 35 days after the payment has been received and verified. The time it takes to transfer funds to the IRS
from commercial institutions varies based on the form of payment. If I have not finished paying my offer amount,
then the IRS may be entitled to any proceeds from the sale of my property. The IRS will not file a Notice of
Federal Tax Lien on any individual shared responsibility debt.
I understand the IRS may file a
Notice of Federal Tax Lien on
my property.
r) I authorize the IRS, to correct any typographical or clerical errors or make minor modifications to my Form 656
that I signed in connection to this offer.
Correction Agreement
s) By authorizing the IRS to contact third parties, I understand that I will not be notified of which third parties the
IRS contacts as part of the offer application process, including tax periods that have not been assessed, as stated
in §7602 (c ) of the Internal Revenue Code. In addition, I authorize the IRS to request a consumer report on me
from a credit bureau.
I authorize the IRS to contact
relevant third parties in order to
process my offer.
t) I understand if the liability sought to be compromised is the joint and individual liability of myself and my co-
obligor(s) and I am submitting this offer to compromise my individual liability only, then if this offer is accepted, it
does not release or discharge my co-obligor(s) from liability. The United States still reserves all rights of collection
against the co-obligor(s).
I am submitting an offer as an
individual for a joint liability.
u) If your offer includes any shared responsibility payment (SRP) amount that you owe for not having minimum
essential health coverage for you and, if applicable, your dependents per Internal Revenue Code Section 5000A
- Individual shared responsibility payment, it is not subject to penalties (except applicable bad check penalty) or to
lien and levy enforcement actions. However, interest will continue to accrue until you pay the total SRP balance
due. We may apply your federal tax refunds to the SRP amount that you owe until it is paid in full.
I understand the IRS Shared
Responsibility Payment (SRP).
v) The IRS is required to make certain information, such as taxpayer name, city/state/zip, liability amount, and
offer terms, available for public inspection and review for one year after the date of offer acceptance.
I understand the IRS is required
to make certain information
public.