TAX DEBT RELIEF OPTIONS – Oklahoma TAx Commission

M&M Financial has been successfully resolving back tax liabilities for small businesses and individuals in Oklahoma since 2006 and nationwide since 2005.  We deal with the IRS and State taxing authorities, so you do not have to!

Below is some information that will help you start resolving your state tax liabilities.  If you have questions and would like to talk to a licensed Tax Resolution Specialist please do not hesitate to call us at 866-487-5624.


The guidelines are pretty cut and dry when it comes satisfying your tax debt with the Oklahoma Tax Commission (OTC).  The Compliance Division of the Oklahoma Tax Commission will allow a maximum installment agreement term of 12 months.  For taxpayers with a dire financial outlook, longer payment plans may be approved by OTC management, but be prepared to complete financial statement forms supporting your need for extended terms.  

BUSINESS OWNERS – It’s important to know that the OTC may close a noncompliant business if it fails to remit tax due or file a report three times within any consecutive twenty-four-month period.  In summary, OTC does not allow businesses to be habitual back-tax offenders.  

Important:  OTC uses the private collection agencies such as Harris & Harris LTD, Municipal Services Bureau, and Linebarger, Goggan, Blair & Sampson LLC to assist in collection of tax liabilities.  


Offer in Compromise

Oklahoma has a tax liability settlement program similar to the IRS Offer in Compromise.  It’s called the Application for Settlement of Tax Liability.  

Good candidates for this program – 
  • owe individual income tax, 
  • lack equity in assets, and
  • have little or no ability to make monthly payments. 
A business that owes Trust Tax, such as sales tax or withholding tax, is typically NOT a suitable candidate for the Settlement.  The OTC will only consider accepting a settlement on Trust Taxes if you can show that the tax was never collected and that you did not know collection of the tax was required.  Additionally, if your business collected a trust tax but did not pay it, the OTC will not accept any amount less than the tax collected.  We do not recommend the Application for Settlement of Tax Liability for operating businesses.  


The Oklahoma Tax Commission has some flexibility when it comes to back tax liabilities.  Each case varies based on factors such as your compliance history, type of tax owed and total amount past due.  Here are some case examples in your state negotiated by M&M.

page last reviewed 01/15/2024

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