If you're trying to settle a tax debt or stop IRS collections, the agency is going to ask a critical question:

“Can you prove what you can — or can’t — afford to pay?”

To answer that, they’ll often require you to complete Form 433-A, the IRS’s most detailed personal financial disclosure form.

At Summit Tax Relief, we help taxpayers across the U.S. prepare and submit Form 433-A as part of Offers in Compromise, Installment Agreements, Currently Not Collectible status, and levy release requests.



This guide explains everything you need to know about IRS Form 433-A — what’s included, when to use it, and how to avoid costly mistakes.

What Is IRS Form 433-A?

IRS Form 433-A, officially titled “Collection Information Statement for Wage Earners and Self-Employed Individuals,” is a 6-page form used by the IRS to determine your ability to pay back taxes.

It’s required when you:

• Request an Offer in Compromise (OIC)
  
  
• Seek Currently Not Collectible (CNC) status
  
  
• Submit a financial hardship-based Installment Agreement
  
  
• Ask for levy release or prevention

What the IRS Uses It For

The IRS uses Form 433-A to calculate:

• Your monthly disposable income
  
  
• The net equity in your assets
  
  
• Your reasonable collection potential (RCP)
  
  

This determines:



• Whether you qualify for hardship relief
  
  
• How much you can afford to pay monthly
  
  
• What amount you should offer in a settlement

Sections of IRS Form 433-A

Here’s what each section includes:



Section 1: Personal Information

• Name, address, SSN
  
  
• Employment info (for you and your spouse)
  
  

Section 2: Business Information (if self-employed)

• Business name, EIN, address
  
  
• Income, expenses, and banking details
  
  

Section 3: Personal Assets

• Cash on hand, checking/savings balances
  
  
• Retirement accounts, investments
  
  
• Vehicles and real estate
  
  
• Life insurance with cash value
  
  

Section 4: Monthly Income

• Wages, self-employment, Social Security, pensions
  
  
• Unemployment, child support, rental income
  
  

Section 5: Monthly Living Expenses

• Housing, utilities, food, clothing
  
  
• Medical, transportation, child care
  
  
• Taxes, insurance, court-ordered payments
  
  

Section 6: Other Debts

• Credit cards, loans, judgments
  
  

Attachments

You must include:

• Pay stubs
  
  
• Bank statements
  
  
• Mortgage or lease agreements
  
  
• Utility bills
  
  
• Proof of other expenses
  
  

Mistakes to Avoid

Even small errors on Form 433-A can lead to delays or rejection of your resolution request. Common pitfalls:



• Inconsistent data (e.g., income doesn’t match pay stubs)
  
  
• Undocumented expenses
  
  
• Underreported assets (IRS checks!)
  
  
• Omitting required pages
  
  
• Using the wrong form (e.g., using 433-F instead of 433-A for an OIC)
  
  

Real Client Example

Client: Truck driver in Georgia



• Owed $56,000 to the IRS
  
  
• Filed 433-A on their own — IRS rejected OIC due to “missing attachments”
  
  
• Re-engaged with Summit
  
  
• We reviewed, corrected, and resubmitted Form 433-A with full documentation
  
  
• IRS accepted $4,400 settlement under OIC
  
  

How the IRS Uses Form 433-A in Settlements

When you apply for an Offer in Compromise, the IRS calculates your offer minimum using:

[Net Realizable Asset Value] + [Monthly Disposable Income × Multiplier]

• Lump sum offer: × 12
  
  
• Periodic payment offer: × 24
  
  

Example:



• Disposable income: $150
  
  
• Multiplier: 12 → $1,800
  
  
• Net assets: $1,200
  
  
• Minimum offer = $3,000
  
  

Form 433-A is how the IRS calculates these numbers.

Form 433-A vs. 433-F vs. 433-B

Why Work With Summit Tax Relief?

• We build and submit Form 433-A for clients nationwide
  
  
• Our tax strategist is a licensed CPA (services delivered separately via affiliated firm)
  
  
• We handle all supporting documentation and IRS communication
  
  
• Flat-fee pricing — no surprises
  
  
• Same-day Power of Attorney filing to stop collections

Internal Links

• Offer in Compromise Help
  
  
• Stop IRS Collections After Final Notice
  
  
• IRS Wage Garnishment Guide
  
  
• IRS Form 433-B for Businesses
  
  

Call to Action

IRS asking for financials? Don’t guess your way through Form 433-A. Let’s get it done right — and use it to resolve your debt.

📞 Call Summit Tax Relief at (833) 477-4911
📅 Schedule Your Free Strategy Call

FAQ

📣 About the Author

Marc Boulanger, CPA is the founder of Summit Tax Relief LLC, a boutique tax resolution firm based in Oklahoma City, OK and trusted by high-income individuals and business owners across Oklahoma.

He is the author of Oklahoma Taxpayers' Guide: Taking A Stand Against the IRS: A Step-by-Step Plan for Dealing With Tax Collectors and Unfiled Returns Without Going Broke, available now on Amazon. The book offers a step-by-step plan for resolving IRS tax debt without losing your business, your home, or your peace of mind.

With over a decade of experience resolving high-stakes IRS and State tax matters, Marc brings strategic insight to complex cases involving wage garnishments, bank levies, unfiled returns, and six-figure tax debts. He is known for helping clients reduce or eliminate tax liabilities through expertly negotiated settlements and compliance plans.

Marc is a Certified Public Accountant licensed in California and Oklahoma and holds the designation of Certified Tax Representation Consultant. He is a member of the American Society of Tax Problem Solvers (ASTPS) — the national organization founded by the educators and practitioners who have trained thousands of CPAs, EAs, and tax attorneys in IRS representation strategy.

Every case is handled with discretion, proven methodology, and direct CPA-led representation — not call center scripts.

📍 Learn more at www.summittaxrelief.com or call (833) 477-4911.