Perhaps you’re having trouble paying off your tax debt. In this situation, you may be able to take advantage of an Offer in Compromise (OIC), a debt settlement process that would allow you to pay less than what you owe in full. And the good news is that you may be able to apply for such an offer for free, according to leading tax audit defense firm TaxAudit.

TaxAudit: Offer in Compromise Application Fees Are Now Waived for Some

The Internal Revenue Service recently increased its fee for applying for an OIC to a total of $205. However, the government will waive your OIC application fee if you fall within the low-income-taxpayer category. This means that your income must be no greater than 250% of America’s federal poverty level.

Taxpayers’ eligibility for this waiver has traditionally been based on their gross incomes each month and their household sizes. However, new legislation provides an extra standard for government officials to use to perform income calculations. Under the law, the government will now take into consideration taxpayers’ adjusted gross incomes from their most recent returns as well.

So, how exactly does an OIC work? This offer is essentially an agreement that you as a taxpayer form with the government to settle any tax debt you have. It is a viable option if you’re having trouble paying your tax debt in full. However, it is just as viable of an option if you’re able to pay your entire tax debt but doing this would cause you financial hardship, according to TaxAudit. To determine if you qualify for an OIC, the government will consider your financial circumstances overall.

Note that if you owe the government taxes, it is critical that you respond to the Internal Revenue Service’s correspondence on time, rather than simply ignoring it. A tax expert can walk you through the process of responding to the Internal Revenue Service and applying for an OIC if this is the best move based on your financial circumstances.