Well -- like any Offer in Compromise -- your business will qualify for this procedure if you can clearly demonstrate an inability to pay back the debt! As written on our other blog: Offer in Compromise Rule Changes for 2012 the IRS Offer rules changed dramatically in 2012. The IRS has reduced the disposable income required in an Offer from 48 months to 12 months. These rule changes significantly reduced what you are required to pay in Offer -- if you qualify.
While most 941 payroll tax cases are still resolved thru payment plans and penalty abatements and/or dissolution of your entity, the Offer in Compromise program is increasingly being used as an option for companies that owe 941 taxes.