Policy Statement P-5-89 establishes that offers may be rejected on the basis of public policy if acceptance might in any way be detrimental to the interests of fair tax administration, even though it is shown conclusively that the amount offered is greater than could be collected by any other means, provided no ETA issues exist. A decision to reject an offer for public policy reason(s) should be based on the fact that public reaction to the acceptance of the offer could be so negative as to diminish future voluntary compliance by the general public. Decisions to reject offers for this reason should be rare. Below are some examples of situations that may warrant rejection based on a public policy decision. • The taxpayer has openly encouraged others to refuse to comply with the tax laws. • Indicators exist showing that the financial benefits of a criminal activity are concealed or the criminal activity is continuing. 4. An offer will not be rejected on public policy grounds solely because: • It would generate considerable public interest, some of it critical. • A taxpayer was criminally prosecuted for a tax or non-tax violation. 5. The rejection narrative should discuss the specific public policy issues. 6. Rejections of this type require the approval of the SB/SE Collection, Territory Managers (2nd level) in the field or SB/SE Compliance Services Operations Managers for COIC. Refer to Delegation Order 5-1 for approval authority. See IRM 5.8.6.6.1 (09-23-2008) www.irstaxattorney.com 888-712-7690