IRS Opens Applications for 2027 Compliance Assurance Process for Large Corporations

What Is the Compliance Assurance Process?

The Compliance Assurance Process, or CAP, is a voluntary IRS program launched in 2005. It allows large corporations to work cooperatively with the IRS to identify and resolve potential tax issues before they file their tax returns.

Instead of the traditional after-the-fact audits, CAP uses real-time issue resolution. This transparent interaction provides companies with greater certainty about their tax positions and helps the IRS focus its limited resources more effectively.

Who Can Apply for the 2027 Program?

To be eligible, a corporation must have assets of $10 million or more. It also cannot be under investigation by or in litigation with any government agency that would limit the IRS’s access to current tax records.

In addition, the applicant must meet one of two main requirements. First, it can be a U.S. publicly traded corporation that is legally required to file SEC Forms 10-K (annual reports), 10-Q (quarterly reports), and 8-K (current reports).

Second, it can be a privately held C corporation—including foreign-owned ones—that agrees to provide specific financial documents. These include annual audited financial statements prepared under U.S. Generally Accepted Accounting Principles (GAAP), International Financial Reporting Standards (IFRS), or another IRS-approved method tailored to the taxpayer. The statements must include an unqualified audit opinion from an independent auditor, and the net income or loss must reconcile to Schedule M-3 line 4(a) for worldwide consolidated net income or loss. Quarterly unaudited financial statements are also required.

Key Dates for 2027 CAP Applications

The IRS began accepting applications for the 2027 CAP program on September 8, 2026. Corporations have until October 30, 2026, to submit their applications.

The IRS plans to notify applicants in February 2027 whether they have been accepted into the program.

How to Learn More

Corporations interested in the program should review the official IRS resources for complete details. Highlights and updates specific to the 2027 application period are available, along with general program information and eligibility requirements.

All current details can be found on IRS.gov under the Compliance Assurance Process section. This ensures applicants have the most accurate and up-to-date guidance directly from the agency.

A business with questions about an existing tax debt may be looking for private tax-resolution help rather than information about applying for CAP. Republic Tax Relief describes tax-resolution services for individuals and businesses and advertises a free, no-obligation initial consultation. Readers can contact the firm to ask about suitability, scope and further fees. Its advertised service offer is separate from the IRS application process described here.