IRS Payment Plans

IRS Payment Plans / Installment Agreements

I RECEIVED A NOTICE DEMANDING PAYMENT! IRS PAYMENT PLANS?

Was the notice a 1058(D.O.), CP501-CP504, etc.?

Follow rules for payment plans! — See More On Payment Plans

I CANNOT AFFORD AN IRS PAYMENT PLANS. CAN’T PAY THE IRS? NO MONEY TO PAY THE IRS?

You may qualify for an offer.

You may qualify for CNC (currently not collectible).

You may qualify for minimum monthly payments (that doesn’t reduce your liability). — See More On Payment Plans

WHAT IS AN IRS INSTALLMENT AGREEMENT?

A payment option for taxpayers who owe back taxes and can’t afford to pay the amount they owe in full. See Owing the IRS.

HOW CAN I SET UP AN INSTALLMENT AGREEMENT WITH THE IRS?

The IRS is interested in collecting money from people who owe back taxes. In requesting an Installment Agreement, fill out Form 9465. Usually, your installment agreement approval depends on the amount of tax you owe and your current financial situation. If you owe more than $50,000, you have to fill out a Collection of Information Statement. See Installment Agreements.

CAN YOU HAVE TWO INSTALLMENT AGREEMENT PLANS? Paying the IRS On Payment Plans.

Yes. — See More On Installment Agreements

WHEN REQUESTING AN INSTALLMENT AGREEMENT, CAN I REFUSE TO DISCLOSE MY FINANCIAL SITUATION?

If you owe less than $50,000, you can negotiate an installment agreement without disclosing your income to the IRS.  If your tax debt is more than $50,000, the IRS requires you to fill out Form 433 A and Form 433 B. These are Collection Information Statements for Individuals and for Businesses. See Payment Plans.

WHAT IF I HAVE AN INSTALLMENT PLAN, BUT I CAN’T PAY MY NEW TAXES?

The agreement will be broken if you don’t pay your new taxes. — See More On Payment Plans

WHICH INSTALLMENT AGREEMENT IS RIGHT FOR ME? WHO CAN I ASK FOR HELP TO SET UP AN INSTALLMENT AGREEMENT?

If you know how much you owe in unpaid taxes, you can request an installment agreement. If you are looking for a lower monthly payment, have a tax advisor make a payment plan proposal to the IRS. A good tax professional can set up an installment agreement for manageable monthly payments. See Payment Plans.

CONDITIONS FOR AN INSTALLMENT AGREEMENT PAYMENT. WHAT ARE THE TERMS OF THE INSTALLMENT AGREEMENT?

You have to file past tax returns. Besides making your payments on time, the IRS wants to see that you file your current tax returns too. See Installment Agreements.

NEGOTIATING AN INSTALLMENT AGREEMENT. WHAT DO I HAVE TO KNOW? HOW TO LOWER YOUR PAYMENT PLANS?

A tax negotiator can help you calculate the monthly payments you can afford to pay for your tax debt and make a proposal to the IRS. See Owing The IRS.

I NEED TO SET UP AN INSTALLMENT AGREEMENT. I CAN’T PAY THE IRS? NO MONEY TO PAY THE IRS?

It’s easy! We can help you, even if you have no money to pay the IRS! Contact Form

See Owing The IRS

CAN THE IRS LEVY MY BANK ACCOUNT OR MY PROPERTY IF I HAVE SET UP AN INSTALLMENT AGREEMENT?

Maybe.  You must not to anything that breaks the agreement.  The IRS will not levy your bank account or your property. See Payment Plans.

CAN THE IRS PUT A TAX LIEN ON MY PROPERTY, IF I HAVE AN INSTALLMENT AGREEMENT AND MAKE MONTHLY PAYMENTS?

To protect their interest the IRS may put a tax lien on your property.

I NEED HELP IN DECLARING MY CURRENT FINANCIAL SITUATION TO THE IRS! WHAT SHOULD I KNOW BEFORE I REPORT MY INCOME?

When analyzing your installment agreement request, the IRS officers will examine the collection information statement you reported.  One of the most common reasons the IRS officers use when rejecting taxpayers’ payment plan, is incomplete or untruthful information.

Don’t hide assets or additional income from the IRS. Sooner or later the IRS will find out and your installment agreement can be revoked. Have a tax advisor help in declaring your income and your expenses. Contact Form

See more on Payment Plans.

WHAT IS A PARTIAL INSTALLMENT AGREEMENT? HOW CAN I QUALIFY FOR A PARTIAL INSTALLMENT AGREEMENT?

The IRS offers a payment option for those taxpayers who can not meet the requirements for a normal installment agreement and prove financial hardship. A partial installment agreement allows individuals who can not pay their tax debt to make monthly payments to the IRS.

In requesting a Partial Installment Agreement with the IRS, fill out form 433-A, Collection of Information Statement for Wage Earners and Self-Employed Individuals. Have your tax negotiator help in calculating the monthly payment amount to offer. Contact Form

See IRS Installment Agreements.

HOW CAN I GET THE IRS TO SAY THAT I AM CURRENTLY NOT COLLECTIBLE?

By supplying a collection information form. — See More On Payment Plans

I CAN’T PAY WHAT I OWE! CAN I SET AN INSTALLMENT AGREEMENT WITH THE IRS?

Yes. Usually the IRS is willing to accept an installment agreement for taxpayers who can not afford to pay their tax debt, in full.

A partial installment agreement is available for those taxpayers who prove financial hardship. They have to make monthly payments, according to their financial ability.

Another payment option to consider is Offer in Compromise. If the IRS accepts your Offer in Compromise, you will reduce your tax liability. See more on Offer In Compromise.

NEED TAX PAYMENT PLAN HELP.

It’s easy! We can help you! Contact Form

See Owing The IRS

HOW CAN I SETTLE MY BACK TAXES FOR THE LOWEST MONTHLY PAYMENTS POSSIBLE?

Have a tax professional help in negotiating an Installment Agreement with the IRS. He will analyze your current financial situation and you both can agree to a manageable monthly payment the IRS may accept. See Payment Plans.

THE IRS REJECTED MY INSTALLMENT AGREEMENT PROPOSAL!  HOW CAN I APPEAL THE IRS DECISION?

In your response to the IRS denial letter, explain the reasons why you should qualify for an Installment agreement. It is best to have a tax advisor when appealing the IRS decision. He can add his tax professional touch to the appeal request. Contact Form

WHY THE IRS REJECTS AN INSTALLMENT AGREEMENT? REASONS FOR INSTALLMENT AGREEMENT REJECTION?

In determining if an installment agreement will be accepted or rejected, the IRS examines the Collection Of Information Statement. The most common reasons for installment agreement denials are: untruthful or incomplete information on Form 433 A, or Form 433 B, or the living expenses you declared are not considered “necessary”. If you have failed to make payments on a prior installment agreement, the IRS officers may hesitate before giving you a positive response. See Installment Agreements.

WILL THE IRS TAKE PAYMENTS?

It depends on the circumstances. — See Owing The IRS

I MISSED A PAYMENT TO THE IRS. IS THE IRS GOING TO REVOKE MY INSTALLMENT AGREEMENT? THE INSTALLMENT AGREEMENT WILL BE TERMINATED?

Usually, the IRS will send you a warning. By law, the IRS is entitled to revoke the installment agreement immediately. The IRS can take collection action against you and put a levy on your account.

NEED PAYMENT PLAN SOLUTIONS.

It’s easy! We can help you! Contact Form

See Owing The IRS

DO I STILL HAVE TO PAY INTEREST AND PENALTIES ON THE AMOUNT UNPAID WITH AN INSTALLMENT AGREEMENT?

The IRS will continue to add interest and penalties for the portion of the tax debt you haven’t paid yet.

WHAT IS THE BEST PAYMENT PLAN IF I OWE MORE THAN $50,000?

Get help from a tax professional and agree over a manageable monthly payment. Contact Form

Make a proposal to the IRS. You will have to fill out a Collection Information Statement, Form 433 A.

  • If you are considering hiring us, call Joe Mastriano, CPA 713-774-4467.
  • Think your IRS matter is handled? Think again!
  • For your analysis, click here to contact us.