Am I Eligible to Settle My Tax Debt Using an Installment Agreement?

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To determine whether you can settle your tax debt using an installment agreement, you’ll need to submit Form 9465 with all the required documentation. This form will give you and the IRS what you need to assess your ability to settle your debt in monthly installments.

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The most important thing you should know about settling your tax debt is that you don’t have to pay the IRS in one lump sum. In fact, if you don’t think you can pay off the whole balance in one payment, it’s possible to enter into an installment agreement with the IRS so that you pay smaller amounts over a period of time.

TIP: Keep in mind that if you owe less than $50,000 and file your taxes late, you may be eligible for a new streamlined installment agreement program.

An installment agreement is a payment plan to pay off your tax debt with the IRS. By paying in installments, you will not have to pay a lump sum amount immediately and can make payments that fit into your budget.

You are likely to be eligible if:

* You have a history of timely filing and paying your taxes;

* You have an acceptable reason for not being able to pay your entire tax liability now;

* You can afford to make monthly payments in an amount that will allow you to fully pay your taxes owed with interest and penalties by the extended due date;

* Your current income and expenses allow you to make those monthly payments; and

* Your income is at or below the poverty level.

Are you eligible for an installment agreement? If you owe taxes, there is a good chance that you are.

An installment agreement is a type of payment plan that allows you to pay your taxes over time in manageable monthly payments. This is quite different than the other types of payment plans, such as Offer in Compromise or Voluntary Payment. With either of those, the IRS agrees to accept less than what you actually owe. But with an installment agreement, the IRS agrees to accept monthly payments instead of your entire tax bill.

The first step towards getting an installment agreement approved is to call the 1-800 number on the back of your bill and find out if you are eligible for one. You can also check out this link:

If you have one or more delinquent tax accounts, don’t wait any longer to take care of them. Don’t let tax debt build up and get out of control. Call this number today and set up an appointment to visit your local office and get things resolved today!

The Internal Revenue Service (IRS) has strict rules governing the eligibility of taxpayers to enter into a repayment plan, also known as an installment agreement. If you owe back taxes to the IRS and are having trouble making your payment on time, you may be eligible for a repayment plan.

Am I Eligible for an Installment Agreement?

You may be eligible for an installment agreement if you owe taxes but can’t pay the full amount due with your return. This includes people who are self-employed and people who owe additional taxes after filing their return.

If you are eligible, you will still have to pay interest and penalties on any taxes not paid by April 15. But, you may be able to pay these amounts over time.*

Are You Eligible?

If you received a CP-2000 notice from the IRS, check Box A or B. If you didn’t receive a CP-2000 notice and think that you’re eligible for an installment agreement, check Box C or D.

Taxpayers that fail to report all of their income are not eligible for an installment agreement.

In addition, if your adjusted gross income is above $150,000, there are some restrictions on installment agreements. To find out more, see IRM , Installment Agreements.*

Do You Have More Than One Tax Liability?

If you have more than one outstanding liability with the IRS, such as unpaid taxes with an open IRS audit or a balance due on a prior year tax return, then you may be ineligible

The Internal Revenue Service (IRS) has many responsibilities. One of the most important is collecting and processing the nation’s individual income taxes. The IRS collects more than $2.5 trillion in taxes annually, and handles more than 240 million tax returns each year.

Tens of millions of Americans are required to file tax returns with the IRS every year. Many of these taxpayers receive large refunds or owe the United States money after filing their returns. Whether receiving a large refund or owing money to the government, it is important to understand your options when dealing with the IRS.*

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