These agreements are easy to set up and are generally not associated with a federal tax privilege. You also don`t need to give financial information to the IRS or sell assets. There are many factors that can affect the type of installment agreement you are eligible for and which one is best for your needs. If you believe you meet the low-income taxpayer requirements but the IRS has not identified you as a low-income taxpayer, please refer to Form 13844: Application for Reduced User Fees for Instalment Agreements PDF for advice. Applicants must file the form with the IRS within 30 days of the date of their installment contract to ask the IRS to reconsider their status. Internal Revenue Service P.O. Box 219236, Stop 5050 Kansas City, MO 64121-9236 If your outstanding balance does not exceed $50,000, you can request a payment plan online instead of filling out Form 9465. To do this, go to IRS.gov/OPA. When you create your installment payment agreement with the OPA app, the usage fees you pay will be lower than normal. If you are unable to pay your balance in full immediately or within 120 days, you may be eligible for a monthly payment plan (including a payout contract). To request a payment plan, use the OPA application, complete Form 9465, Application for a Payment Agreement PDF and send it to us or call the phone numbers listed below. A payment plan allows you to make a series of monthly payments over time. The IRS offers several options for monthly payments: some agreements are easy to request, and others can become a complicated math problem.
More complex agreements mean you have to collect and submit your financial documents. Here, a tax advisor can help you sort through the options and request the payment agreement that`s right for you. If you do not make your payments on time or do not pay a balance due on a subsequent return that you have scheduled, you will be in default with your agreement and we may terminate the contract. Before we terminate the Agreement, you may have the right to appeal under the Collections Appeals Program (ACAN). We may take enforcement action, such as filing. B the filing of an NFTL or IRS direct debit action, to recover all the amount due. To ensure that your payments are made in a timely manner, you should consider them by direct debit. See lines 13a, 13b and 13c later.
With this installment payment agreement, you can normally have expenses through IRS financial standards. This means that your monthly payment may be lower, but you`ll still have to pay all of your taxes within six years or until the collection status expires (whichever happens first). For the construction of a payment contract in instalments, we charge a usage fee. The amount of the usage fee may vary depending on how you use the online payment app and how you want to make your monthly payments. For more information, see the table below….