Payment Plans and Installment Agreements

Whether you call it an installment agreement, payment agreement or payment plan; the idea is the same — you are requesting to make payments on the taxes you owe. The Internal Revenue Service (IRS) will try to collect all amounts due and as quickly as possible. On the other hand, you may want to keep your hard earned cash and extend the payment of your debt as long as possible. That’s where we come in – to negotiate the BEST payment terms possible for you.

Types of Installment Agreements

When negotiating a payment plan with the IRS, it’s important to know how much you owe and for which tax periods. Similarly, you’ll need to know how much you can afford to pay each month, as the less you’re offering to pay, the longer the time period your payment plan will be.

When You Can Pay in Full

Whenever possible, paying your tax debt now is sometimes your best option as this will usually get you off the IRS radar.  Paying now will also stop the penalties and interest that may apply. In some cases, you simply need representation to get you a little more time.

When You Owe Less than $10,000

Where you owe less than $10,000, getting a monthly payment plan is usually guaranteed. We’ll help you calculate the minimum payment and apply for an optional direct debit of the payment from your bank account. As these are fairly simple cases for us to handle, professional representation is very affordable.

When You Owe Less than $25,000

When you owe less than $25,000, getting structured payment arrangements is also fairly easy and quite affordable. We’ll help you calculate the minimum payment and help you apply for an optional direct debit of the payment from your bank account. You can also pay a far lesser amount where financial hardships are present. As these are fairly simple cases for us to handle, professional representation still remains very affordable.

When You Owe Less Than $50,000

When you owe less than $50,000, you’re generally subject to automatic monthly withdrawals from your bank account. IRS Collection Agents can be fairly aggressive in the collection of your taxes; especially where you have been unresponsive or have the ability to pay your taxes or a large portion of these taxes now.

Professional representation is almost always recommended to gather information, prepare collection information statements and negotiate payment plans you can afford to get you the best possible terms with the IRS.

When You Owe More than $50,000

Taxpayers who owe more than $50,000 are subject to an even greater level of difficulty to obtain a payment plan for taxes they owe and will often find that the IRS will file a federal tax lien to help secure collection efforts. In almost all cases, professional representation will be needed in avoidance of further complications you may encounter.

Taxpayers Who May Never Be Able to Pay Their Taxes

Taxpayers who owe more than $25,000 and may never be able to pay their taxes may be able to settle their taxes for considerably less than the full amount owed. Similar to bankruptcy provisions which give debtors a fresh start, qualifying taxpayers may be able to permanently escape the payment of these taxes.  This benefit, also known as an Offer in Compromise, generally requires the assistance of CPA, with unique qualifications and experience, in the determination of the availability of these relief provisions, other factors of consideration in determining the offer amount, and the structuring of a payment or series of payments necessary to meet these guidelines.

How We Can Help You

Call us today for help to solve your IRS problems.  We can help you to understand your obligations and rights, negotiate settlement terms and provide professional, experienced, knowledgeable representation before the IRS.

  • Get the best payment agreement possible
  • Stop federal tax liens
  • Stop bank levies
  • Stop wage garnishments

Start early! Avoid additional complications. Professional representation is quite affordable. Call for a FREE evaluation on your account. Or complete the “Get Your FREE Tax Evaluation Form” on the top of this page for more information.