IRS Penalty Abatement Reduce Tax Penalties

IRS Payment Plans and Installment Agreements

If you can't pay your back taxes in full but could potentially pay them back over time, you can negotiate a reasonable monthly payment plan with the IRS. Once an IRS Payment Plan (also known as an Installment Agreement) is established, the IRS will not enforce collection action, including the levy of bank accounts or wage garnishments, as long as you remain current with all filing and payment obligations.

The Benefits of Hiring Professional Tax Representation to Negotiate your IRS Payment Plan

Whether the IRS is demanding full payment of back taxes up-front or a payment plan that is substantially higher than what you can afford to pay, we can help you negotiate an affordable IRS payment plan also known as an installment agreement) to pay off your IRS tax debt, so you can finally retire your IRS problems for good.

Working with our team of experienced Certified Tax Resolution Specialist can greatly increase your chances of settling tax debt for less than what you owe, if you qualify under the IRS’ Offer In Compromise Program. We may also be able to work with the IRS to get levies released a lot quicker.

Additionally, we can save you money by negotiating the lowest possible monthly installments with various options for making those payments, including via the Electronic Federal Tax Payment System, direct debit, payroll deduction, credit card, and payment by check or money order. Since the government will not agree to an IRS installment agreement until all necessary tax returns are filed, we can also prepare and file any and all delinquent and unfiled returns to bring you into compliance before arranging an IRS payment plan.

How to Negotiate an IRS Installment Agreement and Set Up a Payment Plan for Your Tax Debt

* If you owe $10,000 or under, and all your returns are filed, and you have not been in trouble with the IRS before, generally, the IRS guarantees to place you in a payment plan as long as you can full pay the amortized balance in 36 months. If this is your situation, you most likely can probably accomplish this yourself without representation.

** If you owe between $10,001 and $24,999, and all your returns are filed, the IRS will negotiate what they consider a "streamline" payment plan. They will negotiate this requiring the minimum amount of financial disclosure by the taxpayer by having the taxpayer complete a 433-F (small case Collection Information Statement)

*** If you owe between $25,000 and $100,000, and all your returns are filed, you are considered in the "Big Leagues" and you WILL require representation. The IRS will demand full financial disclosure via completing a Collection Information Statement called a Form 433-A. They will most likely ask for supporting documentation like bank statements, pay stubs and cancelled checks to validate or prove your income and expenses.

**** If you owe over $100,000, your case will be forwarded to the "large Dollar Unit". This is a nationally centralized special unit of the IRS that only deals with payment plans involving liabilities over $100,000. This is the IRS's most intrusive Collection division. They are brutal here. If you wish to go it alone, without a Certified Tax Resolution Specialist, you WILL get creamed. For example, before they will even entertain negotiating a payment plan, they will require you to exhaust all efforts to liquidate your assets including your home. We deal with this unit every day of the week. We know how to navigate the maze, protocols, laws, etc. so you don't have to lose your home or other assets, but you MUST take the first step and CALL NOW 1-800-TAX-SITE.

What if I Do Not Qualify for an IRS Payment Plan?

If you cannot afford to make monthly payments or do not qualify for an IRS installment agreement, we can help you qualify for another type of tax relief, such as an offer in compromise, abatement of penalties due to reasonable cause, analyzing the statute of limitation to assess and collect, or negotiating that your account be placed in a "currently not collectible" status so that you will not be required to make payments and the IRS will not pursue collection action.

For more information on installment agreements, please call us for a free, confidential consultation. If you are searching for a highly qualified representative to negotiate on your behalf with the IRS or a state tax agency, we offer our services with the highest levels of quality and professionalism. Through our team of expert Certified Tax Resolution Specialists, we will negotiate to setup the lowest possible payment plan or defer collections based on a financial hardship. Whether you owe millions of dollars or only several thousand, we can help you reach a resolution on your back taxes and obtain a fresh start towards financial freedom.

If you feel that you can handle this on you own but perhaps need some guidance, check out our DIY site for the

DIY Abatement of IRS penalties and related interest Guide

If you feel like you’re in over your head and need representation, check out the link below. There you will be able to reach out us for one of our Tax Resolution Specialists to take this burden off your hands

If you would like to engage our services, give us a call at 800-829-7483.

For more information on IRS Payment Plans and Installment Agreement, see Frequently Asked Questions- Installment Agreement