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Tax Tips: IRS Installation Payment Plans


Did you know that when financially unable to pay your tax debt immediately, you can make monthly payments through an installment agreement with the IRS? As long as you pay your full debt, you may be able to reduce fees and interest or avoid the fee with setting up the account.

Who can apply for an installation plan online?
  • Those who owe less than $50,000 or less in combined individual income tax, penalties, and interest can apply online
  • Business who owe less than $25,000 in payroll taxes and have filed all required returns
What should you bring to your Denver tax service when setting up an installation plan?
  • An idea of what you can afford each month
  • A copy of your tax returns
  • A checking account number and routing number if you’re setting up automatic withdrawals
Ask your tax professional about making an installment plan as we can usually negotiate a lower monthly payment that fits your budget. If you aren’t accepted for the IRS’s criteria for automatic acceptance of an installment agreement, it gets very complex – the help of a professional tax service is most likely required. Bloch, Rothman & Associates, Ltd. has been helping Denver clients with their IRS collection issues for over 20 years - contact us for more information on IRS collections.