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8 Things to Know About IRS Installment Payment Plans

Two male co-workers discuss IRS payment plans in a conference room.

About a month has passed since you and millions of other taxpayers took a sigh of relief and filed your taxes in time for the tax deadline.  Congratulations on avoiding a hefty failure-to-file penalty and getting your taxes done on time.  If you owed money and requested an installment agreement when you filed your taxes, you should receive something in the mail from the IRS soon letting you know whether your request was accepted or not.  The IRS usually takes about 30 days to let you know, but if you filed after March they may take a little longer to let you know.

Here are eight things you should know about installment agreements:

Do you still owe and didn’t request an installment agreement?  Don’t worry, it’s not too late. You can apply for an online installment agreement at IRS.gov if you owe less than $50,000, instead of filing Form 9465.  When you owe, the IRS will also automatically send you your payment plan options in the mail with information on how to apply for an installment agreement.  The key is to go ahead and make the request for the option that is best for you and your finances.  The IRS is willing to work with you.