Austin Tax Blog


If you have an outstanding IRS debt, most people turn to an IRS installment agreement to satisfy the financial obligation.

You can contact the IRS yourself or online and apply for the IRS installment agreement request, but it’s best to communicate with a reputable tax attorney and tax preparation expert to negotiate and make sure the agreement is amicable to each party involved.

An installment agreement is a part of the IRS’ Fresh Start program and designed to work with folks to get back into the federal government’s good graces by cutting people a break for back taxes.

It’s a program that the IRS wants you to take advantage of and a tax preparation consulting firm is the best option to make sure you file for this program appropriately.

What Are the Parameters of an IRS Installment Agreement Request

What Are the Parameters of an IRS Installment Agreement Request?

The basics of this option are pretty straightforward. The first thing to know is you must be current on the current year’s tax returns.

If you owe less than $50,000, a payment plan for 72 months is available by seeking it out. Anything more and you need to negotiate with the IRS.

For businesses, the option is also available. For the self-employed, you have to be up-to-date on your quarterly estimated tax payments. And if you have people working for you, their payroll tax deposits and IRS tax form 941 must be current.

To get an IRS installment agreement request started, you’ll need to have your tax advisor file a Collection Information Statement, or Form 433-A.

You’ll need to come up with a plan that is honest and realistic. Do not propose an IRS installment agreement payment plan too aggressive, because you may not be able to honor it. Besides, this will make it tough to renegotiate if the need arises.

And remember, with your IRS installment agreement balance is factored, your monthly payments must be made on time. That’s why negotiating the payment plan is so important and a trusted tax advisor with knowledge of how these IRS installment agreement requests play out.

As far as the IRS installment agreement payments go, you can use the payment forms the IRS supplies that you can use to     mail in your payment. You can also set up direct payroll deduction or pay using direct debit.

What If the IRS Refuses My IRS Installment Agreement Request?

Don’t panic. The IRS could have thought that your proposal was unrealistic either because of extravagant expenses, incomplete or inaccurate information that you provided or you had not honored a previous IRS installment agreement payment plan.

But we can help you keep negotiating. You can keep appealing until you convince the IRS the deal is worth it.

Again, our team of expert certified public accountants (CPAs), tax attorneys, and IRS tax professionals have the knowledge and experience in filing for installment agreements, so trust our staff to get the job done for you.

Call Us for a Free Consultation to Discuss You r Tax Debt

Call Us for a Free Consultation to Discuss You r Tax Debt

We’ll be happy to work with you to resolve your IRS tax debt.

Our team of dedicated, reliable and experienced tax professionals has your satisfaction as our top priority.

So call us today for a free, no-obligation assessment and consultation, and we’ll help you get the IRS installment agreement that works for you.