The easiest and safest payment method is IRS Direct Pay, available online. Simply log in to your credentials, select „Instalment Payment Agreement“ from the drop-down menu and enter your payment along with your bank account information. You will immediately receive a confirmation number when your transaction is complete. Contact the IRS as soon as possible to avoid possible collection transactions if you know you can`t pay a payment in instalments. The IRS will usually work with you. If the IRS approves your payment plan (instalment payment agreement), one of the following fees will be added to your tax bill. Changes to user charges apply to time contracts entered into on or after April 10, 2018. For individuals, credits over $25,000 must be paid by direct debit. For businesses, assets over $10,000 must be paid by direct debit. If you believe you qualify for low-income taxpayer status, but the IRS has not identified you as a low-income taxpayer, please read Form 13844: Application for Reduced User Fees for Instalment Payment Contracts PDF for a guide. Applicants must submit the form to the IRS within 30 days from the date of their instalment contract to ask the IRS to reconsider their status.
Internal Revenue Service PO Box 219236, Stop 5050 Kansas City, MO 64121-9236 Installment payment agreements by direct debit and salary withdrawal allow you to automatically make one-time payments and reduce the possibility of defaults. These comfortable payment methods also allow you to avoid the time and cost of sending monthly payments. The waiver or refund of user fees applies only to taxpayers with adjusted gross income, as for the last year for which such information is available, at or less than 250% of the current federal poverty line (low-income taxpayers) who enter into long-term payment plans (instalment payment agreements) on or after April 10, 2018. If you are a low-income taxpayer, user fees are waived if you agree to make electronic debits through the conclusion of a debit contract (DDIA). . . .