Tax Installment Agreement
An IRS Tax Installment Agreement is a payment plan that allows a taxpayer to pay their tax debt in installments, rather than in a single lump sum. This type of agreement can be useful for taxpayers who cannot pay their tax debt in full and need time to pay it off. The IRS code for Tax Installment Agreements can be found in section 6159 of the Internal Revenue Code (IRC).
The process for obtaining an IRS Tax Installment Agreement involves completing and submitting Form 9465, Installment Agreement Request. This form can be submitted online or by mail, and it must be accompanied by financial information showing the taxpayer's ability to pay the tax debt. The IRS will review the request and financial information and determine whether the taxpayer is eligible for an installment agreement. If the taxpayer is eligible, the IRS will send a notice of acceptance and specify the terms of the agreement, including the amount of the monthly payment and the length of the agreement.
Tax Installment Agreement: What It Is and How It Can Help You Resolve Your Tax Debt
Are you struggling to pay your tax debt? If so, you may be wondering what options you have for resolving your tax debt. One option that may be available to you is a tax installment agreement. In this article, we'll take a closer look at what a tax installment agreement is, how it works, and how it can help you resolve your tax debt.
What is a Tax Installment Agreement?
A tax installment agreement is an agreement between a taxpayer and the IRS to pay off their tax debt over time. This agreement allows the taxpayer to make monthly payments towards their tax debt, rather than having to pay the full amount all at once.
The IRS offers several different types of installment agreements, including:
- Guaranteed Installment Agreements: For taxpayers who owe $10,000 or less and can pay off their tax debt within 3 years.
- Streamlined Installment Agreements: For taxpayers who owe between $10,000 and $50,000 and can pay off their tax debt within 6 years.
- Partial Payment Installment Agreements: For taxpayers who can't afford to pay their full tax debt but can make monthly payments towards it.
- Non-Streamlined Installment Agreements: For taxpayers who owe more than $50,000 and can't pay off their tax debt within 6 years.
How Does a Tax Installment Agreement Work?
To apply for a tax installment agreement, you'll need to fill out IRS Form 9465, Installment Agreement Request. You'll also need to provide financial information to the IRS, such as your income, expenses, and assets.
Once you've submitted your application, the IRS will review it and determine whether you're eligible for an installment agreement. If you are, they'll send you a payment plan proposal, which will outline the terms of your agreement, including the amount you'll need to pay each month, the length of the agreement, and any fees or penalties you'll need to pay.
If you accept the payment plan proposal, you'll need to make your monthly payments on time and in full. If you miss a payment, the IRS may terminate your installment agreement and take enforcement action against you.
How Can a Tax Installment Agreement Help You?
A tax installment agreement can help you resolve your tax debt by allowing you to pay it off over time, rather than having to pay the full amount all at once. This can make it easier to manage your finances and avoid financial hardship.
In addition, a tax installment agreement can help you avoid enforcement action by the IRS, such as wage garnishment or bank levy. If you're in danger of having your wages garnished or your bank account levied, a tax installment agreement can provide you with the relief you need.
How Can Carr Law Firm Help You with Your Tax Installment Agreement?
If you're considering a tax installment agreement, Carr Law Firm can help. With over 25 years of legal experience and a founding attorney, Nathan E. Carr, who has a Master Degree in Taxation, we have the knowledge and expertise to help you navigate the tax code and find the best solution for your tax debt. We can help you determine whether you're eligible for a tax installment agreement and guide you through the application process.
We can also negotiate with the IRS on your behalf to ensure that you get the best possible terms for your agreement. If you're struggling with tax debt, don't wait. Contact Carr Law Firm today to schedule a consultation and find out how we can help you resolve your tax debt and get your finances back on track.
Arizona Tax Law Representation
If you're dealing with tax debt in Arizona, it's important to have representation from an attorney who is familiar with Arizona tax law. At Carr Law Firm, we have extensive experience representing clients in Maricopa County and throughout the Phoenix Metro Area in all areas of tax law, including tax debt resolution, tax planning, and tax controversy.
We are committed to providing our clients with the highest level of legal representation and customer service. We understand that dealing with tax debt can be stressful and overwhelming, and we're here to help you navigate the complex tax code and find a solution that works for you.
To learn more about our tax resolution services contact us directly to schedule a consultation with one of our experienced tax attorneys.
Conclusion
If you're struggling with tax debt, a tax installment agreement may be a viable option for resolving your debt and avoiding enforcement action. At Carr Law Firm, we have the knowledge and experience to help you navigate the tax code and find the best solution for your needs. Contact us today to schedule a consultation and learn more about how we can help you with your tax debt.