Installment Agreements

The Internal Revenue Service knows that not every taxpayer can pay large tax bills upfront. Enrolling in an IRS payment plan can help reduce the risk of IRS collection actions, such as levies, though penalties, interest, and potential lien considerations may still apply. IRS payment plans allow you to pay your tax bill in installments. You can choose a short-term or long-term plan and pay using various methods. You can apply for an online payment agreement on the IRS website. When applying, you will need to provide certain information, including your name, email address, home address, birth date, filing status, Social Security number, and balance due. With most agreements you can pay directly from a checking account or savings account through Direct Pay. You can also play electronically online using the Electronic Federal Tax Payment System (EFTPS). You can also pay by check, money order, or debit/credit card. Please note that fees will apply if you choose to pay by card. Different fees apply based on the type of plan you choose. Short plans of 180 days or less have a $0 set-up fee, but penalties and interest will continue to accrue until the balance is paid in full. Long-term Direct Debit Installment Agreement application fees differ based on how you apply. If you qualify as a low-income taxpayer, your set-up fees may be waived. Whenever you want to change an existing payment plan, such as updating your payment amount, due date, or payment method, you will pay a $10 fee online. When you set up your payment plan, you’ll create an online account with IRS.gov. From there, you can log in via the View Your Account Information page to see your balance. It may take one to three weeks for a recent payment to be credited to your account. If you owe taxes for more than one year, you will see your balances broken down by year. We are here to help you navigate through the installment agreement process. Please call us for an appointment at (631) 585-9698. #taxpayments #installmentplans #irsinstallmentplan #longislandtaxes #ronkonkoma #familyowned #taxservices #taxservicesLI #taxservicesNY