irs payment plan

In many cases when a taxpayer does not qualify for an Offer in Compromise they can set up a payment plan in which the IRS agrees to take payments on the tax debt of the individual or business. A payment plan is available to most taxpayers who are currently compliant (meaning they are current with all of their tax filings). When setting up a payment plan the IRS will look at the taxpayer’s income versus their expenses and determine what they feel is a reasonable amount for the taxpayer to be able to pay to the IRS each month. Many times there is a vast difference between what the IRS proposes the taxpayer should pay and what the taxpayer thinks can realistically be paid.
This is where the professional at Equity Search can help you. We can work with the IRS on your behalf to negotiate a monthly payment amount that is both reasonable and fair.

For those that owe less than $25,000, a streamline payment plan can be set up with the Internal Revenue Service without having to prove your income versus your expenses. A streamline payment plan can only be done for certain individuals and not all will qualify. Equity Search can advise whether you may qualify for a streamlined payment agreement.

The IRS will usually allow a taxpayer to make payments via direct debit or by sending in a check. While a taxpayer is in a payment plan they must file and pay all taxes as they become due. Should they file a return with a balance owning and not paid the taxpayer will default their payment plan. Equity Search can work with the taxpayer to make sure you stay in compliance with the terms of the agreement.