IRS Installment Agreements
Set up a manageable monthly payment plan with the IRS. From streamlined agreements under $50,000 to complex non-streamlined plans, our enrolled agents handle the entire application process.
What Is an IRS Installment Agreement?
An IRS Installment Agreement (IA) is a formal payment plan that allows you to pay your tax debt over time through monthly payments. The IRS offers several types of installment agreements depending on the amount owed, your financial situation, and your compliance history.
Installment agreements can stop or prevent IRS collection actions like wage garnishment, bank levies, and property seizures. While penalties and interest continue to accrue, the failure-to-pay penalty is reduced while the agreement is active.
Types of Installment Agreements
The right type of agreement depends on your debt amount and financial situation.
Streamlined Installment Agreement
For individual taxpayers owing $50,000 or less. No financial disclosure required. Can be set up online or by phone. Setup fee: $31-$225.
- Debt up to $50,000
- No financial statement needed
- Up to 72 months to pay
- Fastest approval process
Guaranteed Installment Agreement
For taxpayers owing $25,000 or less who can pay in full within 3 years. No financial disclosure required.
- Debt up to $25,000
- No financial statement needed
- Must pay within 3 years
- IRS cannot reject if terms met
Partial Payment Installment Agreement
For taxpayers who cannot pay the full debt within the collection statute. Based on monthly disposable income.
- Based on ability to pay
- Requires detailed financial disclosure
- Debt may be partially settled
- Requires periodic financial review
Non-Streamlined Installment Agreement
For debts over $50,000. Requires detailed financial disclosure (Form 433-F or 433-A).
- Debt over $50,000
- Requires Form 433-F/A
- May require a lien
- Longer approval process
Related Services
Other IRS resolution services you may need.
Installment Agreement FAQ
What is an IRS installment agreement?
An Installment Agreement (IA) is a payment plan with the IRS that allows you to pay your tax debt in monthly installments rather than in a lump sum. The IRS offers several types of agreements based on the amount owed and your financial situation.
What types of IRS installment agreements are available?
Streamlined Installment Agreements for debts under $50,000 with no financial disclosure required. Guaranteed Installment Agreements for debts under $25,000. Partial Payment Installment Agreements based on ability to pay. Non-streamlined agreements for larger debts requiring detailed financial disclosure.
How do I apply for an IRS payment plan?
Applications are made using IRS Form 9465 (Installment Agreement Request) or Form 433-F for certain agreements. The IRS charges a setup fee ranging from $31 to $225 depending on the agreement type and payment method.
Can I get an installment agreement if I already have a tax lien?
Yes. Having a tax lien does not prevent you from getting an installment agreement. In some cases, an installment agreement can help resolve the lien and prevent further collection actions.
What happens if I miss a payment on my installment agreement?
Missing a payment can result in default of the agreement. The IRS may then resume collection actions including levies and wage garnishment. It is important to contact us immediately if you anticipate missing a payment.
Does an installment agreement stop penalties and interest?
No. Penalties and interest continue to accrue on the unpaid balance during the installment agreement. However, the failure-to-pay penalty is reduced from 0.5% to 0.25% per month while the agreement is in effect.
Need a Manageable IRS Payment Plan?
We Can Help Set One Up.
Schedule a consultation to discuss the best installment agreement option for your situation.
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