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Tax Relief Counsel:
IRS Payment Plan & Installment Agreement Lawyer
Tax Relief Counsel is your trusted partner for navigating IRS payment plans and installment agreements in Washington, D.C., and nationwide. Our experienced tax lawyer is here to help you understand the nuances of tax law and find the best solution for your financial situation.
What Are Payment Plans and Installment Agreements?
Payment plans and installment agreements are arrangements between taxpayers and the Internal Revenue Service to settle tax debts over time. Payment plans typically involve monthly payments of the full amount owed, while installment agreements allow for structured payments based on the taxpayer’s financial situation.
What Types of Payment Plans Does the IRS Offer?
To help you tackle your tax challenges, we’ve broken down the payment plans and installment agreements available from the IRS. This insightful table will highlight the methods, costs, and setup specifics of both immediate settlement options and manageable monthly installments.
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Payment Plan
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Description
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Payment Methods
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Costs
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Pay now
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Clear your tax debt in full today
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Direct pay, EFTPS, check, money order, card
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No setup fee online; apply by phone, mail, or in person at no cost
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Short-term payment plan
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Settle your debt within 180 days
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Same as pay now
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No fee online (for individuals); apply by phone, mail, or in person at no cost (up to 180 days)
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Amount owed plus accrued penalties and interest until paid in full
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Long-term payment plan
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Pay in monthly installments
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DDIA, various payment methods
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Option 1: $31 online, $107 by phone, mail, or in person
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Low-income option available with waived setup fees
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Option 2: Setup fees ranging from $130 to $225, plus accrued penalties and interest until paid in full
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Low-Income Setup Fee: $43 online, by phone, or in-person; potentially reimbursed under certain conditions
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Change an existing payment plan
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Go from another payment method to a long-term payment plan
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Direct pay, EFTPS, check, money order, card
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Fees apply when paying by card
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How Do I Qualify for an IRS Payment Plan?
To qualify for an IRS payment plan, you must meet certain criteria:
- Tax Liability: You must owe a certain amount in taxes (generally less than $100,000 for individuals) to be eligible for a streamlined payment plan.
- Filing Status: You must have filed all required tax returns.
- Financial Disclosure: You may need to provide detailed financial information to the IRS to demonstrate your inability to pay the full amount owed immediately.
- Compliance: You must agree to comply with all future tax obligations while the payment plan is in effect.
- Previous Defaults: If you’ve defaulted on previous payment plans, it may affect your eligibility for a new plan.
- Other Debts: Owing other federal debts, such as student loans or child support, could also impact your eligibility.
Tax Relief Counsel can assist you in determining your eligibility for an IRS payment plan by carefully assessing your financial situation and guiding you through the application process. Our experienced team is dedicated to finding the best solution to resolve your tax challenges effectively.
Not Sure About Your Eligibility? Contact Us Today for a Free Case Review!
Our experienced lawyer can help determine your eligibility for a payment plan or installment agreement with a complimentary case review. Reach out today to explore your options.
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Resolve Your Tax Challenges!
Financial relief is within reach. Contact Tax Relief Counsel today to explore your IRS payment plan options.
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Why You Need a Tax Attorney for Payment Plans and Installment Agreements
While the IRS offers payment plans and installment agreements to help taxpayers manage their tax debt, making proper use of these solutions can be difficult without support. Here’s why having a tax attorney on your side can be beneficial.
Legal Knowledge
Seasoned tax attorney Ramy Shabana possesses deep knowledge of tax laws and can ensure compliance and optimal outcomes for clients seeking to enter IRS payment plans or installment agreements.
Negotiation Skills
Our team excels at negotiating with the IRS. We’re confident we can secure favorable terms for a payment plan or installment agreement on your behalf.
Personalized Guidance
Recognizing the uniqueness of each client’s financial situation, we’re prepared to provide tailored guidance to help you navigate IRS procedures effectively.
Protection of Rights
We focus on safeguarding our clients’ rights throughout all interactions with the IRS, promoting fair treatment and mitigating risks during the application process.
Avoidance of Costly Mistakes
By leveraging our unmatched legal acumen, you can sidestep potential pitfalls and mistakes, minimizing the risk of penalties and additional financial burdens.
Peace of Mind
With our capable tax attorney advocating on their behalf, our clients enjoy crucial confidence and peace of mind, knowing their tax matters are being handled competently.
Why Choose
Tax Relief Counsel?
At Tax Relief Counsel, we understand the stress and confusion that come with facing tax challenges. That’s why we take a personalized approach to offer the solutions our clients need for their individual circumstances.
Dependable Guidance
You’ll receive individualized support as we help sort out your situation, with a focus on clarity and practicality throughout the process.
Proactive Solutions
Our tax law professionals know how to anticipate and address common obstacles. We offer proactive strategies to optimize our clients’ tax relief outcomes.
Transparent Communication
Count on open, transparent communication at every step to ensure that you remain informed and empowered throughout your journey to tax resolution.
Worldwide Assistance
Whether you're located in Washington, D.C., or elsewhere, our team is equipped to provide meaningful aid wherever you are, addressing your tax concerns promptly and efficiently.
FAQs
How does the IRS calculate the monthly payment amount for a payment plan?
When calculating payment amounts, the IRS considers various factors, including the total amount owed, the taxpayer’s ability to pay, and the type of payment plan they qualify for.
Generally, the agency will divide the total tax debt by the number of days or months in the repayment period to determine the monthly payment amount. However, if you’re unable to pay the full amount within the standard repayment period, the IRS may consider your financial situation and adjust the monthly payment accordingly.
What happens if I miss a payment under an installment agreement or payment plan?
If you miss a payment on a payment plan or installment agreement, the IRS may declare your account to be in default. Consequences of missing payments may include:
- Assessment of penalties and interest on the outstanding balance.
- Issuance of a notice demanding immediate payment.
- Termination of the installment agreement, resulting in the full amount becoming due immediately.
- Potential enforcement actions, such as wage garnishment, bank levy, or filing a federal tax lien.
It’s essential to communicate with the IRS promptly if you anticipate missing a payment to discuss possible alternatives and avoid any penalties.
Have Questions?
Get a Free Consultation!
Ready to take control of your situation? Tax Relief Counsel is here to help. Fill out the form or call us to arrange a no-cost consultation with our experienced team and start your journey toward tax resolution.