You receive an IRS notice of deficiency and you cannot pay it in full. You have too many assets and income to qualify for an offer in compromise. The IRS wants you to pay the balance in full. You cannot pay the full amount but you want to take care of this balance due.
Types of Installment Agreements
Installment Agreements on Specified Balance Due Account
Well, the IRS Restructuring Act of 1998 requires the Secretary to grant
an installment agreement, at your request, if: You cannot afford to pay
your tax bill in a short term; Within the previous five years, you have
not failed to file or pay your taxes and have not entered into an installment
agreement; If requested by the Secretary (typically when greater than
$25,000 owed), you (or your representative) submits financial statements,
The Secretary determines that you are unable to pay the tax due in full;
You can fully pay the liability with equal monthly payments within 3 years;
sometimes 5 yrs You agree not to miss any payments over the term of the
payment plan; You pay a fee for applying for the request Now its $43;
All documentation is properly submitted; and You comply with the tax laws
and the terms of the agreement for the period (up to 3 years) that the
agreement is in place. We can assist you in the planning and preparation
of a successful filing.
Income Tax Planning Preparation | Filing of Past Due Tax Returns | Innocent Spouse Relief | Non-Collectable Status Negotiations | Offers in Compromise | Release of Federal Tax Lien | Review Transcript Requests | Wage Levy Release | Discharging Old Taxes in Bankruptcy