Paying your taxes in full and on time avoids unnecessary penalties and interest. But if you can’t pay the full amount, here’s an option: You can request a payment agreement. If you owe $50,000 or less in individual income taxes and can pay the full amount within 72 months, you can request a payment agreement online.
There’s no need to call or write the IRS because you make the request directly from your computer. It’s easy, and your personal information is safe and secure. You will get immediate notice of whether the request is approved. And you can even set up a direct debit account which means there are no checks to write and mail and no missed payments that could lead to additional penalties.
To learn more, check out a short instructional video:
When you’re ready, go to IRS.gov – and follow the three easy steps to submit your application.
1. Determine your eligibility
2. Gather your information
3. Submit your application
Here’s a direct link to the site: http://www.irs.gov/Individuals/Online-Payment-Agreement-Application.