Individuals who owe delinquent federal income taxes will now be able to apply online for a payment agreement, the Internal Revenue Service announced.

The Online Payment Agreement application provides another way for citizens who cannot pay in full to voluntarily resolve their tax liabilities by requesting an agreement. IRS Commissioner Mark Everson said that the agency feels some taxpayers may be more comfortable working out their payments online.

Eligible taxpayers, or their authorized representative, will be able to self-qualify, apply for, and receive immediate notification of approval. Taxpayers must have filed all required tax returns in order to use the online application and should also have the following information available:

  • Balance due notice from the IRS;
  • Social Security number or Individual Taxpayer Identification Number; and,
  • A personal identification number, which can be established online using the caller identification number from the balance due notice.

Three payment options -- payment in full, request for a short-term extension, or a monthly payment plan -- will be available when applying online. Information on interest and penalties is detailed on the Web site.Taxpayers can access the application at www.IRS.gov by accessing the pull-down menu under “I need to...” and selecting, “Set Up a Payment Plan.”


Register or login for access to this item and much more

All Accounting Today content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access