Through an installment agreement, the IRS permits taxpayers to satisfy tax, interest and penalty obligations over time by making agreed upon monthly payments. Once an installment agreement is established, the IRS is required by law to stop enforced collection activities, such as levies of wages and bank accounts and property seizures. As long as the taxpayer remains current with the payment obligations, and required return filings, the IRS cannot reinstitute enforced collection activities.
Negotiating an installment agreement that the taxpayer is financially able to comply with is often very challenging, and typically requires substantial knowledge regarding tax law and IRS guidelines and regulations. The minimum monthly payment that the IRS will accept can depend upon the application of IRS local and national standards for allowable expenses, and it is these standards that the IRS Revenue Officer will typically use in evaluating an installment offer and proposed payment amount.
If the IRS is demanding full payment or periodic payments that are substantially higher than you can afford to pay, please call Mr. Brown directly at 817.870.0025 or click here to request a consultation. Mr. Brown has substantial experience helping clients negotiate the lowest possible monthly payment with the IRS.
