Streamlined Installment Agreement
If you owe less than $50,000 in assessed taxes and can pay off your IRS balance within 72 months (or before the collection statute expiration date, whichever is shorter), you can agree to make monthly payments to IRS by entering into a streamlined Installment Agreement.
Advantages of a Streamlined Installment Agreement:
- Easy to obtain
- Require minimal financial disclosure
- Do not require the approval of an IRS manager
- You do not need to liquidate assets
- Avoid the filing of a Federal Tax Lien (if paid through direct debit or payroll deduction)
- Includes balances for both individual income tax and/or Trust Fund Recovery Penalty assessments
To qualify for a Streamlined Installment Agreement, you must:
- have all required tax returns filed
- owe less than $50,000 is assessed taxes
- be able to full pay your tax balance within 72 months or before the collection statute expires
Streamlined Installment Agreement Example:
- $27,000 owed / 72 months = Monthly Payments of $375
- $27,000 owed / 67 months (Collection Statute Expiration) = Monthly Payments of $403