Installment Agreement

One method of tax relief, known as an installment agreement, enables the taxpayer to pay his tax liability in equal monthly payments over a period of time.  The installment agreement payments will be calculated based on the amount of tax the taxpayer owes and how much he is able to pay each month.

The IRS is required under Section 6159 of the Internal Revenue Code to accept an installment agreement if:

  • The amount of tax owed is $10,000 or less;
  • The taxpayer has not failed to file a return, has not failed to pay any tax shown on such return, or has not entered into a prior installment agreement, within the last five years;
  • The IRS has determined that the taxpayer is financially unable to pay the liability in full;
  • The installment agreement will result in full payment of tax liability within three years; and
  • The taxpayer agrees to comply with the requirement of filing returns and making payments while the agreement is in effect.

The IRS has the authority to use its discretion in other circumstances to consider an installment agreement, so if you would like to speak with an experienced Mississippi tax attorney today about your tax relief options, including an installment agreement, contact us at 601-321-1991 today!