IRS Short Term Payment Plan: 180 Days, No Fee
Penalties grow every month you wait, so call now and a licensed tax pro sets up your 180 days today.
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We answer now, review your IRS balance for free, and start on your plan today.
Who should use the IRS short-term plan?
It fits you if the full amount arrives within six months. The money might come from a bonus, a refund, a home sale or a slow season ending. If you need longer, a long-term monthly plan is the better fit.
Mike owes $7,500 and gets a work bonus in four months. A short-term plan carries him there for about $250 in interest and penalty, with no fee.
Is there a balance limit for 180 days?
Individuals can apply online if they owe less than $100,000 in tax, penalties and interest combined, per the IRS application page. Businesses cannot apply online, so our tax pro sets up business plans by phone.
Searching for an IRS payment plan 120 days long brings you here, because the IRS now offers up to 180 days.
What does the 180-day plan cost?
The setup fee is $0 online and by phone, per the IRS payment plan page. Interest runs at 7% a year.
The late-payment penalty drops to 0.25% a month if you filed on time, per the failure to pay page. That is half the usual 0.5% rate. See the cost on your own balance with the payment plan calculator.
How do you ask for 180 days?
The first step is a call to our licensed tax pro, who sets up the plan with you today. These are the steps the IRS uses.
- Sign in to your IRS Online Account.
- Open the payment plan tool and pick Short-term payment plan.
- Pay the full balance any time before the 180 days run out.
Frequently asked questions
What is a short-term payment plan for the IRS?
It gives you up to 180 days to pay in full. There is no setup fee. Interest and the penalty still add up until you finish.
How much is interest on an IRS short-term payment plan?
It is 7% a year, the same rate as any IRS balance. The late-payment penalty is 0.25% a month if you filed on time.
Can I just send a partial payment to the IRS?
Yes. You can pay any amount at any time through Direct Pay or your online account. A partial payment lowers your balance and interest, but collection letters keep coming until you set up a plan.
What if I can't pay my taxes by April 15th?
File on time anyway, pay what you can, and set up a plan. The late-filing penalty is ten times the late-payment penalty, so filing matters most.
What to do now: lock in your 180 days
Every month without a plan adds a 0.5% penalty on top of 7% interest. Call now and a licensed tax pro reviews your balance for free and sets up your plan today.