Pennsylvania tax payment plan through myPATH and Revenue

Where 12 months and $50,000 draw the line

Two kinds of plans are available in Pennsylvania. If you owe less than $50,000 and want to pay over less than 12 months, the personal income tax payment plan page describes the standard option. The department’s tax portal, myPATH, lets you set it up online. Your request can also go by email or fax.

Existing plan holders with the department need the extended option instead. So do people with balances above $50,000 or terms beyond 12 months. Contact the department using Form REV-488, the individual version of the Statement of Financial Condition.

Getting your request ready

• File every past return first.
• If you know of a balance that has not reached collections yet, complete Form REV-638 to include it in the same plan.
• When you write, include your full name. You also need the mailing address you have and how many months you want, plus either your Social Security number or Revenue ID.
• Keep your checking account number and routing number at hand.

Do the same rules apply to business taxes?

Mostly, yes. The business tax payment plan page follows the same limits: below 12 months and below $50,000. For an extended business plan, you need Form REV-484. Sole proprietors file it too and this is the business version of the Statement of Financial Condition.

How much interest grows during payments?

Interest is charged each day on the tax you have not paid. The REV-1611 sheet shows a 7% annual rate for 2025 and 2026, which the department applies as a daily rate.

The charge is worked out on unpaid tax for each day it stays unpaid. Paying ahead of the date in your schedule helps, because a smaller balance means less interest.

Garnishment shuts off the payment plan option

Know this Pennsylvania rule above all others. Under Act 46 of 2003, the department may order your employer to withhold part of your gross wages, up to 10%, with no court order. According to the garnishment page, the order comes 30 days or more after the Notice of Intent to Garnish Wages arrives. After the order has been issued, you can no longer choose a payment plan. The garnishment lasts until the debt is paid off completely or until a bankruptcy is filed.

More steps may come after that. The department files a Pennsylvania tax lien with the county Prothonotary, the office that holds court records. Selling a home or applying for a loan makes your debt public and places the state ahead of other creditors. Once your appeal rights are gone and a collection notice has been sent, your case may be handed to a private collection agency.

One budget for two agencies

Your Pennsylvania plan does not cover any IRS installment agreement and each one stands on its own. Each one has its own payment dates and its own rules. The standard state plan is done within a year, so the amount you pay each month is often larger.

Nearby states

• New York
• New Jersey
• Ohio
• West Virginia
• Maryland
• All states