Stay on Top of your Tax Installments by Filing Form 9465
Form 9465: Installment Agreement Request
The tax season commonly comes to a boil toward the end of winter. As the rush to file tax returns rises, those filing at the last minute are at greater risk of making crucial errors on their tax forms. Filing your W-4 online eliminates the possibility of making mistakes. Even if something unexpected occurs, you may improve your situation using Form 9465.
What is Form 9465?
Form 9465 is officially known as the Installment Agreement Request. It is designed by the Internal Revenue Service for individuals that are unable to pay the full amount owed to the IRS, including penalties and interest amounts from prior year(s). It is also possible to e-file form 9465 online for an outstanding balance below $50,000.
You may also use form 9465 if your 1040 states that you owe income tax, employment taxes or an individually shared responsibility payment. Before you decide to file the Installment Agreement Request, consider other alternatives. Use available credit or get a loan from the bank. If these are not options for you, then complete and file the request.
Are there any Fees for Filing an Installment Agreement?
Note that if your request is approved, you must pay a certain fee:
- $225 or $107 for making payments by direct deposits;
- $149 for setting up a payment agreement online;
- $31 for both setting up an agreement and making payments by direct deposits.
If you need to modify an installment agreement, be ready to pay an $89 fee.
How does Form 9465 Work?
Within 30 days you will be notified whether your request is approved or denied. Requests may take more time to process if you file after March 31st. If the IRS approves your request, they will send your detailed agreement terms and require that fees be paid. The approval of the request means that you can pay the sum you owe in monthly installments. You must agree to pay on time and meet all tax obligations in the future.
How to Fill Form 9465?
The Installment Agreement Request is a two-page form with two parts. The first part of the form asks for the following information: your name, social security number, address, spouse’s name and social security number, name of business, home and work telephone number, employer identification number, name and address of your bank, name and address of your employer, amount you owe to the IRS, amount you can pay each month and the date when you can pay each month. The second part lists various questions for you to answer about your financial and employment status.
Once you’ve filled in the form, check that you’ve provided correct and true information and only then should you submit it to the Internal Revenue Service.