- Instructor: Attorney Bob Schaller
- Lectures: 9
- Quizzes: 1
Payment Amounts & Methods.
A taxpayer’s payment obligations in a “routine” installment agreement are based on analysis of collection information statements and supporting documentation provided by the taxpayer. IRM § 188.8.131.52(2) (09-19-2014). This chapter discusses payment obligations in a “routine” installment agreement. Payment obligations are discussed separately in prior chapters relating to Guaranteed, Streamlined, and In-Business Trust Fund Express installment agreements.
The IRS considers two key factors when determining a taxpayer’s payment obligations with a “routine” installment agreement: (a) the taxpayer’s ability to liquidate or borrow against any equity in assets, and (b) the taxpayer’s ability to pay on a monthly basis throughout the agreement term. When reviewing these factors, the IRS considers actions that are least intrusive to the taxpayer and meet the need of the government for efficient tax collection. IRM § 184.108.40.206(2) (09-19-2014).
Liquidating or Borrowing Against Assets to Pay Installment Agreement
Ability to Pay from Monthly Income
One-Year to Modify or Eliminate Expenses
Increasing or Decreasing Payment Amount
Payment Due Date
Direct Debit Payment
Payroll Deduction Payment
Other Payment Methods