How Many Irs Installment Agreements Can I Have

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Are you struggling to pay your taxes on time? Don`t worry, you`re not alone. The Internal Revenue Service (IRS) understands that sometimes taxpayers need more time to pay their taxes. That`s why they offer installment agreements.

An installment agreement allows you to make monthly payments to the IRS until your tax debt is paid in full. But, how many installment agreements can you have at once?

The answer is: it depends.

If you owe less than $10,000 and can pay off your debt within three years, you may be eligible for a streamlined installment agreement. This type of agreement allows you to have only one installment agreement at a time.

However, if you owe more than $10,000 or need longer than three years to pay off your tax debt, you may be required to provide financial statements to the IRS. This is to ensure that all your outstanding tax debts are being addressed, including any penalties and interest that may have accrued.

If you`re approved for a non-streamlined installment agreement, you could have multiple installment agreements in place. However, the IRS may still limit the number of agreements based on your financial situation.

It`s important to note that having multiple installment agreements may not be the best option for everyone. Having more than one agreement means you`ll have more monthly payments to make, making it harder to keep track of all the payments and due dates.

It`s always best to consult with a tax professional or financial advisor to discuss your options and find the best solution for your specific situation.

In conclusion, the number of installment agreements you can have depends on your specific circumstances. If you owe less than $10,000 and can pay off your debt within three years, you may only have one installment agreement at a time. However, if you owe more than $10,000 or need longer than three years to pay off your tax debt, you may be able to have multiple installment agreements based on your financial situation. It`s always best to consult with a professional to determine the best option for you.