How to File a 9465 Installment Agreement Request

When facing a tax bill that cannot be paid in full immediately, taxpayers can request a formal payment plan from the Internal Revenue Service. This is done by filing Form 9465, Installment Agreement Request. This form serves as an official application to make monthly payments towards an outstanding tax liability, providing a path to resolve the debt over time rather than in a single lump sum.

Eligibility for an Installment Agreement

To qualify for a Simple Installment Agreement, the most common type, the IRS has established specific criteria. A primary condition is that the assessed tax balance owed must not exceed $50,000. This amount does not include penalties and interest added after the initial assessment but does include the current year’s tax debt and any outstanding balances from previous years.

Beyond the monetary limit, another requirement is that the taxpayer must have filed all legally required tax returns. The IRS will not enter into a payment arrangement with an individual who is not in compliance with their filing obligations. Before submitting Form 9465, all past-due returns, such as Form 1040, must be submitted and processed to ensure the IRS has an accurate picture of the total liability.

A Simple Installment Agreement provides a longer-term solution, allowing for a repayment period of up to 120 months. If the liability can be paid off within a shorter timeframe, the IRS offers other options. A short-term payment plan may be available for taxpayers who owe less than $100,000 in combined tax, penalties, and interest and can pay the full amount in 180 days or less.

Information and Documentation for Form 9465

To complete Form 9465 accurately, you must provide specific personal and financial information. The official form can be downloaded from the IRS website. You will need to provide your full name as it appears on your tax return, your current mailing address, and your Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN).

You must also indicate the tax year or years for the agreement and the total amount of tax you owe, which can be found on your tax return or an IRS notice. The form requires you to propose a monthly payment amount based on a realistic assessment of what you can afford. You will also need to propose a specific day of the month for the payment to be due.

If you plan to make payments via direct debit from your bank account, which may result in a lower user fee, you must provide your bank account number and routing number on the form.

Submitting Your Request

Once Form 9465 is fully completed, there are two primary methods for submission. The most common approach is to attach the form to the front of your current year’s paper-filed tax return if it shows a balance due. This allows you to file your return and request the payment plan simultaneously, mailing both documents to the designated IRS processing center.

Alternatively, if you have already filed your tax return or are requesting an agreement for a balance on an IRS notice, you can mail Form 9465 by itself. The mailing address for a standalone form depends on where you live. The official instructions for Form 9465 on the IRS website contain a chart listing the correct mailing addresses.

Ensure the form is signed before mailing. If you include an initial payment, it should be a check or money order payable to the “U.S. Treasury,” not cash. For proper credit, write your SSN or ITIN, the tax year, and “Form 9465” on the front of your payment.

After You Submit Form 9465

After the IRS receives your form, it will review the request and notify you by mail of its decision, which can take 30 days or more. The IRS may approve or reject the request, or it may ask for additional financial information before deciding. If your debt is over a certain amount, you may need to submit a Collection Information Statement (Form 433-F).

If your agreement is approved, the IRS will inform you of the terms and add a one-time user fee to your balance. The fee amount varies based on the application method and payment type. Lower fees are available for online applications, direct debit payments, and low-income taxpayers who may qualify for a waiver.

Once an agreement is active, you must make your monthly payments on time and in full. You are also required to stay current with all future tax obligations, including filing all returns on time and paying any new taxes owed. Failing to meet these terms can lead to the termination of the agreement, with the IRS demanding immediate full payment of the remaining balance.