How to request an IRS payment plan
You can request an IRS payment plan in three ways: online through the IRS website using the Online Payment Agreement tool, by phone at 1-800-829-1040, or by mail using Form 9465 (Installment Agreement Request). The online tool is fastest and gives you an answer within minutes. Phone requests take longer but let you ask questions. Mail takes the longest—typically two to four weeks for a response.
Before you request, know your total tax debt, your filing status, and whether you have filed all required tax returns. The IRS will not set up a plan if you have unfiled returns. You will also need to decide whether you want a short-term extension (up to 180 days to pay in full) or a longer installment agreement (monthly payments over time).
Key Takeaways
- The IRS Online Payment Agreement tool is the fastest way to request a plan and gives you a decision within minutes without calling or mailing forms.
- You must have filed all required tax returns before the IRS will set up any payment plan, even if you cannot pay what you owe.
- A short-term extension lets you pay in full within 180 days with no setup fee, while an installment agreement spreads payments over months or years but includes a setup fee of $31 to $225 depending on your method.
- If you owe less than $2,500, you can use the streamlined installment agreement, which has a lower setup fee and simpler approval process.
- The IRS charges interest and penalties on unpaid taxes while you are on a payment plan, so paying faster reduces what you owe overall.
Using the IRS Online Payment Agreement tool
Go to irs.gov/payments and select "Set Up a Payment Plan." You will need your Social Security number or Individual Taxpayer Identification Number, your filing status, and the tax year you owe for. The tool will ask how much you can pay each month. Answer honestly—the IRS uses this to calculate how long your plan will last.
The system will show you a list of payment plan options based on what you entered. You can choose to pay by direct debit from your bank account (lowest setup fee), credit or debit card (highest fee), or payroll deduction. Once you confirm, the IRS sends you a confirmation number and a payment schedule. You can print it or save it to your phone.
This method works only if you owe $50,000 or less in combined tax, penalties, and interest. If you owe more, you must call or mail Form 9465. The online tool also cannot be used if you are a business owner with unpaid payroll taxes or if you are currently in a collection action.
Requesting by phone
Call the IRS at 1-800-829-1040 during business hours (Monday through Friday, 7 a.m. to 7 p.m. your local time). Have your Social Security number, filing status, and tax return information ready. Tell the representative you want to set up a payment plan and how much you can pay each month.
The representative will review your account, confirm you have filed all required returns, and discuss your options. They will explain the setup fee, the monthly payment amount, and the total time the plan will take. If you agree, they will set it up over the phone and give you a confirmation number. A written agreement will arrive by mail within two weeks.
Phone requests typically take 30 to 45 minutes. Wait times are longest in April and May. If you call during tax season and the wait is long, you can request a callback instead of holding.
Mailing Form 9465
Download Form 9465 from irs.gov or request it by calling 1-800-829-3676. Fill in your name, address, Social Security number, the tax year you owe for, and how much you can pay each month. Attach it to your tax return if you are filing late, or mail it separately to the IRS address shown in the form instructions.
The IRS will process your form and mail you a written agreement. This usually takes two to four weeks. During that time, continue making any payments you can—the IRS will credit them to your account even if your plan is not yet approved.
Use this method if you owe more than $50,000, if you prefer not to use the phone or internet, or if you want a paper record before you agree. You can also mail Form 9465 if the online tool is temporarily unavailable.
Setup fees and monthly payment amounts
The IRS charges a setup fee when you create an installment agreement. The fee depends on how you pay:
| Payment Method | Setup Fee |
|---|---|
| Direct debit from bank account | $31 |
| Credit or debit card | $225 |
| Payroll deduction | $225 |
| Mail or phone payment | $225 |
If you use the streamlined installment agreement (for debts under $2,500), the setup fee is $31 regardless of payment method. The IRS will add the setup fee to your total debt, so you will pay it off over time rather than upfront.
Your monthly payment amount depends on how much you owe and how long you want the plan to last. The IRS will not accept a plan longer than 72 months (six years) unless you owe more than $10,000. If you cannot afford the monthly payment the IRS suggests, ask about a longer plan or a temporary reduction while you get back on your feet.
What happens after you request a plan
Once your plan is approved, the IRS will send you a written agreement showing your monthly payment amount, due date, and the total time the plan will last. Make your first payment by the date shown on the agreement. You can pay online at irs.gov/payments, by phone, by mail, or through payroll deduction if you chose that option.
Interest and penalties continue to accrue on your unpaid balance while you are on the plan. This means your total debt grows slightly each month even as you make payments. Paying faster reduces how much interest you will owe overall. If you get a tax refund while on a payment plan, the IRS will apply it to your debt automatically.
If you miss a payment, the IRS will send you a notice. You have 30 days to make the payment before the plan is cancelled. If the plan is cancelled, you will owe the full remaining balance immediately. Contact the IRS right away if you cannot make a payment—they may be able to adjust your plan or give you a short extension.
Changing or cancelling your payment plan
If your financial situation improves and you can pay faster, you can increase your monthly payment at any time. Call 1-800-829-1040 or log into your IRS account online to request the change. Paying more each month reduces the total interest you will owe.
If your situation gets worse and you cannot afford your current payment, you can request a modification. The IRS may lower your monthly payment and extend the plan, though this will increase your total interest cost. You must request a modification before you miss a payment.
To cancel a plan, contact the IRS by phone or mail. You will then owe the full remaining balance. Cancellation is rare and usually only happens if you want to pay the debt in full or if you are no longer able to make payments and need to explore other options like an Offer in Compromise or Currently Not Collectible status.
Frequently Asked Questions
Can I set up a payment plan if I have not filed my tax return yet?
No. You must file your return before the IRS will set up a payment plan, even if you know you cannot pay. File as soon as you can, then request the plan. If you file late, you will owe failure-to-file penalties on top of the tax itself, but the plan will still cover the full amount.
What if I cannot afford the monthly payment the IRS suggests?
Call 1-800-829-1040 and explain your situation. The IRS can extend your plan to lower the monthly payment, though this increases the total interest you will owe. In rare cases, if you truly cannot pay anything right now, you may be placed in Currently Not Collectible status, which pauses collection temporarily while you get back on your feet.
Do I have to pay the setup fee upfront?
No. The IRS adds the setup fee to your total debt, and you pay it off as part of your monthly payments over time. If you pay by direct debit, the fee is only $31. Credit card and mail payments cost $225.
What if I get a tax refund while on a payment plan?
The IRS will automatically apply your refund to your debt. This reduces your remaining balance and can shorten your plan. You cannot request that they send you the refund instead while you are on an active payment plan.
Can I pay off my plan early without a penalty?
Yes. You can pay off your plan in full at any time without penalty. Paying early saves you money on interest. Contact the IRS to find out your exact payoff amount, which includes any remaining interest and penalties.