Landmark Tax Group

IRS Options For Taxpayers Who Pay Late

How Do I Pay Backtaxes to the IRS?

You have several options when it comes to paying overdue taxes. If you need more time, you may qualify for a short-term extension of time to pay or a monthly installment payment agreement. If those options will not work, you may want to consider an Offer in Compromise. Under the IRS OIC program, you may be able to settle your tax debt for less than the full amount owed.

The following options are available to help you pay your tax debt:

1. Fresh Start. If you’re struggling to pay your taxes, the IRS Fresh Start initiative may help you. Fresh Start makes it easier for individual and small business taxpayers to pay back taxes and avoid tax liens. The initiative refers to loosened requirements that make it more favorable for taxpayers seeking IRS tax relief.

2. Electronic Payments. The IRS offers various electronic payment options, such as using a credit or debit card to pay your taxes. These options are convenient, safe and secure. For more information about electronic payments, go to the Electronic Payment Options Home Page or use the new IRS Direct Pay on

3. More time to pay. You may qualify for a short-term agreement to pay your taxes. This may apply if you can fully pay your taxes in 120 days or less. You can request it through calling the IRS at the number listed on the last notice you received or by asking your tax professional for assistance. There is generally no set-up fee for a short-term agreement.

4. Installment Agreement. If you can’t pay what you owe in full and can’t get a loan, you may want to apply for a monthly payment plan – what the IRS calls an Installment Agreement. If you owe $50,000 or less, you may qualify for a Streamlined Installment Agreement without having to submit financial information to the IRS. For more details on IRS payment plans, see our installment agreement page.

5. Offer in Compromise. If you don’t qualify for an installment agreement, you may be eligible for an Offer in Compromise agreement, also known as an IRS tax settlement. By utilizing the OIC program, you may be able to settle your tax debt for less than the full amount owed. For more details on IRS settlements, see our offer-in-compromise page.

See: 11 Tips for Taxpayers Who Owe Money to the IRS

See: How the Taxpayer Advocate Service (TAS) Can Help You

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For immediate assistance with how to pay IRS back taxes, or another tax matter, contact us today at 1-714-382-6780 for a FREE and CONFIDENTIAL consultation with our CPAs and former IRS Agents. 

We look forward to serving you. 

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