The Devil, Er, IRS, To Pay

In part of its efforts to get more money faster and be more taxpayer-friendly, the IRS has finally brought its Installment Plan Agreement online.

The OIA is not to be confused with the OIC, the Offer in Compromise, which lets you apply to reduce the total tax due because it is not your debt or because you cannot pay. The OIA is a mechanism that allows you to pay the total amount of tax due (including any applicable interest and penalties) over a timeframe agreeable to the IRS.

More importantly, you must be compliant to file the OIA. Compliant means you are up to date on filing and paying all taxes (except, of course, the taxes you are applying for).

The OIA is available to taxpayers who owe $25,000 or less to the IRS. The OIA may be available to taxpayers who owe more, but the IRS will likely require additional financial information filed together with a federal Form 433-F.

Curiously, the OIA is not available 24 hours per day, but only at the following times:
Monday – Friday     6:00 a.m. – 12:30 a.m. Eastern Time
Saturday     6:00 a.m. – 10:00 p.m. Eastern Time
Sunday     4:00 p.m. – 12:00 a.m. (midnight) Eastern Time