Something to help small businesses that owe payroll taxes – if you owe $25,000 or less, you can apply for an “In-Business Trust Fund Express Installment Agreement”. You need to pay your debt within 2 years (24 monthly payments) and remain in compliance while the agreement is in effect (meaning you need to file all your returns on time & timely pay all federal taxes owed). If you miss a payment, don’t file a tax return, or can’t pay tax owed, the agreement may be dissolved by the IRS.
If you owe more than $25k, you can pay down the amount to get below the $25k limit and then apply for this payment plan. If you owe between $10k and $25k you must allow the IRS to debit a bank account.
To apply, you can fill out Form 9465 or call the IRS at 800-829-4933.
If you need assistance, don’t hesitate to contact me.
Thomas C. Hodge, CPA
The Hodge Group
3040 N. Menard Avenue
Chicago, IL 60634