What Is an IRS Installment Agreement? An IRS installment agreement is a formal arrangement between a taxpayer and the Internal Revenue Service that allows the taxpayer to pay their tax debt over time through monthly payments rather than in a single lump sum. For individuals and businesses who owe more than they can pay immediately, installment agreements provide a structured, government-sanctioned path to resolving their tax obligations while avoiding the most severe collection actions the IRS can take. Installment agreements are the most commonly used resolution tool in tax controversy. They are available to most taxpayers, can be set up relatively quickly compared to other resolution options, and allow you to maintain control of your finances while satisfying your tax obligations. However, the terms of the agreement—including the monthly payment amount, duration, and financial disclosure requirements—vary significantly depending on the amount owed, the type of tax, and your financial circumstances. At Neil Jesani Tax Resolution, we negotiate installment agreements for individuals and businesses every day. Our team of CPAs, Tax Professionals admitted to federal tax disputes, and Enrolled Agents understands the nuances of each type of agreement and how to structure the most favorable terms for our clients. With over 70 professionals and offices in Miami and Las Vegas, we have the capacity and expertise to handle cases of any size. Call (800) 758-3255 for a free consultation. Types of IRS Installment Agreements The IRS offers several types of installment agreements, each with different eligibility requirements, financial disclosure obligations, and payment structures. Selecting the right type is a strategic decision that can significantly affect your monthly payment amount and overall cost. Guaranteed Installment Agreement A guaranteed installment agreement is available to individual taxpayers who owe $10,000 or less in combined tax, penalties, and interest (excluding amounts on returns not yet...