If you`ve entered into an installment agreement with the IRS to pay off your taxes, but you`re having trouble keeping up with the payments, you may be wondering if it`s possible to suspend your agreement. The good news is that it`s often possible to temporarily halt your installment payments. However, there are certain steps you`ll need to take to do so properly.
1. Review your current agreement
Before you go about suspending your installment agreement, you`ll need to review the terms of your current agreement. Make sure you know how much you owe, how much you`re currently paying each month, and how long you have left on your agreement. You should also check to see if there are any penalties or fees that you`ll be charged for requesting a suspension.
2. Gather documentation
To request a suspension, you`ll need to provide the IRS with documentation to support your request. This might include medical records, proof of unemployment, or other documentation that shows you`re experiencing financial hardship. Be prepared to provide as much information as possible to support your case.
3. Contact the IRS
To request a suspension of your installment agreement, you`ll need to contact the IRS directly. You can do this by phone or by mail. When you call, be prepared to provide your name, social security number, and the details of your installment agreement. You should also be prepared to explain your financial situation and provide any documentation that`s requested.
4. Wait for a response
After you`ve submitted your request, the IRS will review it and make a decision. This can take several weeks, so be patient. If your request is approved, the IRS will suspend your installment agreement for a set period of time. During this time, you won`t be required to make any payments.
5. Get back on track
Once your suspension period is over, you`ll need to resume your installment payments. However, if you`re still struggling to make your payments, you may be able to negotiate a new payment plan with the IRS. You can also consider enlisting the help of a tax professional or financial advisor to help you get back on track.
In summary, suspending an IRS installment agreement is possible, but it requires careful planning and documentation. Be prepared to provide the IRS with evidence of your financial hardship, and be patient while waiting for a response. With a little persistence, you can get the relief you need and get back on track with your tax payments.
