Why are you receiving this letter?
You received this Notice because you have entered into an installment agreement with the IRS to pay off your tax balance. The purpose of this letter is to detail the payments made to date.
The IRS will include a page titled Installment Agreement Activity, which sometimes confuses taxpayers. The confusing comes from the “penalty added” and “interest added” columns.
The amounts reported actually show the total amount of penalties and interest ( not yearly) added since the tax return was filed. This is a standing balance that will increase slightly every year.
What should you do about this notice?
Read your notice carefully. It provides a history of the payments made to the IRS for the past year.
If you made payments and do not see them, contact the IRS to provide proof of payment.
What if I can no longer pay my installment payments?
If you can’t pay the balance, don’t worry- EVERY case has a solution. The IRS offers a number of solutions such as CNC Status to help resolve your tax issues. Some of these programs, such as Offer in Compromise and penalty abatement, have the potential to decrease the taxes owed.
Don’t face your tax problems alone, tax Resolutions cases, can be extremely complex, and a licensed tax professional, can help you find the most appropriate solution to your tax problem.
Call Alana Tax group, and we will immediately protect you from the IRS and take over all communication.
