What is an IRS Installment Agreement (IA)?

An IA spreads unpaid tax over monthly payments. Terms vary; this tool uses a 72-month example for estimation only.

What is an Offer in Compromise (OIC)?

An OIC is a settlement where the IRS may accept less than full tax owed when collection is unlikely. Qualification is case-by-case.

Can this estimator be used for filing decisions?

No. This calculator provides a rough estimate. Consult a tax professional and the IRS for exact eligibility and amounts.

Business Tax Payment Plan Estimator

Estimate potential monthly payments under an IRS Installment Agreement or a conservative Offer in Compromise settlement for business tax debts. This estimator provides a quick scenario overview to help business owners explore options when full payment isn\u2019t possible.

Inputs

Enter total tax owed, your typical monthly business income and expenses, and any available assets. Results are heuristic estimates and not official IRS determinations.

Total Tax Owed ($):Monthly Business Income ($):Monthly Business Expenses ($):Available Assets for Collection ($):

About Payment Options

The IRS offers multiple collection alternatives, including Installment Agreements and Offers in Compromise. Eligibility depends on income, expenses, assets, and ability to pay. Use this tool only as a starting point.

Next steps

Gather recent financial statements, bank records, and asset details.
Consult a qualified tax professional to prepare proposals or forms (e.g., Form 9465 for IA, Form 656 for OIC).
Contact the IRS to discuss payment arrangement options and documentation requirements.

Common questions

What is an IRS Installment Agreement (IA)?: An IA spreads unpaid tax over monthly payments. Terms vary; this tool uses a 72-month example for estimation only.
What is an Offer in Compromise (OIC)?: An OIC is a settlement where the IRS may accept less than full tax owed when collection is unlikely. Qualification is case-by-case.
Can this estimator be used for filing decisions?: No. This calculator provides a rough estimate. Consult a tax professional and the IRS for exact eligibility and amounts.