Video instructions and help with filling out and completing Which Form 2220 Installments

Instructions and Help about Which Form 2220 Installments

So generally speaking millions and millions of people have not paid all the taxes they owe the IRS and they're going to pay those taxes back through monthly installments this is something you need to get permission from the IRS to do and it can be relatively painless and easy or it can be extremely difficult and hard generally speaking the process is as follows as long as you're current with your taxes going forward so from today forward you're paying all of your taxes on time and as long as you file all your missing tax returns you current with all your paperwork the IRS will let you enter into an installment agreement to pay you back your taxes through a monthly payment plan the amount of the payment is going to be determined by them and they're going to base that on a financial analysis in most cases so they're going to look at your they have out standard financial forms that you fill out for this they're going to look at your gross income you're going to have to prove your gross income to them your monthly gross income from that number they're going to subtract your necessary living expenses now the IRS has you can go to their website WWI RS gov and you can look at their standards they have collection standard expenses that they grant to somebody who is delinquent in their taxes so they'll give you so much for housing and utilities so much for food so much for insurance etc so from your gross monthly income you subtract those expenses up to IRS limits they only give you so much for housing they only give you so much for utilities etc that'll leave a monthly surplus number so income minus expenses there's a number of three hundred dollars a month that's the monthly payment about three hundred dollars a month now you can avoid a lot of that if you owe them less than fifty thousand dollars the IRS has a Fresh Start policy they call it a streamlined installment agreement so what you would ask for if your tax bill your total tax bill is less than fifty thousand including interest in penalty you asked them for a streamlined installment agreement and they'll divide your bill by seventy two payments they'll calculate the interest in penalties that are going to accrue over the course of that CentOS 72 months that's six years and they'll give you the monthly number so they'll say are you OS X dollars accruing interest in penalties on that amount we'll add this much to it your payment is $350 a month for 72 months you can afford to do that you can have your streamlined agreement with little or no additional questions asked and then for 72 months you make those payments in Italy you should ask CRS not to record a lien they usually won't in those cases but you just say I would like to streamline installment agreement please don't file a lien against me and if that fits your scenario and that's what you want to do that'll solve your case if you can't afford whatever number they give you on a streamlined agreement or you want more than 50 thousand then you have to do the detailed financial analysis and you have to give them substantiation of that enter an installment agreement make your monthly payments and go on for many many years and it's a very expensive solution but if that's the solution you want that's how you do it bankruptcy offer and compromise currently not collectible will be on future series of videos thank you very much