IRS Form 433-D walkthrough (Setting up an Installment Agreement)
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- Опубліковано 4 тра 2023
- INSTRUCTIONS TO TAXPAYER
If not already completed by an IRS employee, please fill in the information in the spaces provided on the front of this form for:
• Your name (include spouse’s name if a joint return) and current address; • Your social security number and/or employer identification number
• Your home and work, cell or business telephone numbers;
• The amount you can pay now as a partial payment;
• The amount you can pay each month (or the amount determined by IRS personnel); and
• The date you prefer to make this payment (This must be the same day for each month, from the 1st to the 28th). We must receive your payment by this date.
If you elect the direct debit option, this is the day you want your payment electronically withdrawn from your financial institution account.
Review the terms of this agreement. When you’ve completed this agreement form, please sign and date it. Then, return Part 1 to IRS at the address on the letter that came with it or the address shown in the “For assistance” box on the front of the form.
Terms of this agreement
By completing and submitting this agreement, you (the taxpayer) agree to the following terms:
• This agreement will remain in effect until your liabilities (including penalties and interest) are paid in full, the statutory period for collection has expired, or the agreement is terminated. You will receive a notice from us prior to termination of your agreement.
• You will make each payment so that we (IRS) receive it by the monthly due date stated on the front of this form. If you cannot make a scheduled payment, contact us immediately.
• This agreement is based on your current financial condition. We may modify or terminate the agreement if our information shows that your ability to pay has significantly changed. You must provide updated financial information when requested.
• While this agreement is in effect, you must file all federal tax returns and pay any (federal) taxes you owe on time.
• We will apply your federal tax refunds or overpayments (if any) to the entire amount you owe, including the shared responsibility payment under the Affordable Care Act, until it is fully paid or the statutory period for collection has expired.
• You must pay a $225 user fee, which we have authority to deduct from your first payment(s) ($107 for Direct Debit). For low-income taxpayers (at or below 250% of Federal poverty guidelines), the user fee is reduced to $43. The reduced user fee will be waived if you agree to make electronic payments through a debit instrument by providing your banking information in the Direct Debit section of this Form.
For low-income taxpayers, unable to make electronic
payments through a debit instrument, the reduced user fee will be reimbursed upon completion of the installment agreement.
• If you default on your installment agreement, you must pay a $89 reinstatement fee if we reinstate the agreement. For low-income taxpayers (at or below 250% of Federal poverty guidelines), the reinstatement
fee is reduced to $43. The reduced reinstatement fee will be waived if you agree to make electronic payments through a debit instrument. For low-income taxpayers, unable to make electronic payments through a debit instrument, the reduced reinstatement fee will be reimbursed upon completion of the installment agreement.
• We will apply all payments on this agreement in the best interests of the United States. Generally we will apply the payment to the oldest collection statute, which is normally the oldest tax year or period.
• We can terminate your installment agreement if:
• You do not make monthly installment payments as agreed.
• You do not pay any other federal tax debt when due.
• You do not provide financial information when requested.
• If we terminate your agreement, we may collect the entire amount you owe, EXCEPT the Individual Shared Responsibility Payment under the Affordable Care Act, by levy on your income, bank accounts or other assets, or by seizing your property.
• We may terminate this agreement at any time if we find that collection of the tax is in jeopardy.
• This agreement may require managerial approval. We’ll notify you when we approve or don’t approve the agreement.
• We may file a Notice of Federal Tax Lien if one has not been filed previously, but we will not file a Notice of Federal Tax Lien with respect to the individual shared responsibility payment under the Affordable Care Act.
• You authorize the IRS to contact third parties and to disclose your tax information to third parties in order to process and administer this agreement over its duration.
I was going to call you to do my agreement but I guess now I don't have to. Thanks!
Thank you for your help😊
You're welcome 😊
Thank you so much for the very helpful information. The IRS doesn't make it easy. By design I assume
Glad it was helpful!
Why are 2 separate form 433-D sent to me fill out
Can I use 433-d to update the existing payment plan? I need to update my Checking account I tried to do it online and it said this
According to our records, you have established or changed your payment plan (installment agreement) within the last 180 days. At this time, you are unable to revise your current payment plan (installment agreement).
I would definitely NOT make any changes to the existing payment plan without talking to the IRS first. The form instructions explicitly asks taxpayers to contact the IRS if they have concerns about making the next payment or if they need to make changes. You should call one of these phone numbers (from the form):
1-800-829-3903 (Individual - Self-Employed/Business Owners, Businesses), or
1-800-829-7650 (Individuals - Wage Earners)
What if you already have an installment agreement from a previous year, do you include that amount plus the new amount in monthly agreement section?
If you have an existing agreement, I believe the IRS website encourages you to try to revise your agreement online with your new payment amount: www.irs.gov/payments/payment-plans-installment-agreements#reviseplan
If, for some reason, you're not able to revise your current agreement online, you might need to complete IRS Form 9465 to request a new agreement. As part of this, you might be requested to provide additional information on IRS Form 433-F, Collection Information Statement:
IRS Form 9465, Installment Agreement Request
Article: www.teachmepersonalfinance.com/irs-form-9465-instructions/
Video: ua-cam.com/video/NeWpCH_IYHs/v-deo.html
IRS Form 433-F, Collection Information Statement
Article: www.teachmepersonalfinance.com/irs-form-433-f-instructions/
Video: ua-cam.com/video/aTYfQvQliWw/v-deo.html
@@teachmepersonalfinance2169 ok thanks
Where do you put the confirmation number the irs gave me on the phone when setting this up?
There's no reference in the form instructions to a confirmation number, nor is there any field in the form about a confirmation number.
But when I dug into this, I believe you might have been given a confirmation number if you made a payment over the phone. If that's the case, then the confirmation number wouldn't go into the Form 433-D. It would simply be a reference where you can verify your payment within the IRS records: directpay.irs.gov/directpay/paymentManager?execution=e1s1
where does one mail the completed form? I'm finding all sorts of conflicting mailing addresses online.
This is tricky, since there is a lot of conflicting information. In these situations, I always try to find a direct reference on the form or form instructions.
In this case, the Instructions to Taxpayer section (back of the form) contains the following guidance:
When you’ve completed this agreement form, please sign and date it. Then, return Part 1 to IRS at the address on the letter that came with it or the address shown in the “For assistance” box on the front of the form.
If you don't have the letter, and there is no address indicated in the box, then I would suggest calling the 800 number in that assistance box (depending on whether you're a wage earner or self-employed/business owner) for additional guidance for your tax situation.
Why was 2 separate form 433-D sent to me to fill out and thanks for helping me
I believe that the IRS is simply trying to make sure that this isn't an obstacle in the case you're trying to set up an installment agreement. You should only have to complete this one time.
Were do we send it too?
Good question. If you received a notice, you should send the completed form to the address listed in the notice.
If not, you may need to call the toll-free number to ask for the address (the instructions state that you should mail to the address in this field, but it does not appear to contain an address).
@@teachmepersonalfinance2169 hi, When I spoke to someone they gave me a phone number to call to get a fax number. It’s so hard to get through. By any chance do you have that fax number?
@@ShareBear8583 I don't have the number, and I wasn't able to find anywhere on the IRS website with that number.
Some online searches revealed the following: 855-215-1627, which I believe is a fax number for the IRS office in Cincinnati. However, this appears to be for a different tax form, so I'm not sure.
As difficult as it might be, you might need to call the 800 number (again) that was listed on the form: 1-800-829-7650.