When we are sure to start a business, we need to prepare anything. It’s not only about the strategy related to business opportunity but also about other important things like tax. You can’t call yourself as a successful entrepreneur when you don’t manage your business well. IRS is the examples that handles these issues. This article will discuss about how to make a payment online to IRS for business installment plan. For those who have payment plan with borrowed taxes, you can go to Internal Revenue Service. But before that, you can look at some advice below how to make a payment online to IRS for business installment plan.
Choose Business Payment Plan
The first thing you have to deal with is about the choice o f business payment plan. There will become options you can choose include long term payment which is suitable for installment plan. As it needs your thinking, you should not choose option which doesn’t weight yourself. Besides, you also need to pay attention about its requirement. You must owe less than $ 25.000 in combined taxed as well as interest and penalties. One more thing, you also should make sure that you have submitted all requested returns. Then you can prepare some things to support your application include Employer Identification Number and address of tax refund.
Knowing the Fee
The second important thing how to make a payment online to IRS for business installment plan is knowing the fee. After you following the requirement, you still make an agreement for both sides. When the IRS approves your payment plan, it will add the fee amount to your tax bill. You must make payment directly from your debit if you owe over $10,000.
Decide the Plan Option
The third step how to make a payment online to IRS for business installment plan is decide the plan option. There are two options to choose which are pay now and long term payment plan. If you choose pay now, there will be $0 setup fee and no future penalties. But it will be paid automatically through your checking account. While if you choose long term plan, there will be two options. Firstly, it requires $31 setup fee through automatic withdrawals if you pay more than 120 days. Secondly, you will spend $149 setup fee for payment more than 120 days with some requirements like fines and accrued interest are paid in full.