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IRS Increases Installment Agreement Fees by 144% - FSI Tax Corp is alerting taxpayers about IRS plans to increase fees on the Installment Agreements, a popular tax debt resolution option
IRS Increases Installment Agreement Fees by 144%

 

PRZOOM - /newswire/ - Columbia, MD, United States, 2006/11/28 - FSI Tax Corp is alerting taxpayers about IRS plans to increase fees on the Installment Agreements, a popular tax debt resolution option.

   
 
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The IRS recently announced its intention to increase Installment Agreement fee amounts from $43 to $105, effective January 1, 2007.

The fee for Installment Agreements paid through direct deposit will increase from $43 to $52; and the fee to restructure or reinstate an existing agreement will increase from $24 to $45. Fee increases also apply to Installment Agreements made through the IRS Online Payment Agreement.

The Installment Agreement is a preferred solution for taxpayers who cannot afford to pay the entire tax bill in one lump sum and are not eligible for an Offer in Compromise.

“Inevitably the fee increases will be difficult for many cash-strapped taxpayers already trying to become compliant with the IRS,” said FSI Tax’s Managing Authorized Taxpayer Representative Michael Smith. “We hope that the spreading out of payments will still counter the fee hikes for taxpayers who choose to use the most common tax solution option available.”

According to the IRS, the fee hikes are the first since the fees were implemented in 1995 and are due to labor increases and other processing costs.

Nearly 2.8 million taxpayers chose Installment Agreements to repay tax debt during the 2006 tax season.

About FSI Tax Corp.

FSI Tax™ (fsitax.com) was established in January of 2004 with a mission to provide top-quality federal tax resolution services to taxpayers seeking compliance with the IRS. For more information about FSI Tax and the services they provide, please call 888-437-4669 or visit the fsitax website.

 
 
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IRS Increases Installment Agreement Fees by 144%

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Contact: Rich Stewart - FSIHolding.com 
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