Making payment arrangements
If you can’t pay your tax bill, you should pay as much as you can and call us at the phone number provided on your bill as soon as possible.
Payment options may be available. See the "Payment plans for individuals" section below.
Methods of payment
We’ll work with you to find the best way to resolve your tax debt. We’ll analyze your ability to pay and consider different methods of payment (such as paying in installments and wage assignments).
- We may ask you to sell or mortgage your assets to secure funds to pay the tax, penalty, and interest.
- We may ask you to secure a commercial loan or pay in full by credit card if we determine that you’re able to.
A benefit of paying your balance in full is that you'll avoid penalties and interest that continue to accrue on your unpaid balance until all tax, penalties, and interest are paid.
Another important benefit of paying your balance in full is that you can avoid the filing of a state tax lien on your property (Notice of Lien). Once filed, a lien will harm your credit rating.
You can pay by personal check, business check, money order, certified funds, credit card, ACH Debit (automatic deduction), ACH Credit, or payroll deduction ("wage assignment") at your place of employment if your employer agrees.
Payment plans for individuals
You may be allowed to enter into an agreement to pay your debt. To request a payment agreement, log into Taxpayer Access Point (TAP) and choose "Request a Payment Plan." (You'll need to register with TAP if you haven't already done so.) You'll be asked to provide financial information. To be eligible, you must:
- Be up to date on filing all other tax returns and payments, and
- Agree to avoid any future tax debts
Payment plans have strict requirements
Special 6-month payment plan:
- Debt must be paid within 6 months
- No lien will be filed. (Note: Once filed, a Notice of Lien will harm your credit rating.)
- You must request the payment plan no later than when you receive your Notice and Demand billing letter. The next step is the filing of the Notice of Lien.
Payment plans extending beyond 6 months:
- Can’t extend longer than 18 months
- May require your payment to be automatically withdrawn from your financial institution
- May require filing a Notice of Lien to secure the state’s interest until final payment is made
- May require you to provide current information on your financial situation to determine any change in your ability to pay
To keep your payment plan:
You must make every payment on time. If you think you’ll be late on a payment, you must let us know immediately. Call the phone number on your bill.
Note: Penalties and interest continue to accrue on all tax debts, including those that are being resolved through payment plans.
Payment plans may be cancelled if you:
- Don’t provide financial information when requested
- Pay late or miss a payment
- Don't file returns and pay taxes on time in the future
If your payment plan is cancelled, we may take Forced Collection Actions.
If you have questions about your payment options, call the phone number on your most recent billing letter or (208) 334-7633.