Need Help With Your Business Taxes?

man going through his business tax payment plans

Can I Get Help For Late Business Taxes?

Yes! If your business owes past-due income, payroll, or sales taxes, the IRS and most state revenue departments offer various solutions to help you pay what you owe over time.

Although these options can provide breathing room, each tax agency has its own application process, requirements, and approval criteria. In some cases, you may need to provide financial statements, proof of hardship, or meet specific filing compliance standards. Our experts can help you determine the best solution for your situation and handle the paperwork, so you can focus on getting back to business.

Application & Eligibility Requirements

To qualify for help (IRS or state), you generally must be up-to-date on all your required tax filings. Additionally, you cannot be in an active bankruptcy proceeding or have a pending Offer in Compromise (OIC).

IRS Requirements

The IRS offers long-term assistance for business owners who are unable to pay their tax obligations in full. To apply online, you must owe $25,000 or less (including penalty fees and interest) and have filed all required returns. You’ll need to pay a setup fee (see chart below) and provide the following information:

  • Your employer identification number (EIN)
  • Date the business was established
  • The caller ID from your notice
  • If you have not received a notice or you recently filed, you’ll need to include the balance due from the most recent return, as well as the tax form and tax period for which you filed.

Application Fees

Payment TypeSetup Fee
Direct Debit$22.00
Non-Direct Debit (EFTPS, check, credit card, etc.)$69.00
If you’re applying by phone, mail, or in person, the setup fees increase to $107 for Direct Debit and $178 for all other payment types.

Business owners who owe more than $25,000 may still qualify for help, but the application cannot be processed online. Additional financial documentation, such as balance sheets and income statements, may also be required.

Sole proprietors and independent contractors should apply for assistance as individuals. Although setup fees are the same as a business payment plan, the total debt allowed increases to $50,000 for online applications.

State Payment Solutions

As we mentioned previously, each state has its own application process and eligibility requirements. Here are just a few examples.

StateHow to ApplySetup FeeMax Debt AmountDownpayment Required?Other Details
CaliforniaOnline or by phone$50$25,000NoUp to 12 months to pay the balance
FloridaContact the Department of Revenue and provide financials$0N/A25% of total tax debtUp to 12 months to pay the balance
GeorgiaOnline or by mail$50 – $100N/ANoUp to 60 months to pay the balance
New YorkOnline or by phone$0$20,000Up to 20% of  total tax debtUp to 36 months to pay the balance
PennsylvaniaPhone, email, or fax$0$50,000 (full financial disclosure required for higher amounts)NoUp to 12 months to pay the balance
TexasContact the local comptroller’s field office$0N/ANoPayment plan approval and 1st payment must be received before the delinquency date

To learn more about business payment solutions and requirements in your state, visit its Department of Revenue (DOR) website.

Tax Payment Solutions FAQs