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June 14, 2022
Question

If already had a payment plan set up with the IRS for owed taxes from 2020, I owe more for 2021.Do I have to set up a new payment plan?

  • June 14, 2022
  • 1 reply
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Does existing plan automatically cover the combined balances?

1 reply

Employee
June 14, 2022

You are expected to pay in full every year.  If you can't, you have to ask for a new payment plan for the new amount.  It's not automatic. 

woodgiefaAuthor
June 14, 2022

Thank you! I am still paying on the original plan amount from 2020 and now owe for 2021. When I look at my account on IRS website it shows my total balance of both year's amounts together. I can't see how to start a second plan. When I go into that section it just brings me to my existing plan 

fanfare
Employee
June 15, 2022

 

@woodgiefa 

 

Your 2021 amount you owe is due immediately.

You're supposed to contact the IRS if you can't pay in full your 2021 amount you owe.

IRS will determine whether your payment plan monthly amount can be updated.

 

Payroll withholding or estimated tax payments are supposed to make it so you don't owe the IRS on Tax Day.