IRS Form 9465: Installment Agreement Request

Every year, thousands of taxpayers get a notice from the IRS with a balance they simply can’t pay in full. The stress builds quickly when late-payment penalties start adding up, interest grows, and letters keep arriving. If you can’t pay your full tax bill today, you can ask the IRS for a monthly plan. That plan starts with Form 9465. 

In this blog, we will explain who should use the 9465 IRS form, how to fill it out step by step, the fees involved, and even where to send it so your request doesn’t get delayed. If you’re looking for a clear, no-nonsense guide, this is exactly where you need to be.

Using Form 9465 to Apply for a Payment Plan on Back Taxes

You use Form 9465 to ask for a payment plan when you can’t pay the full balance shown on your tax return or on an IRS notice. The IRS calls this a monthly installment agreement. 

• If you owe $50,000 or less, you can often apply online using the Online Payment Agreement (OPA). This is cheaper and faster than mailing a paper IRS Form 9465.
• If you can pay your balance in 180 days or less, you don’t even need this form. Instead, you can ask for a short-term payment plan by phone or online. That option has no setup fee.
• If you can’t pay in 180 days, use IRS Form 9465 or apply online for an installment plan.

When your plan is approved, the IRS sends you:

• The payment amount,
• Your monthly due date, and
• Instructions if you choose direct debit.

You’ll also get a yearly statement showing your starting balance, what you paid, and what’s left. Even on a plan, the IRS keeps charging interest and late-payment penalties until your balance is zero. And any refund you’re due will be applied straight to what you owe.

Who Should Use Form 9465?

You should file Form 9465 if:

• You owe income tax from Form 1040 or 1040-SR.
• You owe a trust fund recovery penalty.
• You owe old employment taxes from a sole proprietorship that’s now closed.
• You owe the Affordable Care Act shared responsibility payment (for months before 2019).

You should not file an installment agreement form if:

• You can pay in full within 180 days.
• You want to apply online for a cheaper fee.
• Your business is still active and owes current payroll or unemployment taxes (you must call the number on your notice).
• You are in bankruptcy or already have a pending/accepted Offer in Compromise with the IRS. In these cases, you must call the IRS directly.

Form 9465 Part I: Installment Agreement Request

This is the main part of your IRS installment agreement request. It’s where you tell the IRS who you are, what you owe, and how much you can pay each month.

Personal Information (Lines 1–4)

• Write your name, address, and SSN exactly as they appear on your tax return (line 1a).
• If you have a foreign address, follow the special format given in the instructions for Form 9465.

Balance Owed (Lines 5–9)

• Line 5: Enter what your return or notice shows.
• Line 6: Add any other balances you owe.
• Line 7: Combine lines 5 and 6.
• Line 8: If possible, send a payment with the form. This cuts your balance right away and reduces interest.
• Line 9: Subtract line 8 from line 7. This is your balance due.

If mailing IRS Form 9465 by itself, make your check payable to the United States Treasury. Write your SSN, the tax year, and “Form 9465” on it.

The 72-Month Rule (Line 10)

• Divide line 9 (your balance) by 72.
• Write that amount on line 10.
• This is the IRS’s guide for “reasonable” monthly payments.

Proposed Monthly Payment (Lines 11a–11b)

• On line 11a, write the monthly payment you can make.
• If you leave it blank, the IRS may divide your balance by 72 and set that as your payment.
• If your payment is lower than line 10’s amount, either:
  • Increase it on line 11b, or

Attach Form 433-F (Collection Information Statement).

This step is critical. Many requests are delayed because people offer too little on line 11a.

Payment Due Date (Line 12)

• Choose your due date (between the 1st and the 28th).
• Pick a date that matches your paycheck schedule.
• Don’t pick a date later than the 28th; it won’t be accepted.

Payment Method: Direct Debit (Lines 13a–13c)

• Lines 13a and 13b: Enter your bank routing and account numbers if you want direct debit.
• Direct debit lowers the risk of missing payments.
• If you owe between $25,001 and $50,000, direct debit (or payroll deduction) is required for a streamlined plan.
• Line 13c: If you qualify as low income and can’t set up direct debit, check the box for reimbursement of the reduced $43 fee after your plan ends.

Payment Method: Payroll Deduction (Line 14)

• Check this if you want payments taken directly from your paycheck.
• You must also attach Form 2159, Payroll Deduction Agreement.
• This can be useful if your income is steady and you prefer payments handled automatically

Minimum Monthly Payment for IRS Installment Agreement

The “minimum payment” the IRS will accept is

• Start with the 72-month rule: take your balance from line 9 and divide by 72.
• That number (line 10) is the baseline the IRS uses.
• Your payment on line 11a should be at least that much.

If you offer less:

• Increase it on line 11b, or
• Attach Form 433-F so the IRS can review your finances.

Types of Plans

• Guaranteed Agreement: If you owe $10,000 or less, you can get a guaranteed plan. You must pay within 3 years and stay current on future taxes.
• Streamlined Agreement: For balances up to $50,000, usually over 72 months or until the collection period runs out. If you owe $25,001–$50,000, you must pay by direct debit or payroll deduction.
• Partial Payment Agreement: If you cannot pay in full before the collection period ends, the IRS may approve a partial-pay plan after reviewing your budget.

The IRS may file a Notice of Federal Tax Lien. For guaranteed and streamlined agreements, it usually does not, but it can in some cases. You have appeal rights if that happens.

Form 9465 Part II: Additional Information

Not everyone has to fill out Part II of Form 9465. This section only applies if:

• You defaulted on a previous plan in the last 12 months.
• You owe more than $25,000 but not over $50,000.
• Your proposed monthly payment on line 11a or 11b is less than the 72-month number from line 10.

If all three apply, you must complete Part II.

What Part II Asks For

• Household information: Number of people in your home.
• Pay cycle: Weekly, biweekly, semi-monthly, or monthly.
• Take-home pay: Your net pay after withholdings.
• Spouse income: If filing jointly or relevant to your case.
• Expenses: Health insurance, child support, alimony, and other court-ordered payments.
• Assets: Cars, savings, or anything that could affect your ability to pay.

If you owe over $50,000, you must also attach Form 433-F, Collection Information Statement, along with the 9465 IRS form.

Thousands lose approval each year over simple errors. Don’t be one of them. → Book a call and we’ll help you file it right the first time.

Payments through Payroll Deduction

Payroll deduction is another way to stay current.

• If you want this option, check line 14 and attach Form 2159, Payroll Deduction Agreement.
• Your employer will send a portion of your paycheck straight to the IRS.
• This method reduces the chance of missed payments.

Payroll Deduction Fee

• The user fee for payroll deduction is $178 as of July 1, 2024.
• Low-income filers may qualify for reduced or waived fees.

This option works best for people with steady wages who don’t want to manage monthly payments on their own.

User Fee with Form 9465

The IRS charges a setup fee for installment agreements. The fee depends on how you apply and how you pay.

As of July 1, 2024:

• Online + Direct Debit: $22
• Online + Check/Money Order/Card: $69
• Paper + Direct Debit: $107
• Paper + Other Methods: $178
• Reinstate or Restructure Online: $10

Low-Income Relief

• If you qualify as low income and use direct debit, the fee is waived.
• If you can’t use direct debit, the IRS will reimburse the reduced $43 fee after your plan ends.

Even on a plan, you’ll still pay interest and IRS penalties until your full balance is paid off.

Where to Send Form 9465 and How to File?

• If filing with your tax return: Attach it to the front of your return and mail the package to the address listed in your return’s instructions.
• If filing by itself: Mail Form 9465 to the IRS Service Center address for your state.

The July 2024 instructions give a detailed table with addresses such as:

• Kansas City, MO
• Ogden, UT
• Memphis, TN
• Philadelphia, PA
• Holtsville, NY
• And Austin, TX (for overseas or U.S. territories).

Always check the current instructions for Form 9465 for the correct address. If your address is new, check line 1b. For an official update across your records, file an IRS address change.

Common Mistakes That Delay Approval

Many plans are delayed because taxpayers:

• Offer too little on line 11a without raising it on 11b or attaching Form 433-F.
• Forget to attach Form 2159 when selecting payroll deduction on line 14.
• Leave line 12 (due date) blank or pick a date after the 28th.
• Have unfiled tax returns, which block approval.

To avoid delays, follow the IRS tax form 9465 instructions step by step, pay as much as possible on line 8, and match your payment to the line 10 guide when you can.

Secure Your IRS Plan with Hopkins CPA Firm

Form 9465 gives you a way to turn a large balance into smaller monthly payments that fit your budget. The truth is, you don’t just need the form; you need a strategy, and that’s where Hopkins CPA Firm makes the difference.

We go beyond filling out IRS Form 9465. Our team checks every detail of your return, confirms your payment proposal meets the IRS rules, fixes issues like unfiled returns, and speaks directly with the IRS so you don’t have to. If you need help with a form installment agreement or related IRS paperwork, we make sure it’s done right. Contact us today to make the process simple, secure, and stress-free.