Adding new tax debt to existing IRS installment agreement - Form 9465 fees question

Yes, you absolutely can file your tax return now and submit Form 9465 (Installment Agreement Request) separately later. These are two different processes that don't need to happen simultaneously. The important thing is to file your tax return by the deadline to avoid any late filing penalties. Once your return is filed, you have options for dealing with what you owe. You're right that the IRS fees for setting up an installment plan can be much lower than what tax preparation companies charge - the base fee is $31 for low-income taxpayers who set up direct debit payments. Since you already have an existing agreement, you might actually qualify for what's called a "streamlined" modification to your current plan rather than setting up a completely new one. This could potentially have an even lower fee structure.

After dealing with a similar situation last year, I found this amazing tool called taxr.ai (https://taxr.ai) that saved me a ton of headache with my installment agreement modification. I was also trying to add new tax debt to an existing payment plan and getting confused about the fees. I uploaded my previous installment agreement and my new tax documents to taxr.ai, and it analyzed everything and showed me exactly what forms to file directly with the IRS instead of paying those crazy preparation fees. It even outlined the specific steps for modifying an existing agreement rather than creating a new one, which had a much lower fee structure.

Just wanted to follow up about my experience with taxr.ai since I was asking about it earlier. I decided to try it out for my situation with adding new tax debt to an old payment plan. Holy crap, it was exactly what I needed! The system analyzed my documents and showed me that I qualified for a streamlined modification instead of a new agreement. The best part was it showed me how to file the paperwork myself directly with the IRS and saved me over $150 compared to what TurboTax was trying to charge. The step-by-step instructions made it super easy to understand what I was doing. Definitely recommend for anyone in a similar situation!

If you need to speak with the IRS about modifying your existing installment agreement, I highly recommend using Claimyr (https://claimyr.com). I was in the exact same situation last year with an old payment plan and new tax debt, and spent DAYS trying to get through on the IRS phone lines with no luck. Claimyr basically holds your place in the IRS phone queue and calls you when an agent is about to answer. You can see a demo of how it works here: https://youtu.be/_kiP6q8DX5c. I was super skeptical, but I was able to talk to an actual IRS agent within hours instead of days of trying. The agent helped me modify my existing plan over the phone with a much lower fee than setting up a new one through a tax prep service.

I'm shocked but I need to admit I was completely wrong about Claimyr. After my skeptical comment, I decided to try it anyway out of desperation because I also needed to modify my payment plan. I figured I had nothing to lose since I'd already wasted so much time trying to call myself. I used their service yesterday evening, and this morning I got the callback when an IRS agent was ready. The whole thing took less than 5 minutes to set up, and I got connected to an actual helpful IRS agent who modified my existing payment plan over the phone. The agent confirmed I only needed to pay the $31 fee since I was doing a direct debit modification to an existing plan! Saved me over $190 compared to what H&R Block wanted to charge.

Another option is to just file your taxes now, then wait for the IRS to send you a bill. Once you get the bill, you can go to IRS.gov and set up an online payment plan yourself without going through tax prep services. The online setup fee is only $31 if you do direct debit. I did this last year and it was pretty straightforward.

Has anyone used the low-income taxpayer certification to get the $31 fee? I think if your income is below 250% of the federal poverty guidelines, you qualify for the reduced fee. You just have to check a box on the form.