2026 UPDATE · We are reviewing guidance against current IRS publications, forms, and collection standards.

I can’t pay

What are my options if I owe the IRS and cannot pay in full?

You generally have four paths: pay over time with an installment agreement, pause collection with Currently Not Collectible status during hardship, settle for less with an Offer in Compromise if you qualify, or request penalty relief. The right path depends on your income, assets, and how much you owe.

The path from here

  1. 1. Confirm the balance

    Verify the amount and the tax years involved before choosing an option.

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  2. 2. Estimate what you can pay

    Use the expense standards to see what the IRS considers necessary living expenses.

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  3. 3. Compare the programs

    Weigh installment agreement vs. CNC vs. Offer in Compromise against your situation.

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  4. 4. Apply for the right one

    Choose the program that fits and follow its application steps.

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Want help with your next step?

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Related IRS notices

Browse The Tax Relief Answer Book