The Internal Revenue Service announced today comprehensive resources to assist taxpayers who missed the April 2025 federal income tax return filing deadline and currently owe taxes, interest, and penalties.
Immediate Action Required
Taxpayers who owe taxes should file their returns and pay as soon as possible. Interest and penalties continue to accrue on unpaid taxes until the balance is paid in full. Even if taxpayers cannot afford to pay the full amount immediately, they should still file their return and pay whatever amount they can manage.
Convenient Online Payment Options
The IRS offers several secure digital payment methods:
- IRS Online Account – Comprehensive account management
- IRS Direct Pay – Direct bank transfers with email notifications
- Electronic Federal Tax Payment System (EFTPS) – Professional payment system
- Debit/Credit Cards and Digital Wallets – Immediate payment processing
Electronic payments provide instant confirmation, and Direct Pay and EFTPS offer email notifications for payment tracking.
Payment Plan Solutions
For taxpayers unable to pay in full, the IRS provides two main installment options:
Short-Term Payment Plan
- Available for balances under$100,000 (combined tax, penalties, and interest)
- Up to 180 days to pay the full balance
- Immediate online approval available
Long-Term Payment Plan
- Available for balances under$50,000 (combined tax, penalties, and interest)
- Monthly payments for up to 72 months
- Direct debit option eliminates monthly payment hassles and reduces default risk
Important benefit: While interest and late-payment penalties continue accruing after April 15, the failure-to-pay penalty is reduced by half when an installment agreement is active.
Penalty Relief Opportunities
Taxpayers who receive penalty notices should carefully review them and follow relief request instructions. Those who have filed and paid taxes on time for the past three years and haven’t been assessed penalties generally qualify for penalty abatement under the IRS first-time penalty relief program.
The IRS emphasizes that taking action quickly can significantly reduce the total amount owed and prevent more severe collection actions.
