Phoenix, AZ—Arizona’s taxpayers now have a new way to request a payment plan and manage their individual income tax liability through the Arizona Department of Revenue AZTaxes.gov website.
Taxpayers can already make full or partial payments on AZTaxes.gov, but if unable to pay tax liability in full, an individual can request a monthly installment plan by visiting AZTaxes.gov. Under the Individual menu, select Request a Payment Plan. The new feature is supposed to make it faster and easier to set up a payment plan and reduce the number of calls and paper submissions to be processed by the department. Previously, a payment plan could only be requested by phone or by filling Form 140-IA.
The process to establish a payment plan request in Arizona Department of Revenue’s (ADOR’s) system will take approximately 60 days after the tax liability is billed. Allow for 60 days after the first billing notice is received before following up with ADOR regarding the request. Once submitted, the taxpayer will be provided a confirmation number and a monthly installment payment amount.
What you should know if considering a payment plan:
- While on a payment plan, taxpayers cannot incur any new liabilities, but will continue to incur interest.
- Payments must be made on time per the payment arrangement.
- Payments are made through AZTaxes.gov
- If this payment plan defaults, ADOR can and will enforce without notice through a levy and/or lien action.