When can I set up a payment plan for what I owe on this year’s income taxes?
Payment plans can be set up the day after the due date. In most years, the due date is April 15th, but weekends and holidays might push it forward a few days. Check the main DOR web page for specific dates. You are encouraged to make voluntary payments (without a formal payment plan) as soon as you can. Please get in touch with the Collections Section via web message through Revenue Online or by calling 303-205-8291 to set up a payment plan or roll any new balances into an existing one.
What is the minimum amount that I can pay each month?
The minimum monthly payment is determined by the total outstanding balance owed and the maximum length of the agreement allowed; however, we strongly encourage you to pay your tax debt quickly, as interest and penalties are prorated over the life of your agreement.
Why did you keep my refund when I am on a payment plan (installment agreement)?
The State of Colorado will not release your refund if you have outstanding tax debt (or other debt, such as student loans or child support, owed to another agency). Refunds applied to your tax debt will likely shorten the length of your installment agreement, but you must continue to make the total amount of your regularly scheduled monthly payment on time.
What if I am unable to make my payment on time?
You are required to make your monthly payment by your due date. Failure to do so will cause us to cancel your installment agreement. However, we suggest you call us at (303) 205-8291 to discuss your options.
Will my payment plan be affected if I file this year's taxes and I owe?
We may cancel an installment agreement if you file tax returns and do not pay what you owe by the due date. To discuss your situation and see if the new debt is eligible for inclusion in a new installment agreement, call Collections at (303) 205-8291.
I forgot to send my signed agreement form. What should I do?
Send it immediately. We monitor your account and will cancel your installment agreement if we do not receive this document.
I stopped receiving payment coupons. Is something wrong?
The Department may have canceled your installment agreement. Call Collections at (303) 205-8291 to discuss your payment plan.
My finances have changed, and I cannot maintain my payment plan. What can I do?
The Department may agree to modify your payment plan based on financial need. However, you must first submit a Statement of Economic Hardship (DR 6596), verification of your last month’s income (such as pay stubs, bank statements, pension statements, etc.), and any unfiled tax returns. Call Collections at (303) 205-8291 to discuss your situation and review your options.
How do I add new debt to a payment plan?
The terms of your payment plan require you to pay any new tax bills when they are due.
Failing to pay new tax bills may result in the cancellation of your payment plan. However, it is recommended that you call the Collections Section to discuss your tax situation and any options you may have. The Collections Section can be reached by phone at (303) 205-8291.Why did I receive a Treasury Offset Program letter about my federal refund when I am on a payment plan?
We previously sent you a letter by certified mail regarding the federal Treasury Offset Program. This program requires you to pay your tax debt in full within a specific amount of time; otherwise, the Colorado Department of Revenue will notify the US Treasury of your outstanding debt. Refunds applied to your tax debt will likely shorten the length of your installment agreement, but you must continue to make the total amount of your regularly scheduled monthly payment on time.
Why did I receive a Final Notice of Determination and Demand for Payment when on a payment plan?
The Department is required to issue this notice when an outstanding tax payment is due. This may be sent after you set up your payment plan, submit a protest, or agree to an adjustment. Review the Statement of Account included with the Notice to confirm that your payment plan covers all your outstanding debt. All included debt will be listed on this statement under the heading "The debt below is included in a payment plan. Please continue to make the regularly scheduled monthly payments." If you have any debt listed separately from the items listed on your statement, call the Collections Section at (303) 205-8291 to determine if you can add it to your payment plan.
What is a Violated Installment Agreement?
If your payment plan is in violation and is subject to being canceled, the Department will notify you in writing. A payment plan is considered violated if you do not:
- Sign and return the waiver that was included with your paperwork
- Make the total monthly payment on time
- File and pay any tax return due
- Provide a completed Statement of Economic Hardship (DR 6596) when requested