Confirmation of Installment Payment Agreement
This notice is sent to confirm the details of a taxpayer's Installment Payment Agreement.
About Your Notice
Why did I get this notice?
What should I do?
Where can I get more information?
Common Questions
What are the requirements?
What if I can’t make a payment?
Why did I get a Notice of Collection?
Why did I get this notice?
A taxpayer receives this notice because the taxpayer requested an Installment Payment Agreement, also known as a payment plan. Their Installment Payment Agreement request met the Department's requirements and has been accepted.
What should I do?
A taxpayer is not required to respond to this notice. However, they must begin making payments by the first installment date listed on this notice. For faster processing, pay online. If a taxpayer can’t pay online, they will receive a reminder notice with a detachable payment coupon before each scheduled payment.
Keep in mind that even once the taxpayer begins making payments, interest continues to accrue on any unpaid tax liability.
Where can I get more information?
For more information, review our Installment Payment Agreement page. If you have additional questions, call 1-877-252-3252.
What are the requirements?
Review our Installment Payment Agreement page for a full list of requirements. While the taxpayer met the requirements to request an agreement, they must also continue to meet certain requirements during the entire term of their agreement. These include:
- Filing and paying all returns in full
- Filing and paying estimated income taxes
- Providing additional information, as needed
What if I can’t make a payment?
If a taxpayer cannot make a scheduled payment, or if a payment is returned to the Department from their bank or financial institution, then their agreement will be in default.
A taxpayer can avoid being in default by paying online within 10 days. They must make the scheduled payment plus a returned check penalty (10% of the payment amount).
If a taxpayer's agreement goes into default, the Department may begin forced collection actions immediately. Examples of forced collection actions could include:
- Deducting 10% of the taxpayer's wages
- Freezing funds in the taxpayer's bank account
- Seizing personal or business assets
Why did I get a Notice of Collection?
The NC General Statutes require the Department to send a Notice of Collection for all past due taxes.
Please disregard the notice if it is for past due taxes that the taxpayer is paying as part of this agreement.