IRS Form 13844: Eligibility, Filing, and Fee Reduction

IRS Form 13844, Application for Reduced User Fee for Installment Agreements, is the one-page form low-income taxpayers use to cut the setup fee on an IRS payment plan. Qualifying applicants pay $43 at most, and many pay nothing. You have 30 days from the date on your installment agreement acceptance letter to send it in, and the IRS will not consider late applications.¹

Who Qualifies for the Reduced Fee

You qualify as a low-income taxpayer if your adjusted gross income is at or below 250% of the federal poverty guidelines published by the Department of Health and Human Services. This threshold comes from 26 U.S.C. § 6159(f)(2), which directs the IRS to waive or reimburse installment agreement fees for taxpayers below that income level.²

The ceiling depends on household size and where you live. Alaska and Hawaii have higher thresholds than the 48 contiguous states. Based on the 2026 poverty guidelines, the maximum qualifying income at 250% is:

48 Contiguous States and D.C.

1 person: $39,900
2 people: $54,100
3 people: $68,300
4 people: $82,500
5 people: $96,700
6 people: $110,900
7 people: $125,100
8 people: $139,300

Alaska

1 person: $49,875
2 people: $67,625
3 people: $85,375
4 people: $103,125
5 people: $120,875
6 people: $138,625
7 people: $156,375
8 people: $174,125

Hawaii

1 person: $45,900
2 people: $62,225
3 people: $78,550
4 people: $94,875
5 people: $111,200
6 people: $127,525
7 people: $143,850
8 people: $160,175

For households larger than eight, add $14,200 per additional person in the contiguous states, $17,750 in Alaska, or $16,325 in Hawaii.³

When You Actually Need to File It

You may not need to file Form 13844 at all. When you set up a payment plan, the IRS system automatically checks whether your income qualifies you as low-income. If the system flags you, the reduced or waived fee applies without any extra paperwork.⁴

The form exists for cases where the automated screening misses you. Look at the acceptance letter the IRS mails after approving your installment agreement. If the setup fee listed is the standard amount rather than the reduced or waived amount, Form 13844 is how you ask the IRS to reconsider. Submit it within 30 days of the date printed on that letter. Anything received after that window is not considered, so if you tend to let mail pile up, open this one right away.¹

What the Reduction Is Worth

Standard installment agreement setup fees run from $22 to $178:

Direct debit, applied online: $22
Direct debit, applied by phone, mail, or in person: $107
Other payment methods (check, money order, debit or credit card), applied online: $69
Other payment methods, applied by phone, mail, or in person: $178

For an approved low-income taxpayer, the outcome depends on how monthly payments are made:

If you pay by direct debit (automatic bank withdrawals), the setup fee is waived entirely. Nothing to pay up front.²
If you pay any other way, the fee is reduced to $43 up front, and the IRS reimburses that $43 once you’ve paid off the full balance under the plan.⁴

Direct debit is the better deal if your bank account can handle automatic withdrawals. The fee is gone immediately rather than tied up until the end of the plan, and automated payments reduce the chance of missing a due date and defaulting.

How to Fill Out Form 13844

The form is a single page, available as a PDF on IRS.gov. It has three parts, and it goes quickly if you have your most recent tax return handy.

Part I collects basic identification: your name, Social Security number, address, and your spouse’s information if you filed jointly. These should match what appears on your most recent return.

Part II asks for your total monthly household income, broken into categories like wages, Social Security benefits, pensions, and public assistance. Include income from everyone in your household, not only the person who owes the tax. The form prints the 250% poverty threshold for your household size right on the page, so you can check your total against the cutoff before you sign.¹

Part III is the certification. You sign and date under penalty of perjury, affirming the information is accurate. The IRS cross-checks what you report against its own records, so the numbers should reflect your actual current finances rather than a rough estimate.

Where to Mail It

Form 13844 cannot be filed electronically. Mail it to:

IRS ACS Correspondence
P.O. Box 24017, Stop 76101
Fresno, CA 93779¹

If you’re asking for the reduction at the same time you apply for a new installment agreement, attach Form 13844 to your Form 9465 (Installment Agreement Request) and send both together.⁵ If you already have an active payment plan and are responding to your acceptance letter, mail Form 13844 by itself to the Fresno address.

The IRS generally responds within 30 days, though requests filed after March 31 for tax due on a return filed at the same time can take longer.⁵ You’ll get the decision by mail. If approved, the IRS adjusts your account to reflect the lower fee, and any standard fee you already paid becomes a credit toward your tax debt.

If Your Application Is Denied

A denial can be appealed. Under the IRS Collection Appeals Program, you have 30 days from the denial to submit a written appeal request, and the IRS cannot levy your wages or bank accounts while the appeal is pending.⁶ The IRS recommends Form 9423 (Collection Appeal Request), but any written request will be accepted. You do not need to request a conference with a collection manager before escalating to Appeals.

Fee Reduction vs. Reinstatement Fee

One thing to keep separate: Form 13844 is for the initial setup fee. If an existing plan defaults and you need to reinstate it, that’s a different fee, though the same low-income rules apply. Reinstatement runs $10 online or $43 by phone, mail, or in person for qualifying low-income taxpayers, and may also be reimbursed.⁴ Reinstatement is handled through your normal IRS contact channels rather than through Form 13844.

1
Internal Revenue Service. Form 13844 – Application for Reduced User Fee for Installment Agreements
2
Office of the Law Revision Counsel. 26 USC 6159 – Agreements for Payment of Tax Liability in Installments
3
U.S. Department of Health and Human Services. 2026 Poverty Guidelines
4
Internal Revenue Service. Payment Plans; Installment Agreements
5
Internal Revenue Service. Instructions for Form 9465 – Installment Agreement Request
6
Internal Revenue Service. Collection Appeals Program (CAP)