Tax Insights

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Arizona Department of Revenue payment plans

Are you unable to pay your 2020 tax liability in full? Arizona taxpayers now have the ability to request a payment plan and review and manage their individual income tax liability on the Arizona Department of Revenue (AZDOR) website. This new feature will 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.

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The steps and things to note are as follows.

  • To setup go under the individual menu of the website and select request 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.
  • Payment plans are subject to review at any time and may require updated financial information or additional documentation.
  • Taxpayers may be asked to provide detailed financial information, including income and employer, spouse’s income and employer, number of dependents, monthly expenses, banking information and other pertinent information to determine ability to pay the liability.
  • Taxpayers will be allowed 30 days to file any delinquent returns.
  • If this payment plan defaults, ADOR can and will enforce without notice through a levy and/or lien action.
  • The request for a payment plan will take approximately 60 days for processing.
  • Once request has been submitted, the taxpayer will be provided with a confirmation number and monthly installment payment amount.

If you have any further questions or concerns do not hesitate to reach out to your Henry+Horne advisor.

Danette Holguin, EA

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