--- title: How to Pay Off Your Back Income Taxes description: "If you're in arrears on your federal income taxes, you may have adopted the \"wait it out\" approach. It's true that the Internal Revenue Service has a maximum of 10 years to collect on your back taxes, so if you're patient (and fearless) enough, you might be able to outlast the agency's power to collect." image: https://www.toptaxdefenders.com/hs-fs/file-251970646-jpg/images/calculatinghands.jpg --- [(866)866-1555](tel:866-866-1555) | [Contact](https://www.toptaxdefenders.com/contact-us) [![Top Tax Defenders](https://www.toptaxdefenders.com/hs-fs/hubfs/images/nov_15/ttd_logo_test_new.png?width=314&height=64&name=ttd_logo_test_new.png "Top Tax Defenders")](https://www.toptaxdefenders.com) # Tax Matters - The Top Tax Defenders Blog # How to Pay Off Your Back Income Taxes By Top Tax Staff | Jan 29, 2013 7:00:00 AM | [Back Taxes](https://www.toptaxdefenders.com/blog/topic/back-taxes) [![Share on Facebook](https://static.hubspot.com/final/img/common/icons/social/facebook-24x24.png)](http://www.facebook.com/share.php?u=https%3A%2F%2Fwww.toptaxdefenders.com%2Fblog%2Fbid%2F170757%2Fhow-to-pay-off-your-back-income-taxes%3Futm_medium%3Dsocial%26utm_source%3Dfacebook) [![Share on LinkedIn](https://static.hubspot.com/final/img/common/icons/social/linkedin-24x24.png)](http://www.linkedin.com/shareArticle?mini=true&url=https%3A%2F%2Fwww.toptaxdefenders.com%2Fblog%2Fbid%2F170757%2Fhow-to-pay-off-your-back-income-taxes%3Futm_medium%3Dsocial%26utm_source%3Dlinkedin) [![Share on Twitter](https://static.hubspot.com/final/img/common/icons/social/twitter-24x24.png)](https://twitter.com/intent/tweet?original_referer=https%3A%2F%2Fwww.toptaxdefenders.com%2Fblog%2Fbid%2F170757%2Fhow-to-pay-off-your-back-income-taxes%3Futm_medium%3Dsocial%26utm_source%3Dtwitter&url=https%3A%2F%2Fwww.toptaxdefenders.com%2Fblog%2Fbid%2F170757%2Fhow-to-pay-off-your-back-income-taxes%3Futm_medium%3Dsocial%26utm_source%3Dtwitter&source=tweetbutton&text=How%20to%20Pay%20Off%20Your%20Back%20Income%20Taxes) [![Share on Pinterest](https://static.hubspot.com/final/img/common/icons/social/pinterest-24x24.png)](http://pinterest.com/pin/create/button/?url=https%3A%2F%2Fwww.toptaxdefenders.com%2Fblog%2Fbid%2F170757%2Fhow-to-pay-off-your-back-income-taxes%3Futm_medium%3Dsocial%26utm_source%3Dpinterest&media=) [![Share on Email](https://static.hubspot.com/final/img/common/icons/social/email-24x24.png)](mailto:?subject=Check%20out%20https%3A%2F%2Fwww.toptaxdefenders.com%2Fblog%2Fbid%2F170757%2Fhow-to-pay-off-your-back-income-taxes%3Futm_medium%3Dsocial%26utm_source%3Demail%20&body=Check%20out%20https%3A%2F%2Fwww.toptaxdefenders.com%2Fblog%2Fbid%2F170757%2Fhow-to-pay-off-your-back-income-taxes%3Futm_medium%3Dsocial%26utm_source%3Demail) ![How to Pay Off Your Back Income Taxes](https://www.toptaxdefenders.com/hs-fs/hubfs/How%20to%20Pay%20Off%20Your%20Back%20Income%20Taxes.jpg?width=1000&name=How%20to%20Pay%20Off%20Your%20Back%20Income%20Taxes.jpg) If there are errors on your federal income taxes, you may have adopted the "wait it out" approach. It's true that the Internal Revenue Service has a maximum of 10 years to c[ollect on your back taxes](https://www.toptaxdefenders.com/blog/how-to-file-back-tax-returns), so if you're patient (and fearless) enough, you might be able to outlast the agency's power to collect. In the meantime, though, the IRS may have taken drastic measures that could negatively affect your financial livelihood for years. Instead, why not learn about a few ways to [pay off your back income taxes](https://www.toptaxdefenders.com/blog/bid/135710/5-Tips-for-Settling-Back-Taxes)? ### [![ARE YOU FACING UNPAID TAXES? UNDERSTAND THE COLLECTION NOTICES YOU MAY RECEIVE »](https://hubspot-no-cache-na2-prod.s3.amazonaws.com/cta/default/139062/3e2a3edc-8e69-497f-8999-fb067b4479c3.png)](https://hubspot-cta-redirect-na2-prod.s3.amazonaws.com/cta/redirect/139062/3e2a3edc-8e69-497f-8999-fb067b4479c3) ### Why You Need to Settle Your Back Taxes Now When it comes to back income taxes, time is literally money. The longer you wait to pay off your tax debt, the more money you will owe. For every day that your taxes are overdue, the IRS assesses compound interest charges on the amount due. In addition, you incur a late payment penalty that increases each month. If you haven't even filed your tax return, you'll also owe a failure-to-file penalty on top of that. discuss interest fees, penalties When you put off paying your back income taxes, you're also risking your overall financial standing. The IRS has the legal power to collect taxes in any way necessary, including[ seizing your assets and selling them to clear your debt](https://www.toptaxdefenders.com/tax-solutions/asset-seizure). No matter how you look at it, it's definitely in your best interest to settle back tax debt. [![DO YOU NEED IRS TAX HELP? SCHEDULE A FREE CONSULTATION WITH OUR TAX EXPERTS »](https://hubspot-no-cache-na2-prod.s3.amazonaws.com/cta/default/139062/758dc20d-7fa2-4e2a-a2ae-b124ff4cd561.png)](https://hubspot-cta-redirect-na2-prod.s3.amazonaws.com/cta/redirect/139062/758dc20d-7fa2-4e2a-a2ae-b124ff4cd561) ### How to Pay Off Back Taxes So, how can you pay off your taxes? One way is to [request an installment agreement](https://www.toptaxdefenders.com/blog/bid/153314/Help-with-IRS-Tax-Payment-Installment-Plans) using IRS Form 9465. This agreement is simple to begin and doesn't cost you a dime to set up. Simply complete the form and choose which day of the month you'd like to submit your payment. You can also decide how much to pay each month, as long as you'l be able to pay off your total balance within three years. Depending on the size of your tax debt, you might find it best to pay off your back taxes by taking out a personal loan and making a lump sum payment for the full balance. If you can find a competitive interest rate, a bank loan for the total may be cheaper than using the IRS installment plan and continuing to accrue compound interest. These are just a couple of ways to pay off your back income taxes, but there are other options for you to consider. Speak with a [qualified tax professional](https://www.toptaxdefenders.com/) who can advise you about which method for settling back taxes is best for you. [![New call-to-action](https://hubspot-no-cache-na2-prod.s3.amazonaws.com/cta/default/139062/c68851b2-b513-4190-a374-d1c3af8df506.png)](https://hubspot-cta-redirect-na2-prod.s3.amazonaws.com/cta/redirect/139062/c68851b2-b513-4190-a374-d1c3af8df506) COMMENTS ### SUBSCRIBE VIA EMAIL ### POSTS BY TOPIC - [Tax Tips and Help (287)](https://www.toptaxdefenders.com/blog/topic/tax-tips-and-help) - [IRS Collections (121)](https://www.toptaxdefenders.com/blog/topic/irs-collections) - [IRS Audit (72)](https://www.toptaxdefenders.com/blog/topic/irs-audit) - [Tax Credits and Deductions (69)](https://www.toptaxdefenders.com/blog/topic/tax-credits-and-deductions) - [Tax Resolution (62)](https://www.toptaxdefenders.com/blog/topic/tax-resolution) - [Business Taxes (53)](https://www.toptaxdefenders.com/blog/topic/business-taxes) - [Back Taxes (51)](https://www.toptaxdefenders.com/blog/topic/back-taxes) - [Wage Garnishment (22)](https://www.toptaxdefenders.com/blog/topic/wage-garnishment) - [Tax Levies (19)](https://www.toptaxdefenders.com/blog/topic/tax-levies) - [IRS Payment Plans (15)](https://www.toptaxdefenders.com/blog/topic/irs-payment-plans) - [Tax Liens (14)](https://www.toptaxdefenders.com/blog/topic/tax-liens) - [Offer in Compromise (9)](https://www.toptaxdefenders.com/blog/topic/offer-in-compromise) - [Unfiled Tax Returns (9)](https://www.toptaxdefenders.com/blog/topic/unfiled-tax-returns) - [IRS Tax Attorneys (7)](https://www.toptaxdefenders.com/blog/topic/irs-tax-attorneys) - [Asset Seizure (6)](https://www.toptaxdefenders.com/blog/topic/asset-seizure) - [Tax Evasion (6)](https://www.toptaxdefenders.com/blog/topic/tax-evasion) - [Criminal Tax Defense (4)](https://www.toptaxdefenders.com/blog/topic/criminal-tax-defense) - [Innocent Spouse Relief (4)](https://www.toptaxdefenders.com/blog/topic/innocent-spouse-relief) [see all](https://www.toptaxdefenders.com/blog/bid/170757/how-to-pay-off-your-back-income-taxes#) ### RECENT ARTICLES ### POPULAR ARTICLES Aenean sollicitudin, lorem quis bibendum auctor, nisi elit consequat ipsum. 11222 Richmond Avenue Suite 235, Houston, TX 77082 Copyright 2026 Top Tax Defenders. All Rights Reserved ### Latest Blog Posts ![](http://cdn2.hubspot.net/hubfs/273388/IPT-Files/img/sbm-3ozj5q79luusl8z.gif)