DOR Taxation web site

Agreement to Pay

How do I make installment payment arrangements?

File your income tax return on or before the April 15th filing deadline. Include on the paper or electronic return the amount you owe. Pay as much as you can of the amount you owe by the filing deadline.  The 'Amount You Owe' on your individual income tax return is your first balance due notice.

 

Bills will start to be mailed in early July. When you receive the second notice, your billing information is in our computer system and you may set up an Agreement to Pay. There are three methods of setting up an installment plan.

 

 

If you want to start making payments on your account prior to receiving the bill, you can mail in your payment attached to the Individual Income Tax Payment Voucher (DR 0900) which is included in the Colorado 104 booklet. Make sure you put your social security number (write the primary social security number if it is a joint filing) on the bottom of your payment check and the tax year to which the payment applies.

 

Special Note:  If you use our Electronic Funds Transfer (EFT) system to pay your monthly Agreement to Pay, you must set up each payment monthly up to 30 days in advance of the payment due date.  The EFT system does not automatically transfer the funds each month after you set up the first payment.  The same is true with the Online Tax Payment service.  Each monthly payment must be done each month and the payments cannot be set up any time in advance.  They will be paid immediately through your credit card or eCheck.

 

Payment Plans and Extensions of Time to File

If you expect to owe money when you file your return you can avoid penalty and interest by sending your payment on or before April 15 using the Extension Payment Voucher (DR 158-I) for Colorado individual income tax.  Then file the return by the October 15 filing deadline.  If you owe additional tax, you may pay it at the time you file the return, but the amount will be subject to interest and penalty rates.  See Extensions.