Mississippi State Tax Payment Plan

Mississippi State Tax Payment Plan

You may be able to set up an installment agreement with the Mississippi Department of Revenue, provided you meet the following criteria:

  • You have filed and paid all your income taxes due for the last five years, which implies you are unable to set up an installment agreement for taxes you owe from previous years. If you are interested in making payment arrangements for back taxes, please contact the MS Income Tax Bureau at 601-923-7040 to determine how you should proceed.
  •  You have not had an installment agreement with the state in the last five years.
  •  You are not currently involved in a bankruptcy.
    Based on your situation, the Mississippi Department of Revenue offers two installment agreements. They are:
  •  Owe at least $75 but no more than $3,000. In this case, you are allowed to pay the amount due in 12 equal installments. (For example, if you owe $2,500, you would pay $208.33 a month for 12 months.) However, interest will continue to accrue until you have paid the debt in full.
  • If your liability is more than $3,000 and you have already established an installment agreement with the IRS for the same tax year, MS will allow you to pay the amount due within 60 months. You must include a copy of your approved installment agreement with the IRS. Again, interest will continue to accrue.
    To apply for an installment agreement, you will need to do the following:
  •  Complete Form 71-661, Mississippi Installment Agreement and attach it to the front of your tax return.

If the state agrees to your request, you will receive a notice that provides detailed information regarding your installment agreement, including the amount owed, as well as when and how much is due every month. If you file for bankruptcy during the installment period, you should notify the department’s Bankruptcy Section immediately at 601-923-7393.