Kentucky Form 12A200

What Is Kentucky Form 12A200

Kentucky Form 12A200 is an official document provided by the Kentucky Department of Revenue for taxpayers who cannot pay their individual income tax liability in full. This form acts as a request for an installment agreement, enabling taxpayers to propose a monthly payment plan tailored to their financial situation. This arrangement aims to facilitate tax collection while considering the taxpayer's ability to pay, ensuring penalties, interest, and fees are minimized.

When to Use Kentucky Form 12A200

Kentucky Form 12A200 is pertinent in several situations:

• When a taxpayer cannot fully settle their tax balance by the due date, they must arrange a payment plan.
• In cases where a tax notice has been issued by the Kentucky Department of Revenue's Division of Collections and the taxpayer seeks to establish a formal agreement.
• If the taxpayer's financial situation inhibits them from paying the amount owed using available funds or securing a loan to cover the tax debt.
• Should a taxpayer wish to avoid the accrual of additional penalty and interest charges that compound with unpaid tax liabilities over time.

How To Fill Out Kentucky Form 12A200 Instruction

Here is a step-by-step guide to help you complete Kentucky Form 12A200:

1. Eligibility Check:

Before beginning, ensure you are eligible to request an installment agreement. This option is only for those who cannot fully pay their tax liability and cannot secure the funds through other means, like borrowing from a financial institution.

2. Fill in Basic Information:

Provide the complete taxpayer name(s) on your tax return.

Enter the primary taxpayer's Social Security number (SSN), followed by the spouse’s SSN if filing jointly.

3. Contact Details:

Fill out your address, including city, state, and ZIP code.

Include a home telephone number and the best time to call.

4. Payment Information:

If you're choosing to pay by ACH Debit (electronic from your bank account), check the appropriate box. Attach a voided check for this option and indicate the date the ACH Debit payments should be made each month.

If paying by mail, prepare to make checks or money orders payable to the Kentucky State Treasurer and include the necessary identification details.

5. Tax Details:

Enter the amount you've already paid with your return, if any.

Specify the total amount you owe from your Form 740 or Form 740-NP.

6. Proposed Payment Plan:

Suggest a monthly payment amount that reflects your ability to pay, considering your income and reasonable monthly expenses.

Indicate the date of your first payment and the dates you can make subsequent payments each month.

7. Submission of Request:

After completing the form, cut the section along the provided line.

Mail the form to the Kentucky Division of Collections.