How to Fill Out IRS Form 2159. IRS Form 2159, entitled "Payroll Deduction Agreement," can be completed by individual taxpayers or their employers. It authorizes the Internal Revenue Service to deduct a monthly amount from their wages automatically in order to pay down an outstanding tax debt. Sometimes IRS Form 2159 is filed voluntarily by the taxpayer; sometimes the IRS may use the form to garnish a taxpayer's wages.
Download IRS Form 2159 from the Internal Revenue Service website or call (800) TAX-FORM to receive a copy. The IRS may mail you a copy of the form if you must have your wages garnished.
Fill in your Employer's name, address and contact information including telephone number. Supply your name, address, Social Security number or EIN, spouse's Social Security number or EIN (if applicable), home and business telephone numbers and your financial institution's name and address. An Employer representative should sign and date the form as well as check off the frequency of future paycheck deductions--weekly, bi-weekly, monthly or other.
Supply form numbers (e.g., 1040 or 1040A) to indicate the kinds of taxes you owe. Indicate the tax period(s) for which the payroll deduction agreement is to be made and the total amount owed to the IRS. Indicate how often you are paid (weekly, bi-weekly, monthly or other) and input how much money per pay period you authorize the IRS to deduct from your paycheck. Let the IRS know when deductions should start and if you wish the amount to increase or decrease in the future.
Sign and date the form, along with your spouse if applicable, and provide your title. Your employer should file Form 2159 with the IRS for you. Check the IRS official website for specific instructions regarding the mailing address to which your employer should send Form 2159; it varies by state.
Do not complete the bottom of IRS Form 2159; it's intended for official Internal Revenue Service use only.