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Tax Debt Help in Texas: IRS Options and Free Clinics

By the Tax Relief Answers editors · Sources checked November 3, 2026 · How we check

The short answer

Texas has no state income tax, as the Texas Comptroller states, so if you are an individual with a tax bill, it is almost always owed to the IRS. That means the federal options apply: an IRS payment plan, which individuals owing $50,000 or less can request online, an Offer in Compromise, or hardship status. Texas has 8 Low Income Taxpayer Clinics listed in IRS Publication 4134 (Rev. 1-2026), in Addison, Fort Worth, Houston, Lubbock and San Antonio, that can help for free if you qualify.

Federal vs state: who to contact for what

If the debt is federal

The IRS options, in rough order of cost:

• Payment plan. Individuals who owe $50,000 or less in combined tax, penalties and interest, with all returns filed, can apply online. A short-term plan (up to 180 days) has no setup fee, and a long-term plan paid by direct debit costs $29 online as of October 2026, per the IRS payment plans page. Details are on our IRS payment plan page.
• Offer in Compromise. Settles the debt for less when the IRS agrees you cannot pay it in full. The application fee is $205 plus an initial payment, waived for people under the income chart in Form 656-B. See our Offer in Compromise page.
• Currently Not Collectible status. Pauses collection if paying would leave you unable to cover basic living expenses. See Currently Not Collectible status.
• Penalty relief. First-time abatement can remove failure-to-file and failure-to-pay penalties for people with a clean prior 3 years. See first-time penalty abatement.

You can request each of these directly from the IRS.

If the debt is owed to the Texas Comptroller

The Comptroller collects state business taxes such as sales tax and franchise tax. On its past due taxes page, the Comptroller says it will consider payment plans case by case to avoid undue hardship, and that you should contact your local Comptroller field office or call 800-252-8880 to discuss your account.

The same page warns that a payment plan does not end the delinquency. While you pay, you still receive billing notices, a lien is still filed, and state warrants (payments the state owes you) stay on hold. The Comptroller does not publish a minimum payment or length for these plans, so ask the field office directly.

Free Low Income Taxpayer Clinics in Texas

Low Income Taxpayer Clinics (LITCs) are independent organizations that receive IRS grants and represent people in disputes with the IRS for free or a small fee. They generally serve people with income at or below 250% of the federal poverty guidelines (for 2026, $39,900 for one person and $82,500 for a family of four) and amounts in dispute usually under $50,000, per the Taxpayer Advocate Service LITC page. LITCs handle federal tax problems, not Comptroller debts.

These are the Texas clinics in IRS Publication 4134, Rev. 1-2026. The city is the main office; many clinics serve a wider area.

Publication 4134 lists each clinic's phone number and languages; the LITC page has the current search tool.

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