What can I do to pay taxes when I do no have money?

Question

Because of car problems I am $2,680.49 in hold. This is what the taxes on my house is just to keep it. What is the best thing to do. Can or will the tax people set up a payment plan for me.

Answer 1

File on time whether you have the money to pay or not, just send in your return without a check for the balance owed. Yes, they'll set up a payment plan if you don't have the money. Be sure to make payments on time or they could come after you, and might attach any assets you have. If you have a payment plan, you'll pay interest on the outstanding amount.

An extension does not give you more time to pay, just to file. You are required to send in the money you expect to owe with the request for extension. So that's not really an option even though someone has suggested it.

If you owe much this year, you should adjust your W-4 allowances so more is taken out and you don't have this problem next year.

Good luck.

Answer 2

The tax people will usually allow payments as long as the payments are made on time.

Answer 3

I would contact the local tax office and tell them the situation. Most states will print "no pays" in the newspaper as an incentive to get you to pay...which could embarass you, but if you have no choice there isn't a lot you can do. Call them before they attempt to contact you. Another idea....contact Consumer Credit Counseling, it's free.

Answer 4

call them set up a payment plan....You can not file bankruptcy on taxes

Answer 5

you have 4 choices (most are bad)
1. go bankrupt (bad idea)
2. mooch money of your parents (bad idea)
3. mooch money of your freinds (bad idea)
4. take a loan and work very, very, very hard to get the money back.
5.google companys that help you with your taxes.

Answer 6

Request an extension from the IRS - I can't believe nobody has suggested this yet.