I owe Federal like $624.00 and I have no job anymore, and no possible way to pay this amount. I have no choice but to not pay. What are my options? what could I do, do I still send them in, just no money? Do I have to pay in a lump sum?
2007-04-08 10:49:06 · 8 answers · asked by Meckeala B 2 in Business & Finance ➔ Taxes ➔ United States
File for an extension. If you will be able to pay later, save the money up and pay them within the deadline time. Otherwise, you will have to be put on a payment schedule with them. You will have to have someone assist you in filing the extension, so please be sure that you do so, or you could run into trouble.
2007-04-08 10:55:58 · answer #1 · answered by Hot Coco Puff 7 · 4⤊ 2⤋
This is a very serious problem. But, your not alone.
1st of all my comments are not professional just mine. The IRS is not really that hard to deal with. Contact them or make arrangements to visit them. They will not put you into jail for this amount. It is important to talk and see if you can stop any extra fees...
IRS Statement:
Payment Plans, Installment Agreements
Whether you call it an installment agreement, payment agreement, payment option or a payment plan, the idea is the same — you make payments on the tax you owe. That sounds like a good deal, but you can save money by paying the full amount you owe as quickly as possible to minimize the interest and penalties you’ll be charged. For those who cannot resolve their tax debt immediately, however, an installment agreement can be a reasonable payment option. Installment agreements allow for the full payment of the tax debt in smaller, more manageable amounts.
To be eligible for an installment agreement, you must have filed all required tax returns and paid your estimated tax payments if required.
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You can make this work. But, file and do not hide from them. Just speak honestly and do not let this get you too scared or upset. It can be worked out for you and the IRS. Based on your problem and later review of income. You may not even owe.
Good Luck. Have a nice cup of tea!
2007-04-08 11:07:51 · answer #2 · answered by TheHotelGuy 2 · 1⤊ 0⤋
You are still required to file. Failure to file carries penalties on top of late payment penalties and interest. Someone said to file an extension. That won't help. Extension are for time to FILE, not time to PAY. Send as much as you can now and request an installment arrangement.
2007-04-08 13:19:20 · answer #3 · answered by STEVEN F 7 · 0⤊ 0⤋
You need to at least file your return. The penalty for failure to file is more than the penalty for failure to pay. Contact the IRS and arrange a re-payment schedule. There will be some interest and penalties, but not as bad as if you didn't file at all.
2007-04-08 10:59:06 · answer #4 · answered by crazydave 7 · 2⤊ 0⤋
Get them on the phone and advise them of your situation. You cannot pay with money that you don't have but you do have to own up to it and you'll probably have interest, penalties and possibly wage garnishment when you do return to work. Talk to them before the problem becomes more of a problem. The alternative is jail for tax evasion.
2007-04-08 10:53:45 · answer #5 · answered by Anonymous · 0⤊ 2⤋
You can make a deal with the IRS to make monthly payments. It's pretty informal, just give them a call.
2007-04-08 10:54:59 · answer #6 · answered by Mark in Boulder 3 · 0⤊ 0⤋
write them a certified letter and arrange a monthly payment that you could afford, make sure you keep a copy of everything. there's no other option, you have to pay now or later, even if you file bankruptcy, you still have to pay. 2 things are sure in life, death and taxes.
2007-04-08 11:03:09 · answer #7 · answered by rafaelsj14 2 · 0⤊ 2⤋
get an extension
2007-04-08 10:53:56 · answer #8 · answered by Flat_out_Bob 7 · 0⤊ 2⤋