i haven tfiled taxes in 7 years and the irs is now saying i owe over 10,000 dollars and i am out of work how do i pay this with no income coming in?.
2007-07-29 08:34:52 · 5 answers · asked by wild wild west 51 2 in Business & Finance ➔ Taxes ➔ United States
Got any assets? If you don't have anything then there's nothing they can come after. I would think though that you might want to contact a local CPA/Tax Preparer in your area and see what help they can give you. There are two options that you can try with the irs, one is an installment agreement, where you pay them off over time, and the other is an offer in compromise, where you pay them off less than the full amount that you owe them. Don't know your full circumstances, so can't give you which way is better for you. But unfortunately, that's what happens sometimes when you don't file for multiple years.
By the way, if you do file, and don't end up owing anything for any/all of those 7 years, there are no penalties that the irs will hit you with. But if you are owed refunds for any of those years, you can only get refunds for the last 3 years of tax returns. 2003 and previous is past the 3 year statute of limitations for filing a tax return for a refund (the 3 years doesn't apply if you owe the irs).
2007-07-29 08:48:33 · answer #1 · answered by Anonymous · 2⤊ 0⤋
Probably very gradually, a little at a time - get a job, and start paying on it. You obviously had income during those 7 years when you decided to just not file - if you hadn't, you wouldn't owe anything - so don't expect anyone, IRS included, to feel real sorry for you now.
It would be a good idea to see a CPA if you have any doubt that the IRS calculation of what you owe is correct or not. Their assessment isn't always right, since they don't have all of your information.
2007-07-29 17:58:33 · answer #2 · answered by Judy 7 · 2⤊ 0⤋
Do not ignore notices. Make a payment arrangement you can manage. IRS will be willing to work with you. Any amount will be accepted. The longer you ignore the more interest will accumulate. You can also negotiate a best offer if you have the cash to pay it off. One last thing there is no statue of limitations on taxes owed. Good luck and go find a job.
2007-07-29 19:36:21 · answer #3 · answered by Anonymous · 2⤊ 0⤋
If you truly have no ability to pay the tax debt you may wish to consider attempting to have your case put into "currently not collectible status". Once your account is placed in this status the IRS will hold off on pursuing any collection action until you have an ability to pay. You will be required to disclose your assets income and expenses however. You can find more information about this program on my website or on the IRS website by clicking on the following links:
http://www.etaxrelief.com/currently_not_collectable_status
http://www.irs.gov
Best of luck.
Christopher R. Jacquez, EA
President eTaxrelief.com
2007-08-02 07:52:25 · answer #4 · answered by Chris J, President at eTaxrelief 2 · 0⤊ 0⤋
Get a tax consultant to figure out what your taxes would or should have been during the last seven years, it could be that you owe nothing except the failure to file penalties. Just for a note not filing is what finally put Capone into jail. Good Luck
2007-07-29 15:45:33 · answer #5 · answered by Pengy 7 · 2⤊ 0⤋