Four Tips If You Can’t Pay Your Taxes on Time
IRS Tax Tip 2014-53
If you find you owe more than you can pay with your tax return, don’t panic. Make
sure to file on time. That way you won’t have a penalty for filing late.
Here is what to do if you can’t pay all your taxes by the due date.
1. File on time and pay as much as you can. File on time to avoid a late
filing penalty. Pay as much as you can to reduce interest charges and a
late payment penalty. You can pay online, by phone, or by check or
money order. Visit IRS.gov for electronic payment options.
2. Get a loan or use a credit card to pay your tax. The interest and fees
charged by a bank or credit card company may be less than IRS interest
and penalties. For credit card options, see IRS.gov.
3. Use the Online Payment Agreement tool. You don’t need to wait for
IRS to send you a bill before you ask for a payment plan. The best way is
to use the Online Payment Agreement tool on IRS.gov. You can also file
Form 9465, Installment Agreement Request, with your tax return. You can
even set up a direct debit agreement. With this type of payment plan, you
won’t have to write a check and mail it on time each month. It also means
you won’t miss payments that could lead to more penalties.
4. Don’t ignore a tax bill. If you get a bill, don’t ignore it. The IRS may take
collection action if you ignore the bill. Contact the IRS right away to talk
about your options. If you are suffering a financial hardship, the IRS will
work with you.
In short, remember to file on time. Pay as much as you can by the tax deadline and pay the rest as soon as you can. Find out more about the IRS collection process on
IRS.gov. Also check out IRSVideos.gov/OweTaxes.
IRS YouTube Video:
Online Payment Agreement – English | Spanish | ASL
Online Payment Agreement – English | Spanish