IRS Failure to Pay Penalty
Even if it’s not tax filing season, it’s never too early to have a plan to avoid paying taxes late. If you’re a contract worker, you know that you’ve got quarterly filings to handle and pay – or you face a penalty for paying taxes late. This may seem like basic information, but the reality is that the IRS failure to pay penalty is a common problem amongst delinquent taxpayers.
“How to pay my taxes?” may not be a question you even need to ask, but a little preparation can go a long way. Preventing an issue with your taxes is far simpler and desirable than using an IRS late payment penalty calculator. At the end of the day, “how to pay my taxes?” is always better than having to ask, “what do I do if I pay my taxes late?”
Pay Taxes Late, Pay the Penalty
What is the penalty for paying taxes late? Hopefully, you’ll never be in a position where you have to concern yourself with this question. Because in addition to penalties for failure to file, penalties for not paying taxes will only inflate whatever balance you already have. Failure to pay taxes can create serious complications to your financial health. In addition to penalties, you can face interest on your debt as well as collection action from the IRS.
How to Pay Late Taxes and Prevent the Worst
In addition to interest and the failure to pay penalty, IRS collection efforts can be swift and severe. To avoid a wage garnishment or bank levy, focus on how to pay taxes you owe. This can be as simple as writing a check or making a payment online. And while “what if I pay my taxes late” may be answered with a penalty, it beats the alternative: ten years of collection activity from the IRS.
“I Can’t Pay My Taxes!”
Your problem may be a matter of means rather than will. So, rather than asking yourself, “what if I don’t pay my taxes?” you concern is actually, “what if I don’t have the money?” The good news is that the IRS has payment plans which will allow you to satisfy your liability over time, rather than all at once. By establishing a formal resolution, you avoid the consequences of not paying taxes. Penalties for paying taxes late may not be able to be lifted, but you can prevent relentless IRS notices by taking charge of the situation.
You’ve gotten past “what if I pay my taxes late” and you now want to know how to handle the problem. Before committing to an IRS resolution, consult with a licensed tax professional. These individuals are often employed by a tax resolution company, such as Tax Defense Network, LLC, and may be able to present you with the best options to resolve your tax debt quickly. When you’re facing mounting IRS costs, including penalties, you owe it to yourself to rely on a seasoned tax professional to submit a formal resolution on your behalf.