| Protect your Things: Your house, vehicles, and even | | | | User Fee: There is also a user fee associated with the |
| your bank account are forever in the sights of the IRS | | | | Installment Agreement: $105 dollars without the direct |
| Collections Division. The best thing you can do is never | | | | deposit option, or $52 dollars with direct deposit. You |
| give them a reason to "pull the trigger." The people in | | | | full tax bill will be taken into account, as well as any and |
| the worst spots of IRS tax debt are the ones who roll | | | | all penalties and interest. In about 30 days from the |
| over and take hit after hit, refusing to do anything | | | | application, you will know if you've been accepted into |
| about their debt. These people are eventually battered | | | | the program. The monthly payments will be made |
| until they have nothing left to give; don't let that be you. | | | | each month until the debt is paid off or until the statue |
| Pick Something! The IRS offers payment plans in order | | | | of limitations (10 years) runs out. |
| to get full payment on your tax debt. If you can't pay | | | | A Mountain of Debt: Keep in mind that during this time, |
| the full amount due, it may be a good idea to get into | | | | penalties and interest still accrue. So any way you slice |
| and Installment Agreement so that you can make | | | | it, you're going to be paying more than you actually |
| payment on the debt. But keep in mind that the IRS will | | | | owe. But remember, the Installment Agreement is still a |
| want to know your current financial status. Basically, | | | | much better option than losing all of your things just |
| they're going to call you and find out all of your | | | | because you don't have thousands of dollars in your |
| information: where you work, where you bank, where | | | | back pocket. |
| you live, etc. The Installment Agreement is a great | | | | What about my Refunds? |
| way for an IRS-Hitman to get you over a barrel. | | | | If you are still paying down a debt from back taxes, |
| No Room for Error: Once you get yourself in an | | | | any money coming to you via refund will be applied as |
| installment agreement, you must make payments | | | | payment on the debt. This means that if you are |
| every month. The good news is that you can start | | | | supposed to get money, you won't even see the |
| paying off your debt. The bad news is that the IRS | | | | check. That amount will just be deducted from your |
| decides how much you pay each month. They get to | | | | debt. This will continue to happen for as long as the |
| pick what's "affordable" for you and if you miss a | | | | IRS deems necessary. |
| payment you will go into default. Once you're in default, | | | | One More Thing: If you are currently in an Installment |
| the IRS can get back to the drawing board with ways | | | | Agreement and you feel that you are not making any |
| to get the money. They can put a lien on your credit, | | | | progress, there are other options available. Speak with |
| levy your bank account or my personal favorite, | | | | a tax professional about what will be the best choice |
| garnish your wages! So make sure the IRS doesn't put | | | | for you. |
| you in a plan that you know you can't afford. | | | | Now you have the smoking gun...Use it! |