It looks like we're going to end up owing about $5K in taxes this year, the first year we've ever had to pay. We don't have this cash, nor do we have room on available credit cards. In fact, I"m getting ready to declare Chap 7 individually so we *really* don't have any spare cash. Should we set up a payment plan with IRS, or try to get another card? any suggestions appreciated, as we don't want to run afoul of the feds. Thanks! Poochie
Forgot to add that next march spouse will get out from under a HUGE car lease payment ($850/month) so we'll be able to make accellerated payments in 11 months. Just not so much right now.
Its very simple to set up installment plans with them, I believe there is a form on their website www.irs.gov We owed a huge hunk last year, and believe it or not I dropped a signed note in with my taxes asking about it. They then contacted me. The interest and penalties are ugly, but if thats the only way to go, its better than a lien IMHO.
yes based on their sickly stupid living expense ratio, and credit cards, big car payments, etc are not part of that. The irs basically gives you poverty level living. The irs has 10 years from assessment, so they will let you take your sweet time to pay it off, if necessary.
Re: A little OT - how to pay the IR Thank you guys - I realized after I posted that the Fed part will hopefully be a little less than what I'd thought, but we'll owe the state too. If my husband's company hadn't screwed him out of his annual March bonus this year (despite their stock going up 30% - grrrrrrrr) we'd be fine. I'll try to get a real low payment and then pay it all off next year after that stupid stupid hateful automobile gets paid off. Thanks!
Re: A little OT - how to pay the IR There is also a tax omsbudsman in each local office. If the IRS gets a little pushy try calling your local office and talking with the omsbudman. I disputed a $2,000 taking a couple of years ago and with a few phone calls and a couple of letters the IRS sent me back the entire 2K. I almost fainted! Good luck!
