Posted: 4/14/2008 9:47:45 AM EDT
| If you owe taxes, but can't pay, how does the IRS typically handle that? |
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You can request a payment plan. Form 9465 - Installment Agreement ETA - Correct form. Form 9465 |
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they keep charging you MORE fees - until they have to take off their shoes to count all the extra decimal places.... then they start garnishing your wages. The government - or its agents - ALWAYS win. But by the time they start forcibly taking your income, it's probably 10 years and 10 times what the original debt was in the first place. You withhold too much, they fine you. You withhold too little, they fine you. File an extension? They fine you. File for a payment plan? You bet, but only after we charge you a service fee. You can't pay the fees? They garnish your wages, repo your belongings... and shoot your dog while serving the notice. |
but don't worry, because america is a free country.  used to be anyway. 
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Srlsly? I narrowly dodged the penalty for withholding too much (well, technically it was not making enough estimated advance tax payments) but why would they fine you for withholding too much? Isn't that like a bigger (interest-free) loan to Uncle Sam? |