OKLAHOMA CITY– Tax season is just around the corner. Few people look forward to it, but those who are concerned they may owe taxes approach this time with particular apprehension. According to the OSCPA , there are options for those who need more time to file their returns or who are having trouble paying what they owe including:
Know your options.
If you just need a little more time to pay, you can ask the IRS for up to 120 extra days through an Online Payment Agreement available on the IRS site, www.irs.gov. You generally don't have to pay a fee for this arrangement, although you will owe penalties and interest for the late payment. If you need an extended time to catch up, then you may need an installment agreement. Under the agreement, you make monthly payments of a minimum of $25. Any future refunds for which you qualify will be used to pay off the outstanding debt. There are fees associated with an installment agreement that vary based on your income level and how the fees are paid. You can avoid the fee if you are able to pay your total outstanding taxes within 120 days. You will still be expected to file your tax returns on time and pay all future taxes in full and on time. The IRS generally doesn't take enforcement collection actions if you are applying for an installment agreement or have one.