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Owe Taxes But Can't Pay - 2010 Podcast text script

 >> THERESA BRANSCOME: Hi, I'm Theresa Branscome from the Internal Revenue Service.  Are you afraid to file a tax return because you owe taxes but can't pay?  Well, the IRS has lots of ways to help you out if you're having trouble paying.  And here to talk to us about this is my colleague Nancy Mathis.  Nancy, thanks for joining us. 

 >> NANCY MATHIS: Thank you, Theresa. 

 >> THERESA BRANSCOME: Well, what should a taxpayer who is in this predicament do? 

 >> NANCY MATHIS: The first thing you should do is file a tax return or an extension.  That will help you avoid a penalty for a failure to file. 

 >> THERESA BRANSCOME: So you should file it anyway. 

 >> NANCY MATHIS: Absolutely. 

 >> THERESA BRANSCOME: Okay.  And is that it? 

 >> NANCY MATHIS: No.  You should pay what you can.  You want to reduce the balance as much as possible, because that's what's subject to late payment fees and interest. 

 >> THERESA BRANSCOME: Now, should you contact the IRS? 

 >> NANCY MATHIS: Absolutely.  Call us at 1-800-TAX-1040.  That's 1-800-829-1040.  We can discuss payment options and the other ways that we can help you. 

 >> THERESA BRANSCOME: Well, what type of options are you talking about? 

 >> NANCY MATHIS: There are things such as short-term extension to pay, installment agreements, which -- which lets you make a monthly payment.  We're offering compromise, which could allow you to pay less than you owe. 

 >> THERESA BRANSCOME: Okay.  Well, Nancy, thank you so much for this information. 

 >> NANCY MATHIS: Thank you, Theresa. 

 >> THERESA BRANSCOME: And thank you all for joining us.  Remember, if you are in this situation, file a tax return or an extension anyway, pay what you can, and then call the IRS at 1-800-TAX-1040.  That's 1-800-829-1040. 

Page Last Reviewed or Updated: 21-Oct-2014