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2 October 2018 / Personal Taxes

What if I don't pay my taxes?

2 October 2018 > Personal Taxes

If you file your taxes but don't pay them, the IRS will charge you a failure-to-pay penalty. Generally, the IRS will charge you 0.5 percent of your unpaid taxes for each month you don't pay, up to 25 percent. Interest also accrues on your unpaid taxes. The interest rate is equal to the federal short-term rate, plus 3 percent.

If payment continues to be ignored, the IRS can also come after your assets and resort to the following:

  1. File a notice of a federal tax lien (a claim to your property)

  2. Seize your property

  3. Make you forfeit your refund

  4. File charges for tax evasion

  5. Revoke your passport

Phillip Ingelmo

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