Released: February 23, 2015

What happens if you don’t pay your taxes?

Source: Geoff Williams - U.S. News

If you’re feeling tax inertia, you should do what you can to pay your taxes by the April 15 deadline or ask the IRS for a six-month extension by filing Form 4868.

According to U.S. News & World Report, if you fail to file, the IRS will essentially file FOR you. But don't think that this is a good thing: You'll be paying back taxes and penalties. For instance, if you had $30,000 in reportable income in 2012 and didn't pay taxes on this income until 2015, you would owe somewhere around $2,650 in back taxes (about half of which would be due to tax penalty fees).

In extreme cases, your creditworthiness may take a hit (the federal government could put a lien on your property and seize it if you owe a significant amount, and these liens show up on your credit report); your wages could be garnished; and if the government determines you are trying to defraud it, you could go to jail.

This may sound pretty dire, but there's good news for those struggling to pay. Read the full article (link below) to find out how you can work with the IRS to get an extension or settle your tax debt through monthly installments.

Read Full Article: What happens if you don’t pay your taxes?