FREE Special Report - "How to End IRS Problems Forever!"
Gabrielle R. Ransdell
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How Full Payment of Taxes Saves You Money
Take action now, or you may face additional interest and penalties.
Paying your taxes in full will cost you the least amount of money and here's
why:
- You may be entitled to personal exemptions, deductions, and credits
that can lower your tax. But you can only claim these if you filed a
return.
- Failure to file a return or filing late can be costly. If taxes are
owed, a delay in filing may result in penalty and interest charges that
could increase your tax bill by 25 percent or more.
- You may be entitled to a refund. However, to get your refund, you must
file a tax return within three years of the original due date of the
return, or two years from the time you paid your tax.
- Taxpayers who are entitled to the Earned Income Tax Credit must file a
return to claim the credit even if they are not otherwise required to
file. The return must be filed within 3 years of the due date in order to
receive the credit.
- You stand to lose social security benefits on income from
self-employment. The Social Security Administration relies on information
from your filed tax return to calculate social security benefits. For your
income to be reported to the Social Security Administration, you must file
a tax return.
- Copies of filed tax returns must be submitted to financial
institutions, mortgage lenders/brokers, etc. whenever you want to buy or
refinance a home, get a loan for a business, or apply for federal aid for
higher education.
- If you choose to pay your taxes via an installment agreement it could
cost you more.
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