Tax help

[theGibber1]

Well I filed an extension but there is no getting around it... October is just around the corner. Come Oct 19th I owe a little over $29,000 in taxes for 2009..

I have about 18,000 ready to go in a savings account.. The rest of my savings is in stocks and mutual funds that I would rather not touch. If I take the money out of those funds now I will take a huge hit. I would rather leave these accounts alone.

I have heard the IRS does negotiate from time to time.. Can anyone offer any suggestions??

Thanks!:toast:

 

[vinnie]

PAY UP GIBBER YOU STIFF !

 

[The Joker]

Hey Gibber - I work with business owners on a daily basis and know the ins and outs of their business (some more than others)

They have all found out that "Offers in Compromise" have been around for years. But in order to literally settle your tax bill for pennies-on-the-dollar, you really have to be poor.

Payroll taxes are the worst if you let them build up and they will not accept anything less than the owed amount unless - you are poor.

Other taxes associated with small business are to be paid in full w/wo penalties unless - you are poor.

Poor being described as earning less than 12k a year - HH


See the pattern............

Hope this helps - may not be what you want to hear.

 

[theGibber1]

Hey Gibber - I work with business owners on a daily basis and know the ins and outs of their business (some more than others)

They have all found out that "Offers in Compromise" have been around for years. But in order to literally settle your tax bill for pennies-on-the-dollar, you really have to be poor.

Payroll taxes are the worst if you let them build up and they will not accept anything less than the owed amount unless - you are poor.

Other taxes associated with small business are to be paid in full w/wo penalties unless - you are poor.

Poor being described as earning less than 12k a year - HH


See the pattern............

Hope this helps - may not be what you want to hear.

Yeah i figured as much.. I saw the offer in compromise form and it has a section to list all assets including stocks and mutual funds.. I know once they see it Ill have to pay up:facepalm:

Its not all bad. I expected to owe more. Luckily I have so many write offs that Im only paying a small percent compared to most so I guess Ill take the hit :sadwave:

 

[theGibber1]

PAY UP GIBBER YOU STIFF !

Ill do my best Vinnie! I know you are counting on those government checks every month:142smilie

 

[lostinamerica]

1. File your tax returns by the extended due date of 10/15/10. Given a filing on or about the last day, with a large balance due being shown since 4/15/10, a certified mail receipt is advisable . . .or an electronic filing acknowledgement by 10/15/10.

2. Remit as much of the unpaid balance as you can with the return.

3. If there is an unpaid amount, you will receive an IRS notice in approximately 35 days (or sooner if you file electronically).

4. Contact the phone number on the IRS Notice and work out a payment plan. If you have paid most of the tax, and owe about $12,000, it will be a routine matter at 12 to 18 months (or more), which you can always pay sooner.

5. The interest rate on each dollar of unpaid tax since 4/15/10 is at about 7%, I think, until paid. The penalty on each dollar of unpaid tax since 4/15/10 is generally 0.5% per month until paid, unless you fail to file (regardless of payment) by the extended due date of 10/15/10; a failure to timely file bumps the penalty on unpaid amounts since 4/15/10 from 0.5% to 5% per month for the first 5 months.

6. You won't be getting any forgiveness of the tax, interest and penalties, IMO.

GL