There are some people who believe that non-payment of taxes can save them money. But do you know that if you religiously comply with the IRS payment plans instead of running away from it can save more money in the long run? The government needs the taxes from its citizens and the IRS has been putting all its efforts in trying to collect as much money in order to finance the various programs of the federal government. Non-payment will only lead to additional interests and penalties plus, you may need more money for lawyers in case you will be subjected for a legal proceeding. Thus, in order to save yourself from all the hustles of non-payment do your obligations to our country. Here’s how complying with the IRS payment plans can save your precious cash:
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As stated in the constitution, if one fails to pay his taxes on or before the specified deadline, a penalty of 25 percent shall be charged to the next tax payment. Thus, you need to file a return before the taxes are due in order to avoid being penalized.
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If you want to be eligible for credits, personal exemptions, or deductions of tax payable; you need to file your return without fail. The office allows tax payers to pay their obligations in a weekly or monthly basis if the individual has been following the IRS payment plans. Now, it will be so much easier to pay your taxes especially when the amount is too large.
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American tax payers who has filed returns and paid their taxes within three years of the due date of the actual return will be eligible for refunds; they may also be awarded of an Earned Income Tax Credit. If you continue paying your taxes at the earliest time possible, the Earned Income Tax Credit and the refunds will surely accumulate.
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During these tough economic times, most American workers rely on loans to purchase a home, get a car, or get through a child in college. Do not forget that the primary requirement in obtaining loans such as home loans, personal loans, etc is providing a copy of the filed tax returns. If you have been negligent in paying your taxes, the IRS may not approve your loan application.
Remember that all the benefits, deductions, and exemptions on taxes are offered only by the Social Security Administration to the tax payers religiously following the IRS payment plans. Anyone looking for loans and cannot present a copy of their tax returns may be refused of their request. It is suggested that you file your returns and pay your taxes before it is due to avoid the hustles of beating the deadlines. If you want to pay your returns in a weekly or monthly basis, you may do so provided that you have informed the office beforehand. The important thing is that you are paying on time to avoid the 25% penalties and to avail of the various benefits coming from the Social Security Administration.
