The Importance of Addressing Your Tax Balance Sooner Rather Than Later

Addressing your tax balance sooner rather than later is crucial for maintaining your financial health. Many taxpayers make the mistake of ignoring their tax obligations, hoping the problem will resolve itself. Unfortunately, the IRS doesn't forget, and delays only compound the issue.

Why Acting Early Matters

The IRS charges both penalties and interest on unpaid tax balances. The failure-to-pay penalty is typically 0.5% of the unpaid taxes per month, up to 25%. Interest compounds daily based on the federal short-term rate plus 3%. The longer you wait, the more you owe.

Options Available to You

Several resolution strategies exist depending on your financial situation:

• Installment Agreements: Set up monthly payment plans with the IRS
• Currently Non-Collectible Status: If you genuinely cannot pay, the IRS may temporarily halt collection
• Offer in Compromise: In some cases, the IRS will accept less than the full amount owed
• Back Tax Filing: If you have unfiled returns, getting them filed is the critical first step

Take Action Today

Don't let fear or procrastination worsen your tax situation. Contact EverydayCPA for a confidential consultation about your tax balance. We've helped hundreds of clients resolve their tax debt and regain financial peace of mind.

Call us at 888-784-1040 or schedule a Zoom meeting with Kelly to discuss your options.