You have filed your returns but didn't have the money to pay
what was owed. You may think, "I will catch up next year." Since the IRS did not show up at your doorstep on April 16, it is easy to you find yourself several years in arrears. Next there is a notice from the IRS, stating that you owe
three or four times the original amount and they intend to levy against your assets or wages.
It's truly amazing how fast tax penalties and interest add up. Now
you have a choice, you can write a check and pay the full amount,
including interest and penalties. Or you can just keep
ignoring them while the penalties and interest keep piling
up.
