Mar 28 • General discussion
Steps taxpayers can take now to resolve tax issues and stay on track
Taxpayers who owe taxes or have not yet filed can benefit from acting early. Taking the steps outlined below can help limit penalties and interest, prevent delays, and make it easier to resolve tax issues.
Step 1: Prepare to file your return
Before filing, taxpayers should review their return to ensure all income is reported and deductions are claimed correctly, including any deductions reported on Schedule 1-A.
Taxpayers should keep records that support the amounts on their returns, such as pay statements or other documentation.
Step 2: Review your return before filing
Taxpayers who have not yet filed required returns should file as soon as possible, even if they cannot pay the full amount they owe. Filing allows taxpayers to:
- Claim available deductions and credits
- Reduce failure-to-file penalties
- Access payment and resolution options
Electronic filing remains the fastest and most accurate way to submit a return. The IRS encourages taxpayers to file electronically to ensure timely delivery of their returns.
Step 3: Make a payment, even if it is partial
Taxpayers who owe taxes are encouraged to pay as much as they can by the deadline. Paying even part of the balance can reduce penalties and interest. Electronic payment options are available through IRS.gov.
Step 4: Set up a payment plan, if needed
Taxpayers who cannot pay their full balance may qualify for a payment plan. Many taxpayers can:
- Request an installment agreement online
- Choose a payment schedule that fits their situation
Setting up a payment plan early can help prevent balances from growing.
Step 5: Respond promptly to IRS notices
Taxpayers who receive an IRS notice should read it carefully and respond by the date listed. Notices may request:
- Payment
- Additional information
- Action to correct an issue
Responding promptly can help avoid further penalties or delays.
ACT EARLY!
Acting early gives taxpayers more options and flexibility. Waiting can lead to additional penalties, interest, and delays.
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Steps taxpayers can take now to resolve tax issues and stay on track
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