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I live in ohio and I owe the tax department under 1.000 dollars. Is it okay to pay them 20.00 dollars a month?

I am on a fixed Income

7 Answers

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  • Babe
    Lv 7
    7 years ago

    At $20 per month it would take you FIFTY MONTHS to pay this, so no, it is very doubtful the city would accept this amount. You need to clear up this year's bill before next year's bill comes due. MAYBE the City would accept $100 per month. You can only ask.

    You should go into the offices and talk with the City Clerk and ask 1) if there has been a calculation error, and 2) if you can file some kind of request for deferment. Be prepared to provide financial support (last year's tax return, an income statement, etc) that will show how limited your income really is.

    Good luck.

  • ?
    Lv 7
    7 years ago

    State tax department or the IRS United States Treasury Department that you do owe under 1000 to at this time and for this purpose.

    WE are the one that you should be trying to talk to ask about how much you can pay each month until the owed amount would be paid in full including all of the penalties and the interest that is now adding to and accumulating into a bigger past due amount at this time.

    For the federal go to the www.irs.gov website and choose need to pay tax

    Make a Payment

    www.irs.gov/Payments/Make-a-Payment - May 01, 2014

    For the state then you should go to your state department of revenue website to try and make some arrangement with them for this purpose.

    Hope that you find the above enclosed information useful. 07/12/2014

  • M
    Lv 6
    7 years ago

    Do you owe the state of Ohio for income taxes or the IRS? If it's the IRS, it doesn't matter what state you live in.

    Yes, the IRS will accept your $20 & you should pay whatever you can to reduce the interest which keeps accruing on your over due taxes.

    If you owe, you should enter into a payment plan with the IRS. There is a $43 fee, if low income & the payments will prob be larger than $20 a month.

    http://www.irs.gov/Individuals/Online-Payment-Agre...

    If you really can't pay more than $20 -checkout hardship waiver. You will need to fill out Form 9465 - Request for an Installment agreement along with Form 433 F. The IRS will determine how much they believe you can afford to pay monthly based on the info you entered on Form 433 F. I've known ppl, who have received a reduced installment amount & I know taxpayers who did not need to make monthly payments due to their financial hardship. You still owe your tax debt to the IRS You may get a reduced monthly payment amount or if your income is low enough, you won't have to make payments till your financial situation improves. You still owe though; but they will not assess further penalties..

    Check out these links & go from there

    http://www.irs.gov/Payments/Alternative-Payment-Pl...

    http://www.irs.gov/Individuals/Payment-Plans,-Inst...

    http://www.irs.gov/uac/What-if-I-can%E2%80%99t-pay...

    http://www.irs.gov/uac/The-%E2%80%9CWhat-Ifs%E2%80...

    http://www.irs.gov/pub/irs-pdf/f433f.pdf

    http://www.irs.gov/pub/irs-pdf/f9465.pdf

    There is also a form to ask for abatement from penalties. They will accept a letter & from my experience a letter is better.

    If you couldn't pay your taxes due to financial hardship or for various other reason & this is the first time this happened, they may remove all the penalties you owe.

    I used Google & came up with a link you can read for further info..

    http://www.algtaxsolutions.com/tax-help/irs-penalt...

    A link to find your local taxpayer advocate

    http://www.irs.gov/Advocate/Local-Taxpayer-Advocat...

    Good Luck

  • 7 years ago

    Yes, if that is all you can afford they have to accept that. You will need to fill out a payment plan form where you list all of your expenses and your income then tell them what you can afford to pay. As long as you pay every month and you are not late they have to accept it. They can add interest on what you owe but if you talk to the right person they will freeze the amount your owe. The IRS is so much nicer and easier to talk to than the state revenue dept. The states that are run by republican governors are not understanding for low income people and they will even go after your social security or disability pay which is something even the federal government won't do. If you do not make payment arrangements and you are working the state will take your checks and they may take all of every one of your checks until the money is paid back. If you miss a payment it cancels the payment arrangement and they will take steps to take any money you earn.

    In WI we have something called homestead where if you are low income you can get a refund on your property tax, if you rent or own. Even if you don't earn enough money to file taxes you can get this homestead credit. If you have something like that there and you have not used it you can go back 5 to 7 years and file for it and that money can be put toward what you owe.

    There are also tax people who will help out low income people and they could go through your past taxes and see if there were any mistakes and they can file an amended tax to help with this problem.

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  • 7 years ago

    It is the city tax that I owe.

  • tro
    Lv 7
    7 years ago

    you need to make arrangements for an installment agreement, they may or may not accept your $20/mo to pay toward your tax bill

  • NA
    Lv 7
    7 years ago

    Only if they say it's okay. I would think the minimum would be higher.

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