M&M Has the Answers! -Am I being taken advantage of? -Who can I trust with this? -What information and documents do I need to provide? Why? -When do I start making payments? How do I make them? -Do I qualify for any reductions?
Penalties are assessed, the IRS claims, to encourage compliance. The fear of penalties is supposed to keep all of us in line, reporting and paying our taxes in a timely manner. What happens when you have a real excuse?
One common debt we hear about is to credit cards. Unlike the IRS, a credit card company must be awarded a judgment by a court of law before they can take money from bank accounts or garnish wages. The IRS does not need a judgment to do this.