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What To Do if You Owe the IRS

If you owe tax to the IRS but you can’t pay the full balance right now, you have some options.  Follow these tips to avoid additional penalties and interest.  First, file your taxes or file an extension by April 15th.  However, the extension does not grant you additional time to pay the tax due and if you think you will owe money you should pay as much as you can of your projected tax with the extension.

For those who are tight on cash right now, you are not alone, and the IRS has offered to allow a “grace period” of 30 to 120 days to pay the tax based on your circumstances.  Penalties and interest will be lower if you qualify and can pay the tax in a month to three months.  You can complete an Online Payment Agreement Applicationor call the IRS at 1-800-829-1040.

If your tax payment due is less than $25,000 you can request installment payments online through the Online Payment Agreement Application and receive immediate notification of approval.

Finally you can pay your tax balance with your credit card.  Below are links to IRS authorized service providers.  There is no IRS fee to pay with credit card, but the provider will charge a convenience fee for the transaction.
Link2Gov Corporation:
To pay by debit or credit card: 888-PAY-1040 (888-729-1040), http://www.pay1040.com

Official Payments Corporation: 
To pay by credit card: 800-2PAY-TAX (800-272-9829), http://www.officialpayments.com
To pay by debit card: 800-866-4PAY-TAX (866-472-9829), http://www.officialpayment.com/debit