The taxes are still growing and waiting to be paid the following year if not quarterly by a business.
The "Offer In Compromise" or (OIC) deal that the government is offering to folks who can't come up with the money to pay in full has changed.
They've altered some rules to the "Fresh Start" program to be more helpful to whoever needs them.
It is not accepted when the IRS feels that you can pay the lump sum in full or by using a payment deal.
The IRS will look at what you have for assets and income to figure it out.
The IRS has something to say about it all:
Here are the OIC changes:
If you owe up to $50,000 you can pay through direct debit payments of as much as six years (72 months).
It is complicated, and these pages are meant to be informative about tax yet always subject to the IRS' changes etc.
More information on the “Fresh Start” initiative can be found at www.irs.gov after all they are the source for this information.
Here is a good place to look:
A lot of people break out in a nervous sweat and get the shakes when it comes time to file their taxes.
The first time that I tried to file by myself left me with a feeling of confusion because I did not bother to read any information about how to go about it in a fair way, a way that didn't leave me broke and living in a cardboard box in the alley.
I just had at it without reading anything and it was overwhelming. I assure you that after all these years I won't get into a difficult situation like that without any proper info and good forms to file.
Some folks just file as fast as they can to get it over with. They loose out on a bunch of legitimate deductions and allocations that could have saved them a ton of money at tax time.
I would rather be getting a nice tax refund than pay the IRS a lot of money. Pay attention to the details.