Congratulations, folks, we did it — we made it to one of the least-awesome times of the year: tax season. Break out the champagne.
Unless there’s a federal holiday, your deadline to file (and pay) is always April 15. Like death, it’s nonnegotiable.
Now, if you’re one of those responsible legends who filed back in January, you get to skip this party. The rest of us? Yeah, we’ve got some catching up to do.
Let’s keep it simple: You have to file your taxes. If you owe, you pay. There’s no secret shortcut, no clever loophole that’ll save you from Uncle Sam if you try to ghost the IRS. And trust me, they do not forget.
Lots of people carry debt, but federal tax debt is a beast all its own. It doesn’t just sit quietly in a drawer somewhere. It escalates — and fast.
Here’s how it can go sideways:
They’ll start knocking — softly at first
Miss a filing or owe money? You’ll get letters — polite but firm. If you ignore them, the IRS legally has to bring in a private debt collector. That’s when the phone calls start. They’re not allowed to harass you, but if you blow them off too? A revenue officer may show up in person. Yes, to your door.
Debt grows like mold
You don’t even need to miss a payment to start racking up interest — simply not paying in full is enough.
- Interest kicks in at 7%, compounding daily.
- Miss a payment? That’s a 0.5% monthly penalty.
- Don’t file? That’s 5% a month — up to 25%.
- More than 60 days late? You’ll owe either $450 or 100% of your tax bill. Whichever is more.
This is a fire you do not want to feed.
They’ll take a bite out of your paycheck
If you’re earning money but not paying up, the IRS can garnish your wages. They decide how much. And if you get a bonus? Kiss it goodbye. That check’s going straight to Washington.
Adios, passport
If you owe too much, the IRS can alert the State Department. That means no renewals, no new passports, and if you’re abroad, you may only get a one-way ticket back — to deal with your mess.
You’ll lose your refund
Getting a refund basically means you lent the government money for free. But if you don’t file? You don’t get it back. You’ve got three years from the original due date to claim it. Miss that window? Game over. That refund vanishes.
Tax liens = financial handcuffs
Owe $10K or more? The IRS can slap a lien on your property, your assets — heck, even your house. And it doesn’t stop there. That lien can go public, trashing your credit and making it hard to get a loan, job, or place to live. And even after you pay, it can take up to a month for the IRS to lift it.
And yeah, jail is on the table
If you’re just broke, they’re not gonna throw you in a cell. But if you’re actively hiding income, falsifying returns, or committing fraud? That’s a crime — and they will come after you. The IRS keeps a book of tax crimes. Don’t be the plot of a cautionary tale.
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