Tax
I cannot afford to pay my tax bill — what are my options?
I owe a significant amount after a year of freelance income where I did not set money aside. I can pay something each month but not the whole amount. What can I do?
Asked anonymously · 3 weeks ago · Texas, US
·
1,110 views · 1 answers
1 lawyer answer
File your return on time even if you cannot pay. Penalties for not filing are often much higher than penalties for paying late.
Most tax authorities offer options such as:
- Instalment or payment plans over months or years.
- Short-term extensions to pay.
- In cases of genuine hardship, settlement for less than the full amount or a temporary delay in collection.
Interest and some penalties usually continue to accrue on a payment plan, so paying as much as you can early reduces the total cost. Going forward, setting aside a percentage of each payment for tax helps avoid a repeat.
This is general information, not legal advice — speak to a licensed lawyer about your situation.
👍 27 helpful
Contact Xavier →
Are you a lawyer?
Answer this question to help the asker — and get found by clients with similar issues.
Sign in to answer