If you find you owe tax after completing your federal tax return but can't pay it all when you file, the IRS wants you to know your options.

Here are four tips that can help you lower the amount of interest and penalties when you don't pay the full amount on time.

  1. File on time and pay as much as you can. Filing on time ensures that you will avoid the late filing penalty. Paying as much as you can reduces the late payment penalty and interest charges. For electronic payment options, see IRS.gov. If you pay by check, make it payable to the United States Treasury and include it with your return.
  2. Consider getting a loan or paying by credit card. The interest and fees charged by a bank or credit card company may be lower than IRS interest and penalties. For credit card options, see IRS.gov.
  3. Request a payment agreement. You do not need to wait for IRS to send you a bill before requesting a payment plan. You can:
    • Use the Online Payment Agreement tool at IRS.gov, or
    • Complete and submit Form 9465, Installment Agreement

    Request, with your tax return. Find out about payment agreement user fees at IRS.gov or on Form 9465.
  4. Don't ignore a tax bill. If you get a bill from the IRS, contact them right away to talk about payment options. The IRS may take collection action if you ignore the bill, which will only make things worse.

In short, it is always best to file on time, pay as much as you can by the tax deadline and pay the balance as soon as you can. For more information on the IRS collection process go to IRS.gov or see IRSVideos.gov/OweTaxes.

Quickly and easily pay your taxes and/or request an installment agreement via Form 9465 in TaxACT. Start your return now.

Additional IRS Resources:

IRS YouTube Video:

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Upcoming Tax Dates

January 1 Everyone
Federal Holiday (New Year's Day) - Details

January 12Employees who work for tips
If you received $20 or more in tips during December, report them to your employer - Details

January 12Communications and air transportation taxes under the alternative method.
Deposit the tax included in amounts billed or tickets sold during the first 15 days of December 2014.

January 14Regular method taxes
Deposit the tax for the last 16 days of December 2014.

January 15Individuals
Make a payment of your estimated tax for 2014 if you did not pay your income tax for the year through withholding (or did not pay in enough tax that way). Use Form 1040-ES - Details

January 15 Farmers & fishermen
Pay your estimated tax for 2014 using Form 1040-ES - Details

January 15 Social security, Medicare, and withheld income tax
If the monthly deposit rule applies, deposit the tax for payments in December 2014

January 15 Nonpayroll withholding.
If the monthly deposit rule applies, deposit the tax for payments in December 2014.

January 20 Everyone
Federal Holiday (Birthday of Martin Luther King, Jr./Inauguration Day) - Details

January 27 Communications and air transportation taxes under the alternative method.
Deposit the tax included in amounts billed or tickets sold during the last 16 days of December 2014.

January 29 — Regular method taxes
Deposit the tax for the first 15 days of January.

View More Tax Dates