IRS Debt ?

**wannabedebtfree** · 03-12-2008, 11:56 AM

I have read a couple of posts where people owe the IRS. I am curious as to how many people on here do owe the IRS and how much (if willing to share) and/or how long your payment plans is expected to be. Also, if you have them first on your list to pay and why/why not.

My FI does and has a payment plan set up with them. He owes apx $16K

. We are going to snowball it later in our plan. I know most people feel that we should pay them off first but that is now how we are currently doing it. I am trying to figure out if we should change our plan. The Statute of Limitations on the majority of this amount is up in 3/2011, which has been the reason this is last on our list to snowball (none of the other debt has a SOL). TIA

**COUNTRYBUMPKIN** · 03-12-2008, 02:30 PM

Well I do not owe them but do know for a fact that my dear brother does. He needs to set up a payment plan with them. They will work with you on that. I do know too that if you do not make it a priority to pay them that they will garnish your wages. Good luck!

**yankeegal** · 03-12-2008, 04:04 PM

I don't owe the IRS personally, but know people as well that have had their wages garnished. I would make paying them my priority-the interest on what is owed can add up quickly.

**FrugalMomof3** · 03-12-2008, 05:48 PM

I dont owe the IRS but I know my DH did over 10 years ago, they garnished his wages until it was paid in full + interest.

Make the IRS payments a priority that's for sure.

**mombottoo** · 03-12-2008, 06:14 PM

We did owe the IRS paid them in full just the other day!!!

Our payments were $500 per month, they never threatened to do anything to us. Actually the people we dealt with were quite easy to work with and extremely helpful.

Our payments started in Oct., 2005 and were scheduled to end in May, 2008.
From Oct., 2005 to present we paid them a total of $13,763.77 and that total includes penalties & interest. We paid that bill 1st every month. You don't need to change your plan unless you want to pay them less every month. You can just send in extra money with your regular payment. That way if for some reason you don't have the extra cash it won't come back to bite you in the butt.

I'm a firm believer that if you owe the debt, you pay it. It wasn't the IRS's fault I made errors doing my taxes and it probably wasn't the IRS's fault your FI made his.

**Laurie in Bradenton** · 03-12-2008, 06:31 PM

Well guess I'm the odd one out again. DH and I own a small business and have ended up over the last 20 years owning the IRS. We've had some good expernices with some folks and awful with others. Had one meeting at our CPA's office where the agent made a big show of putting his gun on the table during the beginning of the meeting.
We've owed from as little as 2 grand a year up to 22k a year. Totally we currently owe close to 60,000. for several years. We have had our home leined and bank accounts sized. We have lived throught it. We've also had several 10k debts expire after the 10 year cycle. Since we have no plan to move anytime soon we just let them lien the house and go on. We keep mininal money in the bank which we have mininal funds anyway. Since we're in the construction industry money is never a gaurantee we didn't go with the payment plan they tried to tie us to. I couldn't promise to pay $500.00 a month when I didn't know if we'd have it. I pay our bills first if something is leftover then I apply to the lowest balance.
If you have anymore questions feel free to PM me.

Laurie in Bradenton

**kettlecorn** · 03-12-2008, 09:20 PM

We are on a payment plan currently. Only $500 left so it will be paid off next month. Yea! We had an arrangement of $400 a month but it was difficult to swing so we called them and they were very helpful in letting us make changes. I think as long as you communicate with them and pay something, they know you arent doing anything deceitful-sp? I would try to make it a top priority though.