Why Doesnt The Irs Tell You What You Owe?

Why Doesn’t the IRS Tell You What You Owe?

The IRS does not tell taxpayers what they owe for taxes due to the complexity of tax law and the varying financial situations of taxpayers. The IRS requires taxpayers to determine what they owe and pay the appropriate taxes. This includes calculating taxes due, filing the appropriate forms, and paying the amount in a timely manner.

Calculating Tax Liability

Taxpayers have the responsibility to calculate their tax liability. This includes the calculation of taxable income, deductions and credits. It is important to understand the rules and regulations of the current tax year to ensure that the correct amount of taxes is paid. Taxpayers can use online tax software, work with a tax preparer, or calculate taxes manually.

Filing the Proper Forms

Once the tax liability has been calculated, taxpayers must file the appropriate forms with the IRS. This includes the 1040 form, the 1099 forms, and any other forms related to deductions and credits. Depending on the taxpayer’s financial situation, additional forms may need to be filed.

Paying the Tax Liability

Taxpayers must pay the amount of taxes due by the due date. This includes any balance due from the previous year, or any estimated taxes for the current year. Payment options include direct payment from a checking or savings account, or a payment plan. Interest and penalties may be assessed for late payments.

Conclusion

The IRS does not tell taxpayers what they owe for taxes due to the complexity of tax law and the varying financial situations of taxpayers. Taxpayers have the responsibility to calculate their tax liability, file the appropriate forms, and pay the amount in a timely manner. Payment options include direct payment from a checking or savings account, or a payment plan. Interest and penalties may be assessed for late payments.