Hi Everyone, I expect to owe a lot in taxes this coming April from stock I sold to make a down payment on a condo in 2015. The IRS offers a payment plan of up to 6 years but does not say what interest rate and penalties they will charge. Any idea what ballpark amounts we are talking about here? Any other options I should consider? Thanks, Burt

See IRM 5.14.1.2 Also IRM 5.14.5.2

Interest and Penalties for IRS Payment Plan?

Nov 25, 2015 2 Replies

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burt.demchick 10 years ago

Hi Everyone,

I expect to owe a lot in taxes this coming April from stock I sold to make a down payment on a condo in 2015. The IRS offers a payment plan of up to 6 years but irs.gov does not say what interest rate and penalties they will charge.

Any idea what ballpark amounts we are talking about here? Any other options I should consider?

Thanks, Burt

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paultry 10 years ago

See IRM 5.14.1.2

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Also IRM 5.14.5.2

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D. Stussy 10 years ago

Any idea what ballpark amounts we are talking about here? Any other options I should consider? ============== The interest rate is set by statute. It is currently 3% and cannot go lower. It is likely to increase soon, at least to Fed. Chairwoman J. Yellen's "doublespeak." The penalty is also set by statute. It is fixed at 0.5% per month, capped at 25 months.

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