Tax day 2011: Last-minute tips to keep the Internal Revenue Service away

Here are nine tips that tax experts (and the friendly Internal Revenue Service itself) offer to help keep you from getting audited, owing a penalty, paying more than you really owe, or having to file an amended return because of a mistake.

6. File even if you can't pay

If you are unable to pay all your taxes, the IRS says to file a tax return anyway, which will reduce the penalties you owe, and pay what you can. Then work with the IRS to set up a payment plan (or the IRS has an "Online Payment Agreement Application"). The penalty for not filing a return is steep: 5 percent of the amount you owe for each month, up to a maximum of 25 percent. By contrast, the penalty for paying late isn't as onerous.

6 of 9
You've read  of  free articles. Subscribe to continue.