What Happens If You Owe Back Taxes and Do Nothing?
Owing back taxes can feel overwhelming, especially when the balance grows over time. Some people delay addressing the issue because they are unsure where to start or believe they cannot afford to resolve it.
When back taxes remain unpaid, the IRS or the Georgia Department of Revenue may continue adding penalties and interest. Over time, this can significantly increase the total amount owed. Notices typically escalate in tone and urgency, and unresolved balances may eventually lead to enforced collection actions.
These actions can include tax liens, which publicly attach to your property, or levies, which allow the government to seize funds from bank accounts or garnish wages. For business owners, unpaid taxes can also interfere with licenses, financing, and ongoing operations.
In certain cases, unresolved back taxes can limit your ability to negotiate later. Some resolution options require compliance with filing and payment obligations before they are even considered.
Understanding what options may be available depends on your income, assets, filing history, and whether the debt is federal or state based. Call our Atlanta office right now to learn what may apply in your situation.