On Your Side: Why you might owe the IRS
SPRINGFIELD, Mo. (KY3) - It’s not a scam. Viewers tell us they’re getting bills from Uncle Sam. Some families owe thousands. It’s linked to stimulus payments.
About 9 million families will get a letter (CP 11, CP 12, CP 13, or letter 6470) saying there’s a math error.
There’s a miscalculation from the Recovery Rebate Credit, which is tied to the stimulus payments.
“If you received your stimulus payments you cannot also receive recovery rebate credit,” said Tiffany Cossey, with Drury University School of Accountancy.
You cannot double-dip. If you don’t pay, expect interest and penalties.
“If you think you don’t owe it, you can appeal it. The government has to hold off any collection procedures,” said Cossey.
The IRS accepts credit card payments.
“Or if you want to, you can request a payment plan from the IRS. The problem with that is they charge a fee for you to request a payment plan,” said Cossey.
If you hired a tax pro, show them this letter. You can always log in to the IRS website and compare what you qualify for versus what you got to see if you’re square.
To report a correction or typo, please email firstname.lastname@example.org
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