If you don’t have enough money to cover your tax bill come April 15th, don’t freak out. Late payments to the IRS only affect your credit score if you don’t address the issue within 30 days or more. The best thing to do is to speak with the IRS and negotiate an affordable payment option or to request an extension. Unfortunately, if you leave tax bills unpaid or take on more credit or loan debt to cover your unpaid taxes, your credit score could be negatively affected.
Read on to find out how your tax bills might affect your credit score, and how you can protect your credit from any negative consequences this tax season. [Read more…]