If you know what that title means then you are probably rushing now to get your business information to your CPA or tax preparer because you did not get things done on time to file your 2009 taxes by April 15th. Well, you are probably in good company because many people file taxes late.
One thing you need to understand, especially if you're self-employed, is that you need to file your taxes in a timely basis. Not having the money to pay your taxes is a separate and distinct issue that can be a real concern for any taxpayer, but is one that you can discuss with the IRS and work out a payment plan. The IRS is not unreasonable to deal with and in most cases if you are paying your quarterly estimated tax payments (or at least attempting to do so) and you file your taxes on time, you will probably be able to work things out with the IRS representative you end up talking with.
However, if you have made a lot of money in your business (good for you) but you haven't been paying your estimated quarterly tax payments (bad for you) and then you file taxes and don't pay the taxes due (another bad for you) it is then when the IRS can get a bit testy - why? Simply put -- you made the money, you had the money but you didn't pay your taxes!
I am no tax expert. I am the one that prepares the information for the CPA's, Tax Attorneys and tax preparers so my goal is to prepare, throughout the year. Have all the information input into Quick Books or some format the client is using and make sure their estimated tax payments are made and their back up is organized but when small business owners or self-employed individuals are "doing it all" they seldom have the time to be that organized. My suggestion is to always have your documentation and financial records in order and ready - it is the responsibility of any business owner to do this because the IRS considers you a business - even if it is only you and really who wants to be on a first name basis with the IRS because you're behind with your tax payments or you aren't filing your taxes?
It's only the 5th of October ... make a point of making 2010 the year of change and filing your taxes on time!