What happens when you fail to pay your annual taxes?

When you fail to pay your annual taxes, the tax authority may impose penalties and interest on the unpaid amount, increasing your overall liability. They may also initiate collection actions, such as garnishing wages or placing liens on your assets. Continued failure to pay can lead to more severe consequences, including legal action or criminal charges in extreme cases. It's advisable to contact the tax authority to discuss payment options or arrangements to mitigate these repercussions.