Seeking Advice: Managing Tax Obligations and Property Down Payment

[Michael Ming]

Hello everyone,

I find myself in a challenging financial situation and would greatly appreciate any guidance you can offer.

I have a pending income tax payment of approximately $200K for the year 2023, due by September 10. Additionally, I am in the process of closing on a commercial property, which requires a $300K down payment by October 15.

If I settle the tax bill, I won’t have sufficient funds for the property down payment. However, failing to pay the tax could result in a lien against my company, complicating the approval process for a mortgage and incurring an estimated $10K in penalties. Obtaining a $200K loan to cover the tax appears to carry a similar risk of a lien, potentially jeopardizing my mortgage approval.

What would you advise in this situation? Are there any hard money lenders or alternative solutions that could help navigate this dilemma?

Thank you for your insights.

Hello everyone,

I am in a quite awakward situation and looking for some help.

I need to pay around $200K income tax for 2023  before Sep 10. 

And, I'm closing a commercial property that requires $300K down and the closing date is Oct 15.

If I pay the income tax, I will not have enough fund for downpayment.

But if I don't pay the tax, I may get a tax lien on my company which may prevent me from getting an approve for the mortgage plus I need to pay around $10K penalty.

And, if I get a $200K loan, they may put an lien on my company and potentially prevent me from getting a mortgage too.

So, what should I do now?

Is there some hard money lender can help or I have some better choice?

[Travis Timmons]

When you find yourself in a hole, stop digging. Let the property go and pay the tax bill.