<prompt> Human: A little bit of background here. Im a 23 year old college graduate living in NYC dont have much money saved. When I was in college, a family member of mine provided me with money to help with miscellaneous expenses to be paid in addition to my tuition. All in all, the money totaled about 20,000 which I used to pay for a car, housing, food, textbooks, and my eventual move to New York City. I just received a notice yesterday from the IRS saying that I understated my income the year I received that money and that I owe approximately 6100 plus 1180 for a penalty fee. When I filed my tax return that year, I was young and stupid and assumed it would be classified as a gift as it was being used for college related expenses. In reality, the money was being kept in investments in my name so there were various 1099s that I should have filed with my tax return that my family member never informed me about.What can I do at this point? I should be able to pay the debt in monthly installments according to the IRS website. Has anyone had a similar situation in the past? I just received the notice last night so I have until September 2nd to submit a decision.Thanks in advance!  <response>: In reality, the money was being kept in investments in my name so there were various 1099s that I should have filed with my tax return that my family member never informed me about. This doesnt sound like a gift. 