We present results of VLA and VLBA observations of the 1.420 GHz neutral hydrogen absorption associated with the Compact Symmetric Object 1946+708 ( z =0.101 ) . We find significant structure in the gas on parsec scales . The peak column density in the H i ( N _ { HI } \simeq 2.2 \times 10 ^ { 23 } cm ^ { -2 } ( { T _ { s } } \over { 8000 K } ) ) occurs toward the center of activity of the source , as does the highest velocity dispersion ( \Delta V _ { FWHM } \simeq 350 km s ^ { -1 } ) . In addition , we find that the continuum spectra of the various radio components associated with these jets strongly indicate free-free absorption . This effect is particularly pronounced toward the core and inner components of the receding jet , suggesting the presence of a screen local to the source , perhaps part of an obscuring torus .