Tax Problems

Unfiled Returns

Failure to file your returns can cause serious financial problems. If you haven’t filed a return in one year – or several – it’s important to get back in compliance with the IRS.

A man reviewing his taxes

“Failure to file penalties are more than the failure to pay, which is why filing on time is important. Failing to file returns is also a criminal offense, which could carry significant penalties, as well as, possible jail time.”

- Alyssa Maloof Whatley

Unfiled Returns

Do You Have Unfiled Returns? Now Is The Time To Act.

There are a lot of reasons why people fail to file their individual or business tax returns. As you can imagine, the IRS takes unfiled returns very seriously. Plus, being out of compliance with the federal or state taxing authorities leaves you vulnerable to their aggressive collection tactics.

If you need to get things right with the IRS or other taxing authority, you’re in the right place. With past due returns and all the associated penalties and interest that have accrued, you need the guidance of a tax professional who specializes in getting tax related problems solved.

Once your returns are prepared, it’s time to negotiate with the IRS – and you don’t want to go it alone.

What Happens If I Have Unfiled Tax Returns?

You may receive a notice called a Substitute for a Return. Because third parties report on your wages and other income sources to the IRS, the IRS uses their “best guess” to figure out what you owe in taxes based on the available information.

The trouble is, this guess almost always represents an inflated tax bill because they don’t look for the deductions that might be available to you. Worse still, some states view this substitute return as final – meaning it can end up with a ripple effect on your state tax bill.

A senior couple reviewing taxes
The Law Firm of Alyssa Whatley team
A man crossing his arms with a check badge

How Can I Resolve Unfiled Tax Returns?

It’s important to get into compliance with the IRS as quickly as possible, so start by gathering any documentation you may have to prepare a return. In addition, you will want to get your wage and income transcripts so you can see what information has reported to the IRS and make sure you are not missing any information from your return. Getting your returns filed is only one part of the process.

Chances are, if you haven’t filed in a year or longer, you’re facing significant penalties and interest. You need a skilled negotiator on your side to deal with the IRS and get your into a repayment plan that works for your financial situation.

How Many Years Will The IRS Go Back On Unfiled Taxes?

There’s no statute of limitations on unfiled returns, although typically the IRS doesn’t go back more than 6 years. However, they retain the right to go back and look as far back as they like for unfiled returns and to assess penalties and interest for past due tax bills.

Can I Go To Jail For Unfiled Taxes?

While rare, yes. Failure to file returns can be a criminal offense and jail time is a possible outcome for unfiled returns.

A man reading his phone to see when his lat filing was and a calendar

Will The IRS Work With Me On My Unfiled Taxes?

The IRS has stepped up enforcement of unfiled taxes using data analysis and new compliance tracking strategies. The IRS wants taxpayers in compliance with filing requirements.
Getting your unfiled returns completed is only one part of the process as a taxpayer. You’ll also need to address any outstanding back taxes. That’s why working with a tax attorney is critical to ensure you have a tax strategy that works for you.