Late Tax Returns or Unfiled Tax Returns

Filing late tax returns can be a fairly easy process in many cases. It’s a matter of gathering all the appropriate information, completing tax forms and negotiating refunds or a payment plan to settle back taxes you may owe. Use the services of a Taxpayer Resolution representative to assist with late tax return processing, responding to IRS inquiries and help with refunds or settlement of taxes you may owe.

What are Late Tax Returns?

Late tax returns are any tax returns that were not filed before the due date. Federal income tax returns are due on April 15th of the following year.

Why You Should File Your Income Taxes?

There are several reasons to file your late tax returns. First, you could lose your tax refund. Second, even if you owe taxes, simply filing  your tax returns can help reduce tax penalties. Third, filing your tax returns can often be used to obtain loans. Fourth, filing your tax returns may even help increase your future social security benefits.

How Does the IRS Know You Didn’t File Your Taxes?

Chances are that your income has been reported to the IRS by others. Most commonly reported income are wages, payments to self-employed individuals, interest, dividends and stock transactions. The IRS matches income attributed to you that has been reported by others, identifies those persons who are generally required to file and have not filed their returns, then begins collection actions against you to collect taxes. If you haven’t filed, the IRS will often automatically prepare a return based on the best information available and may assess you more in taxes than you owe.

When Should You File Your Tax Returns?

If you’re due a refund, as the time in which you can claim your refund is limited, its important you file as soon as possible. If you owe taxes, filing as soon as possible can often reduce penalties and avoid complicating tax debt settlements. A Taxpayer Resolution expert can help arrange payment plans or settlements on back taxes you owe.

How Should You File Your Late Tax Returns?

First, determine if you need to file your tax return – you may not need to. There are several factors that determine if you need to file including your filing status, exemptions, dependents, income amounts and classification.

Next, gather all your tax documents and talk with a Taxpayer Resolution representative. If you don’t have all your tax documents – don’t stop there. Your Taxpayer Resolution representative can often obtain copies of tax documents you don’t have.

Third, prepare your tax returns and determine how much you owe. If you owe taxes, and you can’t pay them, ask your Taxpayer Resolution representative how to best settle your tax debt. There are several available options depending upon how much you owe and what you can pay.

Fourth, file your late tax returns. Your tax returns are mailed certified mail to help ensure receipt. Your Taxpayer Resolution representative will generally file a power-of-attorney to aid in late tax return processing, responding to IRS inquiries and help with refunds or settlement of taxes you may owe.