UNFILED TAX RETURN PROFESSIONALS
Failing to file your tax returns can lead to dire consequences. It is not advised to ignore your annual tax filing because the IRS will almost always penalize you.
These are the steps the IRS can take when you do not file your tax returns:
- The IRS can file a tax return one for you. This is called a Substitute For Return (SFR)
- The IRS prepared return will often result in much higher tax liability than your original return would have shown
- They will expect you to pay the taxes they claim you owe
- They will start with threatening letters
- Then can begin the process of wage garnishments, tax liens, and tax levies.
Things to Know If You Choose Not to File IRS
Every year, most citizens are required to file their tax returns with the IRS. Sometimes this includes payment of any taxes that are owed. When you do not file your taxes, you become exposed to IRS enforced collection measures.
When you have unfiled tax returns, there are four things to keep in mind:
- Once a garnishment or levy has begun, it is difficult to stop until you comply with filings
- In some circumstances, failing to file your taxes is considered criminal behavior and is punishable by incarceration
- Failure to file a tax return could result in a Substitute for Return (SFR) filed by the IRS
- Tax refunds are only available for the previous three years of unfiled returns
We have an effective process in place to stop this from happening, even if you have unfiled tax returns today. Contact us to learn more.
WHEN YOU HAVE UNFILED TAX RETURNS, THERE ARE FOUR THINGS TO KEEP IN MIND:
- Failure to file a tax return could result in a Substitute for Return (SFR) filed by the IRS
- Tax refunds are only available for the previous three years of unfiled returns
- Once a garnishment or levy has begun, it is difficult to stop until you are in compliance with filings
- In some circumstances, failing to file your taxes is considered criminal behavior and is punishable by incarceration
HOW AN SFR WORKS IRS
A Substitute for Return (SFR) is filed when the IRS prepares a tax return on your behalf because you have not filed. Because the IRS often does not have all of the pertinent information, SFRs can reflect the highest tax liability and the IRS then will hold you responsible for this amount plus any unfiled tax return penalties and fees.
It is possible to correct an SFR, however, by consulting with the professionals at our tax resolution firm. When necessary or advantageous, we can prepare previous years’ returns and file them on your behalf. This will bring you into compliance with the IRS filing requirements and will often significantly lower or even eliminate your tax liability.
American Tax Resolution Strategies CAN ADVOCATE FOR YOU
By working with our tax resolution firm, you can resolve problems that unfiled tax returns may have caused. We have served hundreds of clients, saving them thousands of dollars. We know how stressful working with the IRS can be and we can handle it for you.