Tax Woes: How to File Unfiled Tax Returns

1. Tax Woes: How to File Unfiled Tax Returns If you have unfiled tax returns, the old adage “better late than never” truly applies to the situation. It really is never too late to file unfiled tax returns. Even if several years have passed and you have filed no return, you can still file and resolve your tax issue. The IRS has up to 7 years to collect unfiled tax returns and often times may be able to request tax returns older than 7 years. If you are not sure where to begin in filing the returns, you may want to see the assistance of a certified tax professional. An accountant, lawyer, or other tax professional that specializes in filing late or unfiled tax returns may be the best resource in helping you to catch up with filing the returns. Even in cases where there are no supporting financial records such as W2’s, 1099’s, etc., a tax professional will be able to help you complete your return as accurately as possible. They can often help you set up a defined benefit plan. Once you have gathered the appropriate financial documents, you will be ready to complete your return. You will need to get the tax return form for the year that you need to file. Because tax laws change frequently, the forms also change from year to year. If your unfiled tax return is from 2005, then you need the 2005 tax document to complete. You may get this from visiting your local IRS office, calling the IRS, or searching their online site. There are also some software programs available online to assist you with the calculation and completion of unfiled returns. If you chose to work with a tax professional, they will also be able to provide you with the tax return forms that you need. When you have filed the unfiled tax returns, you will then need to pay the return. Again, even if you can’t pay in full, it is essential that you file the return anyway and continue to file future returns on time. You may be able to work with the IRS to determine a way to resolve your unpaid tax debt, but if you don’t file, you are facing penalties and possibly even criminal prosecution.