There are many reasons why people fall behind on their tax filings. It could be health issues or life changing events, from marriage to moving, that cause people to forget to file. Often, people owe taxes and are afraid to file the return. But not filing your tax return is actual a federal offense. Not paying your taxes is not. Not filing your tax returns on time can also rack up hefty fines, up to as much as 25% of your balance. If you have unfiled tax returns, you may be worried that the IRS will come after you or throw you in jail. While those cases are extreme, the best thing to do is get your tax returns filed asap. At Rocky Mountain Tax Solutions, we can get your past due tax returns filed, quickly and as stress-free as possible. Our process involves:
- File a power of attorney in order to work with the IRS on your behalf
- Obtain tax records. This is very helpful if you are missing any tax forms, 1099s, W2s, etc.
- Determine exactly which years need to be filed. Generally, you need to file at least the last 6 years to be consider current. This may differ if the IRS has filed a return for you, known as a Substitute for Return or SFR.
- Prepare your returns to ensure you get every credit and deduction available to maximize your refund or lower your tax liability.
- Ensure your tax returns are received and processed by the IRS and state agencies. Trust me, mailed tax returns get lost quite often!
- If you owe more than you can pay, we can negotiate a collection alternative for you. See tax resolutions below.