I Haven’t Filed a Return Yet?! We’re all adults here. But if you haven’t filed your tax return, the IRS is going to make you feel like you’ve been grounded like a misbehaving middle-schooler. IMAGINE THIS: You come home after a particularly stressful day at work to find an exnvelope from the Internal Revenue Service. Then you’re reminded that you forgot to file your tax return–perhaps for more than one year. It might be an intimidating feeling as interest and penalties may be lurking around the corner.
Here’s what can you do. If you are entitled to a refund, you have three years from the date your return was due (April 15) to claim the refund. You don’t have to worry about penalties because they only apply if you owe taxes.
If you owe taxes and have not filed a timely return, you may be subject to the failure to file penalty, unless you can show reasonable cause for failing to file timely. If you did not pay your tax in full by the due date of the return, you may also be subject to the failure to pay penalty, unless you have reasonable cause for your failure to pay timely, or the IRS has approved your Application for Extension of Time for Payment of Tax Due to Undue Hardship. Interest is charged on taxes and penalties not paid by the due date, even if you have an extension of time to file.
Attorneys can advise people on some tax advantages when they are filing their tax returns. It is the attorney’s responsibility to find deductions people are eligible for that they might not be taking advantage of. In addition, tax attorneys can provide advantages in protecting against an audit and filing taxes. It is never too late to turn to the professional for assistance in filing their taxes and help with auditing issues. CONTACT US.