There are hundreds of thousands of taxpayers with unfiled tax returns in the United States. If you are one of these, we understand your fear and can assist. A lot of taxpayers feel that if they come forward they will get into more trouble, others may feel that they don’t have the money to pay any liabilities that will be owed when they file these back returns so they just don’t file to avoid payment, even others think that if they keep quiet the Internal Revenue Service or State Tax Authorities may just forget about them.
This is the wrong mentality, as I will tell you, the longer you wait the more problems are created, the penalties and interest increase, the potential for criminal sanctions can increase. So not doing anything will make the problems snowball into greater problems.
Also, if you don’t file your tax returns, many times the Internal Revenue Service will take information they have received through information returns, 1099’s, W-2’s, etc. and file tax returns on your behalf, known as Substitute for Returns (SFR’s). When these returns are prepared they don’t include any deductions or exemptions, as they don’t have this information, as you can imagine this generally creates a lot larger liability than should exist. Additionally, once these Substitute for Returns are prepared and assessed by the Internal Revenue Service they can begin collection action, including placing liens and levies on your property and wages.
Generally, if most taxpayers come forward and get compliant there are no criminal penalties or jail time assessed. The most important thing is to come forward and get these returns prepared and get compliant.
At the Carr Law, we have the experience and expertise to assist people, and have assisted many taxpayers, in getting their unfiled tax returns prepared and getting them compliant and thus avoiding increasing and mounting additional tax problems, tax debt and tax headaches.
Unfiled Tax Returns