![]() ![]() Monitor return processing and other compliance activities. Make sure you get proof that you filed, in case the IRS doesn’t process your return or you experience related compliance activity (like IRS collection notices, a lien, a levy, or an unfiled return investigation).ģ.Send your return to the right IRS location.You’ll need to investigate your penalty relief options further in these complex situations. ![]() If you have multiple returns to file, it’s more difficult to process the return and manage the resulting penalties and balances owed. If you have one past-due return to file, you may qualify for penalty relief on any failure to file and failure to pay penalties. Attach a penalty relief request to the return, if applicable.If you owe and can’t pay the full amount, consider requesting a payment arrangement with the filed return.It’s best to double check your return against your IRS transcripts to make sure that you included all your income as it was reported to the IRS, and that you included all your withholding/estimated tax payments. Complete the return and submit it to the appropriate IRS unit. But your specific facts and IRS rules will determine how far back you should file.Ģ. If you have several past-due returns to file, the IRS normally requires that you file returns for the current year and past six years.Identify any special processing needed for your late-filed return (such as date-stamping or filing with an IRS compliance unit).If necessary, ask the IRS for more time to file the late return, to avoid any enforcement actions (such as a substitute for return, levy, or lien).Review your situation for deductions and credits.Gather information about self-employment, investments, and any other income that isn’t on file with the IRS.You can also order your account transcript to see any estimated tax payments or other credits posted to your account for that tax year. These transcripts will help you identify the Forms W- that you will need to prepare your return. Start by requesting your wage and income transcripts from the IRS.Get all the information needed to file the past-due return. Whether you have one or many returns to file, you or your tax pro should start taking steps right away to file an accurate and complete tax return that will get you back in good standing with the IRS. If you have back tax returns, the IRS can charge you expensive penalties, hold your refund and even file a return for you without any credits or deductions in your favor (called a substitute for return). That can mean stiff consequences and increasing complications. The IRS keeps a record of taxpayers who are required to file but don’t – and the IRS can pursue those returns. Most taxpayers are required to file a tax return every year. What you need to know about back tax returns You can get expert help filing back tax returns with the IRS. You should take special care when preparing and filing late returns, because the IRS gives them extra scrutiny.If you don’t file, the IRS can file a return for you - with taxes and penalties.Not filing a required return is a serious issue with the IRS.
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