03 Aug Why You Should File Past Due Tax Returns NOW
Regardless of whether or not you are able to pay your tax liability in full, you should file all tax returns that are due. To do so, file your past due return the same way that you would file a timely return. Contact me directly for more specifics as you see fit.
If you received a notice from the IRS, be sure to send your past due return to the location indicated on the notice that you received.
Consider these reasons for filing past due returns now:
• If you owe taxes, filing your past due return now and paying your tax liability can limit interest and late payment penalties.
• If you over paid and are due a refund for withholding, estimated taxes or eligible tax credits, you risk losing that refund if your return is not filed within three years of the due date.
• If you are self-employed and fail to file your tax return and pay your self employment tax, you will not receive credits toward your Social Security and Medicare benefits.
• If you are not current with your tax returns, you may be ineligible or face delays in securing loans, mortgages or other financial benefits, such as federal assistance for higher education, because financial institutions usually require copies of filed tax returns.
If you owe more than you can pay, you can request additional time to pay your account in full through the Online Payment Agreement application or by calling 800-829-1040 or the phone number on your bill or notice. If you still need more time to pay, you can request an installment agreement, or you may qualify for an offer in compromise.
All IRS forms, instructions and publications are available on the IRS.gov website, which continues to be the best place to get the products you need. It’s quick, easy, free and available 24/7. You can view and download tax products by clicking on the ‘Forms and Pubs’ tab on IRS.gov.
You should always keep a copy of your tax return for your records. If you can’t find your copies, you can get a free transcript from the IRS for the current year and the past three years. In most cases, a transcript includes the tax information you need. The quickest way to get a copy is to use Get Transcript Online. Once you successfully verify your identity, you will be able to view and print your transcript immediately online. This Fact Sheet provides details on how to complete this step. If you are experiencing a hardship, and you can’t file your past due return, you can call or write your local Taxpayer Advocate Office for your state.
If you prefer you can always connect with me and I’ll help keep the buzzards at bay.