Unfiled Tax Returns
Getting back on track.
Filing your tax returns is a fundamental obligation. Not only does it ensure compliance with the law, but it also initiates the IRS’s statutes of limitations for tax assessments, audits, and collections. This means the clock doesn’t start ticking on the IRS’s ability to audit your return or collect any taxes owed until you file. Failing to file can leave you indefinitely exposed to potential IRS action.
Navigating IRS Statutes of Limitations
The IRS typically has three years from the date of filing to audit a tax return and ten years to collect any owed taxes. However, if returns are not filed, these limitations do not begin. This situation can lead to prolonged uncertainty and potential legal issues. By getting current with your tax filings, you start these limitation periods, moving closer to resolving any tax liabilities and reducing the risk of extended IRS scrutiny.
IRS CP2000 Notices and Substitute for Return (SFR)
- IRS CP2000 Notice: This is an automated notice sent when the information reported on your tax return does not match the data the IRS received from other sources, like employers or financial institutions. Responding accurately and timely to these notices is crucial to avoid additional assessments or penalties.
- Substitute for Return (SFR): If you fail to file a tax return, the IRS may file a Substitute for Return on your behalf. This often leads to higher taxes owed since the IRS does not take into account potential deductions and credits. Filing your own return, even late, allows you to claim these benefits and often reduces your tax liability.
Our Approach to Resolving Unfiled Tax Returns
We’ll help you gather the necessary documentation, prepare accurate back tax returns, and negotiate with the IRS on your behalf.
Take Action Today
Delaying the filing of back tax returns only compounds the problem. Contact us to start the process of resolving your unfiled tax returns and moving towards a more secure financial future.
