Filing a Late Tax Return: Don’t Wait Any Longer!

One of the easiest things to avoid is filing a late tax return.

For one reason or another, many people end up filing a late tax return.  Months to years can pass by as the individual may feel like they are immersed in a giant pit of quicksand that is sinking farther and farther under their feet as the time passes by. Some fear jail time or owing more money.  This defers the tax return even further.  No matter what the reason for filing taxes late – the good news is that it is never too late in the eyes of the IRS.

So what options do you have to get caught up to avoid filing a late tax return? Well, first you need to gather all of the documents you have from the last point your taxes were filed.  If you misplaced any of your W-2s or have multiple employment histories, it could be a pain to track down old W2s. You could have your accountant do it, but if you’re planning on doing it yourself then you will need to request Form 4506-T from the IRS. Check the box on line 8 – Form W-2; Form 1099 Series; Form 5498; or Form 1098 Series transcript.  The IRS will then mail you the necessary back paperwork.

Then you’ll need to find someone to help you prepare the back tax returns.  Or you may be able to find a software program that will help.  Just to be on the safe side, the tax professional is more likely to maximize your tax returns to make sure you claim all of the deductions you are entitled to. As crazy as it sounds, late filers are more likely to have tax refunds owed back to them.  However, sometimes the penalties may offset this depending on how many years have gone by since last filing.

Solve your issues with our advice, suggestions and solutions.It is important to know that all late taxes MUST be filed on paper, not electronically. Each return must be mailed in a separate envelope for each year to avoid confusion.  You should send each tax return via certified mail so that a signature will be required.  Don’t wait until the last minute this year.  The closer it gets to T-Day (April 15th), the more filers there will be.  Hence, your documents may raise red flags or a potential audit.  So, file early this year and get out of that quicksand associated with filing a late tax return!

 

 

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