Unfiled Tax Returns & Owing Back Taxes

Unfiled Tax Returns & Owing Back Taxes

When you have unfiled tax returns and owe back taxes it can lead to some of the most severe consequences. Many business owners and individuals fail to realize that not filing a tax return is a crime that the IRS does pursue. For every year that you do not file, under the United States Penal Code, if you are found willful in failing to file your tax returns, it is a Federal misdemeanor for every year you did not file. Failing to file multiple tax returns could be looked at by the IRS as an “overt act of tax evasion” and is a felony under Federal law.

If you continue to not file your tax returns with the State or IRS, eventually, the IRS will send a CP59 letter. This letter is an official request for you to file a return. If you do not file a return after receiving this letter, the IRS or state will file a Substitute for Return (SFR) for every year you did not file your taxes. The unfiled years will be filed at a single filer or married single status, and any deductions or credit will not be allowed. The IRS or state will file your return at the highest possible tax bracket based on your past income.

Further, the IRS will assess a Failure to File penalty of 5% per month that you did not file a return, up to the maximum of 25%. This will happen for every year you did not file your tax returns. Our tax attorneys in Tampa, FL have seen hundreds of situations where tax debts of only a few thousand dollars become tens of thousands of dollars due to the SFR filings and the unfiled tax penalty of 25% for each year.

Unfiled Tax Returns Impact Stimulus Check Qualifications

Additional consequences are now felt in the post-Coronavirus world of unfiled tax returns for individuals and businesses. If you have not filed your tax returns for 2018 and 2019, you will not receive a Coronavirus stimulus check. Unfiled tax returns will also prevent the individual or business from receiving Coronavirus stimulus money. For business owners in Tampa, FL who desire taking advantage of the Payroll Protection Program loans included in the Coronavirus Stimulus Package (CARES Act), unfiled tax returns will deny you access to those funds.

Any individual or business owner would feel helpless from the severe problems created by unfiled tax returns. Even after committing to get your individual or business back taxes resolved, it is common for people to have trouble finding their W-2 information or not know how to get it. W-2s are required from past employers to ensure your past unfiled tax returns accurately reflect the income you received.

Our Tampa Tax Attorneys Can Help with Unfiled Tax Returns

The tax attorneys at J David Tax Law^® in Tampa, FL have access to the IRS database that allows us to retrieve any income and W-2 information necessary to file tax returns from one to twenty years ago. Once your family or business are in tax compliance with the IRS and State it will lead to a peace of mind that you may not have experienced in many years. Knowing you haven’t filed your tax returns, and that the Sate and IRS are after you, robs you of your peace of mind. Contact J David Tax Law in Tampa, FL now at (813) 521-7372 or click here for a no-cost, no-obligation consultation with a tax professional so you can enjoy greater peace of mind.

At J David Tax Law^® in Tampa, FL, only a tax attorney will handle your case. Our full staff of tax preparers can piece together the most complex tax returns.

Peace of mind is only a click or phone call away.^®

Click here for a no-cost, no-obligation consultation.