The IRS isn’t people’s most favorite government agency but every year it’s a necessary evil for us to file taxes by April 15th. Well prepared businesses will hire accountants to complete them way before the deadline so they are sent and done with well before that date. Individuals, however, will often put them off until the last minute and sometimes forget to send them or do so intentionally. This can lead to the buildup of one or more unfiled tax returns. Here are three easy steps to take care of those unfiled tax returns.
1. Get your paperwork in order.
Maybe you didn’t send them on time or maybe you haven’t even started to get them ready. Either way, make sure all your wage stubs, receipts, and other important paperwork is on hand and get them completed. If you don’t have it, you will have to make a lot of calls to old employers to get copies of your W-2 forms. The IRS has forms you may need also so check with them.
2. Send in your unfiled tax return immediately.
The IRS won’t start sniffing into your assets or calling you every day if you have sent all your old tax returns in. his will also stop penalty fees from building up. Even if you can’t pay what you owe, send it in and you can make a payment plan.
3. Prepare for the future.
The IRS doesn’t like if you wait longer than one year to file any tax return so it’s a great idea to prepare for this in the future. If you don’t want to do it yourself or don’t feel like you will have it done on time, let a tax preparer handle it.
Unfiled tax returns can get you hefty fines and even jail time depending on how much you owe and how you handle the IRS. Make sure you do it their way and everything should work out great.
