Attorney for Delinquent Taxes
Unfiled Tax Returns
If you do not file a tax return then the IRS will file one for you without your approval. This is called a Substitute for Return. The IRS probably made an attempt to contact you and those attempts failed. Many times you may have moved and never received the notice.
When the IRS computes your tax liability it may be much higher than it would have been if you had filed a tax return, because you will not be allowed exemptions for your spouse and children, deductions for interest and taxes on your home, charitable donations, business expenses as well as other deductions to which you may be entitled. Furthermore, you will not receive any credits, such as the Education Credit, Child and Dependent Care Credit, Child Tax Credit and Saving Contribution Credit.
You can file your tax return even if a Substitute for Return has been filed for you.
You should always file your tax return on time, even if you cannot pay the taxes due with the return. It is unlikely, but possible in some circumstances, the IRS can construe your failure to file tax returns as tax evasion. This is a criminal act punishable by a prison sentence for each year a return is not filed.
Kresch Tax Resolution Services can help you negotiate the best settlement of your tax liability.
Contact us today for a Free Consultation.