| The April 15 tax deadline has come and gone. For the | | | | file because they don't have the funds to pay the |
| millions of taxpayers who failed to file legally required | | | | taxes owed. The best thing for taxpayers in difficult |
| tax returns, tax help is available for those who act | | | | financial situations to do is file their tax return, pay what |
| now! Even taxpayers who received an extension for | | | | they can and work with the IRS to establish a |
| filing are not granted more time for the payment of | | | | payment plan that will keep them compliant. |
| taxes owed and may need income tax relief. | | | | Additionally, if there are any delinquent tax returns that |
| The act of not filing your tax returns can lead to more | | | | are due, they should consider filing these returns as |
| significant financial problems in the long run. Not to | | | | soon as possible to avoid the wrath of any potential |
| mention, failure to file tax returns may be construed as | | | | IRS action, such as a levy on their bank accounts. |
| a criminal act by the IRS, punishable by one year in jail | | | | 3) You can incur additional penalties for not paying |
| and $10,000 for each year not filed. Needless to say, | | | | your taxes |
| it's one thing to owe the IRS money, but another thing | | | | If you fail to pay your taxes due, you will incur |
| to potentially lose your freedom for failure to file a tax | | | | additional penalties for failure to pay. Taxpayers who |
| return. | | | | request an extension of time to file should keep in mind |
| The longer you put off dealing with overdue taxes, the | | | | that this it is not an extension of time to pay. To avoid |
| more serious your IRS problems will be. So I | | | | additional penalties, taxpayers should file by the |
| recommend filing any tax returns that are due as soon | | | | deadline and pay as much as they can, even if they |
| as possible to avoid additional interest, penalties and | | | | are unable to pay the entire amount due. You will still |
| potential IRS collection tactics, such as a levy on your | | | | have a failure to pay penalty, but it's much less. Then |
| bank account. | | | | you can work with a specialized tax resolution expert |
| With the federal budget deficit for the current year | | | | to help you negotiate a tax settlement. |
| expected to top $1.8 trillion, Americans can expect | | | | 4) You can be subject to an increased tax bill if the |
| more tax audits and increased IRS actions. So anyone | | | | IRS prepares your taxes for you |
| who owes back taxes want to avoid becoming | | | | The IRS may prepare a "Substitute For Return" for |
| targets of aggressive IRS collection efforts that can | | | | delinquent taxpayers, in which they won't be able to file |
| financially cripple them for life. | | | | for all of their personal exceptions or allowable |
| Here are 5 reasons to file your delinquent tax returns: | | | | deductions. Because these returns are filed in the best |
| 1) You can go to jail for not filing your taxes | | | | interest of the government, the only deductions they'll |
| Even if you haven't filed your tax return for one year - | | | | usually see are the standard deduction and one |
| it is still considered delinquent and could be construed | | | | personal exemption, subjecting them to a larger tax |
| by the IRS as a criminal offense. Actor Wesley Snipes | | | | liability. So it's important for individuals to file their 2008 |
| didn't report more than $10 million to the IRS and he | | | | tax return as well as any prior delinquent tax returns |
| was convicted of three misdemeanor counts of failing | | | | as soon as possible to save money and avoid |
| to file a tax return. Richard Hatch, who won the first | | | | significant long-term consequences. |
| season of CBS's hit show Survivor, is in prison for | | | | 5) You must have all prior tax returns filed to be eligible |
| failing to report $1 million in prize money. | | | | for income tax relief |
| The IRS goes after those U.S. taxpayers who try to | | | | All back tax returns must be filed before the IRS will |
| avoid taxes, and Average Joes as are just as likely as | | | | even entertain any type of tax settlement like an offer |
| high-profile individuals to be targets of the tax-collecting | | | | in compromise or monthly payment plan arrangement. |
| agency. At every level, the agency has become | | | | The good news is the sooner you take care of your |
| increasingly aggressive in pursuing tax cheats. Are you | | | | delinquent taxes, the less penalties and interest you'll |
| willing to lose your freedom because you failed to file | | | | owe. |
| your tax returns? | | | | I believe there's a solution to every problem. For |
| 2) You can incur a 25% penalty for not filing your tax | | | | delinquent taxpayer, it's never too late for to resolve |
| returns | | | | your tax debt and avoid IRS penalties. |
| In this economic downturn, Americans may opt to not | | | | |