How to Handle Delinquent Tax Returns

If you earned $8900 as a single individual or aboutyou list are what will be used to determine the proper
$17,800 as a married couple in the calendar year, youtax liability. Not filing a tax return also restricts you from
have to file an income tax return. If you had enoughsome other functions of life like qualifying for Social
withholding, you may not need to pay the IRS anything.Security, Medicare, unemployment compensation, and
However, if you owe, you need to pay as soon asindustrial insurance.
you possibly can.Inaction is the worst response to the Internal Revenue
If you have unfilled tax returns, the best course ofService. Immediately upon receiving notification from
action is to file them. Fill out the returns and send themthe Internal Revenue Service, you need to take action.
to the Internal Revenue Service via certified mail. YouOtherwise, the Internal Revenue Service will begin to
will get a return receipt from the Internal Revenueapply their particular brand of collection strategies. The
Service, which will serve to prove the returns werestrategy will begin by immediately imposing very high
filed.interest charges to the debt they say you owe. These
The Internal Revenue Service database ias upgraded.penalties and fines will continue to increase during all
They have records on everyone who has a savingsthe time you owe.
or checking account and a job. If you should be filing,Remember, as well, that you cannot make any
but you are not, you could be in for trouble.ainstallment deals with the Internal Revenue Service if
When the Internal Revenue Service finds that youyou have if you have failed to file returns, and you
have not filed your returns, they will send letterscannot make an Offer in Compromise or abate tax
demanding payment. You must then file a return or filepenalties if you have failed in filing income tax returns.
an appeal. If the IRS does not hear back from you in aYou might want to look into hiring a professional tax
reasonable amount of time, they will file a return forresolution service to aid you in this matter. They can
you, using the highest possible tax bracket, withouthelp you to file back returns and come to the best
deductions, exemptions, or tax credits.resolution over any unpaid tax debt, penalties, and fines
Even if this happens, you should still file a returnyou may have incurred with the Internal Revenue
because all of the exemptions, credits, and deductionsService.