It is very important that you clearly understand the ramifications of not filing past due returns as well as the steps that the IRS will take against you. Taxpayers who fail to file a past due return or returns are subject to the following IRS actions:
1. Hefty Penalties and Interest will be assessed and will dramatically increase the amount of tax due. Your tax debt essentially begins to grow daily.
2. The IRS will file a substitute tax return for you. However; this return typically benefits the IRS not you. The tax return is based on the basic information the IRS has on file for you. Therefore, when the IRS prepares this substitute return, it will not include any additional exemptions or expenses you may be entitled to and may overstate your real tax liability. End result may be the IRS assessing thousands in tax debt that you now owe to them.
3. Here is where it can get ugly. Now that the tax is assessed the IRS will start the collection process, which can include placing a garnishment on wages, levy your bank accounts or filing a federal tax lien against your property. This collection action can be devastating financially until resolved.
4. Now, if the IRS has already filed a substitute return on your behalf, you should have your tax return(s) filed professionally so you can take advantage of all the exemptions, credits, and deductions you are allowed. The IRS will generally adjust your account to reflect the correct figures once the new return has been submitted.
5. If you have multiple years that need to be filed then you should seek help getting them filed immediately. Remember, it’s not illegal to owe but it is illegal not to file your taxes.
911 Tax Relief is here to get you back on track with all your tax needs. Call us and we will explain the next steps and possible outcome.
911 Tax Relief
toll free no. 1-866-499-1156
www.911taxrelief.com