Taxpayers who don’t file past due returns can expect to get notices requesting these returns. Many people avoid filing returns if they can’t pay their taxes. Not filing your taxes when requested or promptly responding to notices can result in paying more taxes, penalties and interest in addition to making a stressful situation a larger financial burden. Getting your tax filings current can reduce your stress and save you money.

If returns remain unfiled, substitute returns will be filed for you based on information reported to the taxing agency from other sources. These returns will not include additional exemptions or expenses that you may be entitled to and often overstate your actual tax liability. In this situation you can usually save money by filing the delinquent returns. Your account will usually be adjusted to reflect the correct tax liability once the returns are filed.

If you continue to avoid filing tax returns over a long period of time or if you fail to respond to demands for returns, a variety of enforcement actions are available to taxing authorities. Flagrant or repeat non-filers can be subject to additional penalties or in extreme cases, criminal prosecution.

If you need help compiling the information necessary to file your past due returns a tax organizer located on this website can be a useful guide to identifying and gathering the information necessary to file delinquent returns. Luers & Dyer will access information on record with the IRS to facilitate preparation of your returns. We are experienced in dealing with delinquent returns and IRS representation can interface with the taxing agency, expedite filing the returns, relieve the stress of unfilled taxes and ultimately save you money by helping you reduce tax penalties and liabilities.

Luers & Dyer, CPAs, LLP is a full service accounting firm with offices in Julian and San Diego. For more information about our company call (760) 765-0343.