Guide to Help Settle Back Taxes by Filing Late Tax Returns
Filing back taxes
If you haven’t filed your taxes for several years, the possibility of huge headaches and bigger penalties might scare you from ever taking care of them. Relax. It’s not that bad.
For instance, did you know that many people who file a late tax return actually receive a refund? And, if you are due a refund, you won’t even be assessed a penalty. Plus, if you do end up owing back taxes, the IRS will be much more willing to negotiate than if you hadn’t filed at all. Get professional tax help from Omni Financial, and file your late taxes as soon as possible for IRS tax relief and a fresh start.
Gather Your Tax Documents
The toughest part of filing back taxes may be finding all your documents, especially if you have not filed for several years. If you cannot find your documents, contact the IRS. They get copies of all your tax documents and keep them in their database for about four years; however, they may have archived versions of your documents going back ten years or more. Be aware that the IRS only keeps the federal information on these documents, so you may need to get the forms from your employer or bank if you still have to file state or local taxes.
Prepare Your Late Tax Return
An important point to remember while preparing your late tax return is that you only have three years to claim a refund. Therefore, you should file any tax return nearing the three-year limit first to make sure you are getting all the money that you are entitled to.
Preparing tax returns for previous years can be tricky because tax laws change each year. Tax forms are available for download from the IRS’s Web site to help you with these laws. An even easier way of dealing with late tax returns is downloading tax preparation software from past years.
While you can file a late tax return yourself, a certified tax professional will have a much better chance of negotiating back taxes or getting a bigger refund. Choose a tax relief company like Omni Financial that has experience preparing late tax returns. Call Omni at (800) 540-0433 for a free IRS tax relief consultation.
Filing Your Late Tax Returns
Even though you can prepare your taxes using software, you are not allowed to file old taxes electronically. You must print them out and mail or hand-deliver them to your local IRS Service Center. If you decide to mail them, be sure to mail each year separately, using certified mail to verify that the IRS gets everything you sent.