For years you haven’t filed any tax returns, did you not file your returns because you couldn’t pay the taxes owed? Don’t wait for the IRS or your State to contact you, and don’t let the IRS or your State prepare a return for you, it’s not in your best interest. They use the highest tax rate when they prepare your unfiled Delinquent Tax Returns for you. If the Internal Revenue Service has not yet notified you, they will catch up to you sooner or later. Computers are becoming more sophisticated with technology and the sharing of data becomes more commonplace, the faster it will be. The IRS may also seek to impose a criminal offense for failure to file tax returns as required. Even if you do file, the tax returns must be accurate and truthful because if false returns are detected by the IRS, a fraud referral to the Criminal Investigation Division will be generated.
Failure to file returns is illegal and a FELONY, and subject to criminal and civil penalties. This means that you can go to prison, pay substantial penalties and be financially destroyed. Willful failure to file returns can result in a punishment of one year in jail and a $25,000 fine ($100,000 in the case of a corporation).
Under certain circumstances, if you haven’t been contacted by the Internal Revenue Service already, it may be possible to file your returns without criminal penalties and obtain tax relief. When you do file, you must prepare and file tax returns that are accurate and truthful as the returns will be examined by the IRS. We can guide getting you current with your tax return filing obligations and then analyze your situation to determine the best course of action and minimize the chance of any criminal investigation. For many taxpayers, this tax resolution typically leads to an Offer in Compromise.