Clear Start Tax: Your Solution for Unfiled Tax Returns

Failing to file your tax returns on time can lead to a multitude of problems, especially when it accumulates over several years. Taxpayers often miss filing due to lost records, personal hardship, or simple neglect. Understanding the implications of unfiled tax returns is crucial to managing the potential consequences and finding a path forward.

Consequences of Not Filing Tax Returns

1. Late Penalties: The IRS imposes a penalty of 5% on any unpaid taxes for each month the tax return remains unfiled, capping at 25%. It’s essential to consult with a tax professional to explore options like filing for an extension to mitigate these penalties.

2. Delayed Refunds: Persistent delays in filing can trigger IRS investigations, potentially leading to delayed or forfeited tax refunds. The longer you wait, the more complicated the process becomes.

How Far Back Can the IRS Go?

Wondering How many years can the IRS go back if you didn’t file taxes? Typically, the IRS enforces unfiled tax returns up to six years from the due date. However, they prioritize cases within three years to streamline the enforcement of delinquent returns and related actions.

Steps to Resolve Unfiled Tax Returns with Clear Start Tax

Here is the 3 Step Solution For Unfiled Tax Years

1. Gather Documentation: Start by collecting all necessary documents to file the past-due returns. This may include reaching out to the IRS for wage and income transcripts.

2. File Accurately: Ensure the tax return is complete and accurate before submitting it to the appropriate IRS unit. Accuracy is key to avoid further issues and complications.

3. Monitor Progress: Keep track of the processing of your returns and any subsequent compliance actions by staying in contact with the IRS.

How Clear Start Tax Can Help

At Clear Start Tax, we understand the challenges and stresses associated with unfiled tax returns. We are equipped to assist in gathering records, re-filing your tax returns, and negotiating with the IRS to ensure that your filings are resolved with the most favorable outcome possible. Our team is prepared to help you file past returns, using substitute sources for missing records, to avoid penalties and claim any refunds that may be due.

Act Now: If you have unfiled tax returns, especially for the three most recent tax years, it is crucial to address these immediately to maximize your potential refunds and minimize further penalties. Contact Clear Start Tax today to speak with a licensed tax professional and start resolving your tax issues.