What If I Did Not File My Taxes?

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If you missed the tax filing deadline, you should still file your tax return in order to prevent costly legal and financial punishment from the IRS. While missing a tax filing deadline is not the end of the world, there are a number of negative consequences to be aware of, such as the penalties that you may incur for not paying or filing, and what will happen to your refund if you are owed one but do not file your return.

It is important to understand the different levels of punishment that you may face for not filing your taxes, which include:

  1. Failure to File Penalty. The longer you wait to file your taxes, the larger the penalty. If you wait too long, your total tax liability can increase by as much as 25% in penalties and interest. There is no logical reason to give the IRS this extra money.
  2. Lost refund. If the IRS owes you a refund, you will not be charged the failure-to-file penalty; however, this does not mean that you can sit back and wait as long as you'd like before filing your return. Simply put, you cannot receive a refund from the IRS – no matter how small or big – until you file a return. At this time, the law states that you must file your return within three years to receive what you are owed.
  3. Earned Income Tax Credit (EITC). Are you interested in claiming the Earned Income Tax Credit? Even if you aren’t required to file a return, you must do so within three years of the original due date in order to claim the EITC.
  4. Statute of Limitations. Once the statute of limitations on filing your tax return expires, the law prohibits the IRS from issuing your refund check. Additionally, the law prevents the application of overpayment or similar credits to other years in which you have paid enough in taxes. For the IRS, the statute to collect outstanding taxes does not begin until after you have filed your return.

Regardless of the reason why you have not filed your taxes, you should file as soon as possible. The recommended way to file a delinquent return is to hire a tax professional who can help manage and maximize your situation. It is especially important to hire a professional if you have failed to file for multiple years.

Also, if you are unable to pay your tax liability in full, you should still file a return. The IRS will allow you to pay taxes in installments if you submit the proper request.

Back Tax FAQs, Topics & Help


Back Taxes Frequently Asked Questions
Common questions taxpayers have about back taxes and the different problems and situations that arise from owing or not filing taxes.

How to File Back Taxes
Understand the importance of resolving your back tax issues and learn about the proper documentation needed to file delinquent tax returns.

Consequences of Not Filing Taxes
There are strict penalties imposed on individuals who do not file taxes, so it is in your best interest to file before the IRS finds you.

What is the Failure-to-File Penalty?
Understand how to calculate the penalty for not filing your taxes, what the maximum penalty is, and what happens if fraud or negligence is involved.

Penalty Abatement
Understand how penalty abatement works, what the requirements are and how to file for it.

Find Out How Much IRS Taxes You Owe
Determine how much you owe the IRS by using one of these methods.