How to File Back Taxes?

Answer 1

There are not many people who enjoy dealing with the IRS, but there may be instances when it’s unavoidable. If you have not filed your taxes for several years, you may be wondering what you can do about it. The good news is that you can file back taxes to get out of the hole with the IRS. However, it’s important to know what steps to take to protect yourself.

The first thing you want to do is gather all of your past tax documents. Make a note of the last year that you filed taxes, and gather any copies of W-2s from prior years. Contact the IRS to request any pertinent tax information that you are missing.

You can file back taxes yourself or hire someone to prepare them for you. If you prepare your own returns, it is important to use reliable tax software. It should take you 2 to 3 hours to prepare each tax return. Although you can use software to prepare your late returns, they must be printed and mailed to the IRS. If you prefer, you can hire an experienced tax professional who can help you deal with the IRS. There are plenty of tax professionals to choose from, but make sure that you select one with a good reputation.

You will not know if you are a due a refund until everything is submitted to the IRS. There are time limits and other rules surrounding tax refunds, so it’s important to research information regarding refunds owed from prior years. If you find out that you have a tax debt after back filing your taxes, there are options available to you. You can create a plan for paying back taxes you owe. You should also plan how you will protect yourself and assets in the case of an IRS investigation.

Tax laws can be complicated and confusing, but there are some things that you should know for certain. The IRS has the authority to penalize you or charge interest on tax liabilities. You should research how the penalties and interest are calculated. Also, you tax information is completely confidential.