Steps to Tax Debt Resolution. Call GSA Taxpayer Advocates today 855-472-8294

Tax Return Preparation

The IRS estimates that approximately 10 million taxpayers fail to file their federal income tax returns each year. The reasons are varied: some taxpayers simply procrastinate; others don’t understand their filing requirement; and in a few cases, taxpayers willfully fail to file in an attempt to evade their responsibility to report their income and pay their tax liability.

The following are some practical reasons for filing the return:

  • The IRS will file a substitute return for you. But this return is based only on information the IRS has from other sources. Thus, if the IRS prepares this substitute return, it will not include any additional exemptions or expenses you may be entitled to and may overstate your real tax liability. Even if the IRS has already filed a substitute return, it still makes sense for you to file your own return to make sure you take advantage of all the exemptions, credits, and deductions that can lower your tax. The IRS will generally adjust your account to reflect the correct figures. But, you can only claim these if you file a return.
  • You will avoid having more interest and penalties accumulating on top of your tax debt.
  • You may be entitled to a refund. However, to get your refund, you must file a tax return within three years of the original due date of the return, or two years from the time you paid your tax.
  • You stand to lose social security benefits on income from self-employment. The Social Security Administration relies on information from your filed tax return to calculate social security benefits. For your income to be reported to the Social Security Administration, you must file a tax return.
  • The continuing failure of a taxpayer to voluntarily comply with tax return filing and to obtain experienced legal counsel can result in severe consequences. In some cases, a taxpayer may even suffer criminal tax prosecution for failure to file returns.

Filing a past year return may not be as difficult as you think and it may save you a lot of money. Call us to consult with our expert CPAs 1-855-GSA-TAXHELP (1-855-472-8294)

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