Rocke Tax & Financial Specializes In Non-Filer Tax Preparation
For many years people told Katie Rocke that she was “too nice to be an IRS agent”. So she finally agreed with them and quit the IRS.
The worst thing to be is be a non-filer; it gives you absolutely no leverage with the IRS. It is so important to get all of your tax returns filed. The IRS will do nothing until all of your tax returns are up to date. That is the first priority.
The IRS has 10 years to collect taxes due, from the date you file a tax return. If you don’t file, then they can collect from you forever. These 10 years don’t start running until you file an original tax return.
Normally, the IRS has 3 years to audit your tax returns. But the 3 years don’t start running until you file an original tax return. They can come back on you for 20 years or more if they want to if you haven’t filed a tax return. They can start collection procedures against you using the information they have on file. For instance, if you sold stock or property, they probably received a 1099 showing the sale price. They don’t know how much you paid for the stock or property. You may even have had a loss on it but they will tax you on the sales price and start collection procedures against you—because you haven’t filed. The IRS will not issue you a refund if you file 3 years late. And, no, the refund will not be applied to another year. Congress allows a person to file a claim against the United States Treasury for only 3 years. A tax return showing a refund is a claim. Many people have said to me over the years, “I don’t have to file if I don’t want to. The IRS owes me money.” Well maybe they do or maybe they don’t. But you won’t receive it if you file 3 years after your original due date of the return. This is called a closed year.
IRS collection will not give you an Installment Agreement, Offer-in-Compromise, or put you in CNC (currently not collectible) until all of your tax returns are filed. The IRS will not send you a refund for a current year if you have not filed older years. They won’t send the refund until you file those old years to prove to them that you don’t owe them any money. You say, “Well, I was out of work all those years and living with my girlfriend/mom/brother/etc.” The IRS doesn’t know that and you need to file tax returns on those years showing low/no income.
Let Rocke Tax & Financial Help!
Katie Rocke has the education and experience to solve your tax problems for a reasonable fee. She can strategize for you to determine the best outcome and will work hard to get your dire tax situation resolved as soon as possible.