My brother has not filed in the last four years and he is afraid of what may happen, he thinks he may go to jail. I think worse case is that he will not recieve his income tax refund check.
2007-01-26 12:02:11 · 6 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
He probably won't go to jail. It will be easier on him though if he files before they catch up with him.
For any year where he owes taxes, there will be interest, and penalties.
For years where he has a refund coming, he'll still get it unless the return was due more than three years before he actually files the return - in that case, he would not get the refund.
The longer he puts it off, the more he'll owe in interest and penalties if he owes for any of those years. And if he had a refund coming, he'll lose it.
2007-01-26 12:46:12 · answer #1 · answered by Judy 7 · 1⤊ 0⤋
HAHA are you stupid.. It is against the law to not pay your taxes not only will he not get his refund check but you can do up to 10 years in jail for not paying taxes if it was that easy by not just getting your refund check everyone would do that and then claim less dependants the following year so that when they didnt get their refund check back then it wouldnt be a big deal because they didnt take anything out hardly from his check. Not to metion there is a penalty for back taxes and they can reposess anything and everything your brother has including home,car,furniture ect...
2007-01-26 12:12:50 · answer #2 · answered by Anonymous · 0⤊ 2⤋
There is no penalty unless you owe tax. You have up to three years to file or you lose the refund. There is nothing to worry about unless you owe money, then there may be a penalty.
2007-01-26 12:08:06 · answer #3 · answered by Barkley Hound 7 · 2⤊ 0⤋
If he is due a refund, the IRS cannot deny him that, and it doesn't matter when he files, he'll get the refund.
However, if he owes, they will eventually send him notes to file his returns and if he does not do that they will assess their own version of what they think he made(Usually a WHOLE lot higher than what the real number is!), and add penalties and interest to that number.
His best bet is to find and accountant that may give him a free consultation, and advise him what the best action for his specific situation would be.
State governments usually follow the same guidelines.
2007-01-26 12:13:32 · answer #4 · answered by airworker 1 · 1⤊ 3⤋
H may go to jail if he is required to file and does not. He should take what records he has and go to IRS office for help, they will not prosecute him criminally if he goes in voluntarily to get the returns filed. If he owes and can not pay the IRS will try to work out an agreement to pay over time.
2007-01-26 14:37:23 · answer #5 · answered by Anonymous · 0⤊ 1⤋
Not filing your taxes is called tax evasion and is illegal. IRS penalties add up quickly. It would be best to come clean, figure out what he owes and try to settle. If not, there can be legal penalties like jail time.
2007-01-26 12:06:49 · answer #6 · answered by TaxGurl 6 · 0⤊ 1⤋