Does the IRS have the technology to flag your return based on the absence of previous returns?
2007-02-20 04:33:52 · 6 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
If you weren't required to file during those years, then there's no problem and no flagging. If you were required to file but didn't, they'll eventually contact you about it, not because you filed a return for a later year, but because they have info that you SHOULD have filed for the EARLIER year.
2007-02-20 13:45:44 · answer #1 · answered by Judy 7 · 1⤊ 0⤋
Well that would depend if the returns you never filed and won't would have resulted in a tax owed or a refund due the taxpayer. the IRS will never send a letter to someone requiring them to file in any year that would result in a refund. this is not true for those years in which a tax amount is due and owed. The IRS, in effect files a return (this is done through matching of documents w2's,1099's, etc and would result in no corresepondence from them)for every taxpayer who has reportable income in any particular year and is interested in only collecting the taxes that are due and owed. A taxpayer is never required to file a return in any year in which would result in a tax refund. The IRS is not required to refund any excess tax paid in any year in which .a tax return is not filed by a taxpayer....... short answer if you owe back taxes they will attempt to collect any and all tax monies due and owed. if you do not owe back taxes and are due refunds for the years in question they will NOT seek you out and you should begin filing for all open tax years (2003,2004,2005,2006) to claim your soon to be abandoned refunds. because once a year is closed and you were due a refund for that year..... it will be lost FOREVER (unless you can show real good reason).... like a taxpayer being (proven)incompetent ...... which is very rare in most instances.
2007-02-20 05:16:42 · answer #2 · answered by amazed 3 · 1⤊ 1⤋
IRS will not flag that specific return, but if you had income from the years you did not file, IRS will compute the tax for you based on the forms filed by the folks who paid you and charge you tax they believe you did not pay and that the IRS thinks you owe.
They will also attach Failure to File and Failure to Pay penalties plus interest, if by their records you had income the previous years.
It is your job to file, however, and show that their calculations are wrong by taking deductions and lowering your taxable income.
2007-02-20 05:10:07 · answer #3 · answered by Anonymous · 2⤊ 0⤋
Were you required to file? You can go back and file up to 3 past years returns. Anything beyond that you won't get a refund. If you owe they can still nail you with penalties and interest on top of the amount due.
2007-02-20 04:39:16 · answer #4 · answered by noey 2 · 4⤊ 0⤋
Well, it will be easy for them to see no information recieved from you during your absent years. If you were not required to file during the years you didn't, it wouldn't hurt to offer an explanation along with your filing--although if you did have income it was reported to the IRS.
good luck & bless
2007-02-20 04:39:40 · answer #5 · answered by Wood Smoke ~ Free2Bme! 6 · 0⤊ 2⤋
As long as you didn't owe them anything they won't care. If they figure your did owe them , may god have mercy on your soul.
But the money you paid int ss won't count towards the amount you have paid to date
2007-02-20 04:44:36 · answer #6 · answered by Anonymous · 0⤊ 1⤋