I'm helping a friend get his taxes done and now he tells me 2005 was never filed. Can't he go ahead and file 2006 so it won't be late??
2007-04-14 11:55:21 · 4 answers · asked by L D 3 in Business & Finance ➔ Taxes ➔ United States
Yes he can file 2006 and then file for 2005. There is one of the great secret about the tax law. If you have a refund coming — as more than two-thirds of taxpayers do every year — then there is no penalty for failing to file your tax return by the deadline, even if you don't ask for an extension. As noted below, the penalty for filing late is a percentage of the tax owed with the return. And, even 100 percent of $0 is $0.
2007-04-14 12:13:17 · answer #1 · answered by Joseph H 4 · 0⤊ 0⤋
He can go ahead and file his 2006 taxes without having filed his 2005 tax return. But what he should do is check over his 2005 return after that is finished to make sure that there are no carryforwards on the 2005 return (such as a capital loss carryforward) that should have been carried forward to 2006. If that is the case, he'll need to file an amended 1040X for 2006 to report the carryforwards from 2005.
2007-04-14 19:01:29 · answer #2 · answered by Anonymous · 1⤊ 1⤋
Yes, file 2006 on time, then get the 2005 return filed as soon as possible.
2007-04-14 20:06:26 · answer #3 · answered by Judy 7 · 0⤊ 0⤋
By all means. Every year stands on its own. But he should get that 2005 return filed asap!
2007-04-14 19:01:15 · answer #4 · answered by TaxGuru 4 · 0⤊ 0⤋