I am a teacher and I have a student who wants me to help her file her last 2 years taxes. I know that she will be due a refund. Does it matter that these will be over a year late? Will she still get her full refund?
Thank you for helping!
2007-07-17 08:00:55 · 5 answers · asked by tallfarmboy 2 in Business & Finance ➔ Taxes ➔ United States
She'll still get her full refund for the past two years, with no penalty for filing late. If she had owed, there would be a penalty, and if her returns were over three years late, she wouldn't be able to get her refund. But at 2 years late, she'll be OK.
Pay no attention to the dire warnings from the first responder. There are no penalties for any year when the person has a refund coming.
2007-07-17 08:17:44 · answer #1 · answered by Judy 7 · 2⤊ 0⤋
There will be NO penalties if a refund is expected. The worse that could happen is the IRS &/or the state might add some interest onto the refund. And guess what?! That interest will become taxable. They'll put money in your right pocket and take it out of the left. File those returns now - refund could be coming back to you within 6-8 weeks. If the time goes beyond 3 years, you just gave the IRS a non -deductible gift--you will forfeit your refund. Aren't teachers wonderful? Thanks for helping your student.
2007-07-17 15:56:34 · answer #2 · answered by IRENE THE BOOKIE 3 · 0⤊ 1⤋
The IRS assesses NO penalties for late filing, as long as there is a refund due. If you are assisting in filing a state tax return, the same cannot be said. Those rules vary from state to state.
2007-07-17 15:20:40 · answer #3 · answered by acermill 7 · 2⤊ 0⤋
Others have already hit on it and they are correct. Your student will not have to pay penalties assuming she is to receive a refund (at least from the IRS - - states may be different). The IRS calculates its penalty and interest from the amount that is owed. Since no amount is owed, no penalty/interest will be added.
Good luck and congrats on doing a good deed by helping your student.
2007-07-17 16:04:53 · answer #4 · answered by NoNickname 2 · 0⤊ 0⤋
Well, I have bad news...If she has not filed her taxes for the last 2 years, she will probably have so many penalties for being delinquent that she is likely going to owe money to the feds. Tell her not to get too attached to receiving a refund...Good luck!
2007-07-17 15:14:27 · answer #5 · answered by gilliegrrrl 6 · 0⤊ 4⤋