Monday, January 5, 2009

Just the FAQ'S - Unfiled Tax Returns

I have not filed my tax returns in several years, what do I do?

If you have a filing requirement, then you should file your returns as soon as you can. If you do not file a return, then the IRS can file what is called a Substitute for Return (“SFR”) for you.

The IRS will use information they have on file under your social security number (such as W-2 and 1099 information) and file the return for you. Of course, when they do this, you do not get credit for many deductions that are applicable. Therefore, you are almost always better off filing the return yourself.