It’s one thing to forget to file your taxes once, but after it’s a habit, it becomes a major problem. The risks of not filing your taxes can be as mild as paying a penalty to losing your home or bank account to the IRS. The following explain the various types of consequences that you could be subject to if you fail to file or pay your taxes.

Substitute Return

If you forget to file your taxes or choose not to, the IRS could file a substitute return for you. And no, it’s not like they’re filing this out of the goodness of their heart. You will most likely receive the worst tax benefits possible, meaning you could owe more in taxes than if you filed an original return due to the IRS claiming the least amount of deductions for you.

Forfeiture of Tax Refund

If you’re expecting a refund, there may or may not be time to claim it. After three years of the original tax return due date, the refund will no longer be available. If you can still expect a tax return from a recently missed tax return, act quickly before you face this personal financial loss.

Penalties and Accruing Interest

If you do not pay your taxes for previous years, penalties and accruing interest will be added to your tax debt. If you have not filed no paid taxes in the past year, both the failure-to-file and failure-to-pay penalties will apply: adding 5% to your debt each month.

If you have filed your taxes but have not paid the tax balance, the penalty is not as severe. The failure-to-pay penalty only adds 0.5 percent to your owed tax debt each month.

Liens and Levies

If you have not paid your owed tax for many years, the IRS may need to take desperate measures and either file a lien against you or levy your bank account, home, and/or wages. Yes, you read that right, the IRS can seize your funds and assets to pay your debt. If this happens, you will be notified of the lien or levy by mail. To prevent liens and levies, it is important to file each year and pay what you can. If you feel like you cannot pay the taxes you owe, you can arrange to pay the IRS through an installment plan or Offer in Compromise. If you have any questions about these arrangements, feel free to contact us.

Seize Social Security Funds

If you are receiving Social Security benefits for Federal Old-Age and Survivors Trust Fund or Disability Insurance Benefits, the IRS can use 15% of your Social Security payments to pay off what you owe to the IRS. However, the benefits your children can receive from the Social Security funds cannot be used to satisfy your debt. If the IRS uses your Social Security benefits to pay the debt, this re-payment arrangement will stay until the debt is either paid off or another arrangement to pay the debt has been made.

Bad Credit

While owing a small amount to the IRS for a short amount of time will not affect your credit, if there is a tax lien against you, this will be reported on your credit report and remain on there for up to ten years. The best way to remove a tax lien from your credit report is to pay the debt to the IRS.

Tax Summons

If you have not paid your taxes in years and have a large debt, you may receive a tax summon in the mail. The summons is a legal requirement to meet with an IRS officer and potentially appear in Tax Court. If you receive a summons in the mail, it is very wise to read it immediately and respond as soon as possible. Ignoring these notices and requests is not only expensive due to penalties and fines but can grow into a much larger case than anticipated. If you receive an IRS Summons in the mail, contact us for legal advice. Also, keep in mind that not all IRS summons applies to you directly, but you could be needed to testify as a third-party in another case.

File for Past Years as Soon as You Can

In case you’re reading this and you realize you need to file the taxes you missed, it isn’t too late. In fact, it’s much better to pay late taxes than to never pay at all. For more information, you can visit our website’s page on filing past tax returns or call us today to begin.

86 thoughts on “The Risks of Not Filing Your Taxes”

  3. Jessika

    Very nice post. I just stumbled upon your blog and wanted
    to say that I’ve truly loved surfing around your weblog posts.
    In any case I’ll be subscribing to your feed and I hope you write again very soon!

  4. Alexis

    You actually make it seem really easy with your presentation but I find this topic to be really something that I believe I would never understand.
    It kind of feels too complicated and very vast for me. I’m taking a look forward
    in your subsequent publish, I will try to get the dangle of it!

  5. Daniele

    I think this is one of the most significant info for
    me. And i’m glad reading your article. But want to remark on few general things,
    The website style is ideal, the articles is really nice :
    D. Good job, cheers

  6. game love138 download

    Hey there would you mind stating which blog platform you’re using?
    I’m looking to start my own blog in the near future but
    I’m having a hard time making a decision between BlogEngine/Wordpress/B2evolution and Drupal.
    The reason I ask is because your layout seems different then most
    blogs and I’m looking for something unique.
    P.S My apologies for getting off-topic but I had to ask!

    Here is my web page :: game love138 download

  8. Jesus

    Currently it looks like Expression Engine is the best blogging platform available
    right now. (from what I’ve read) Is that what you’re using on your blog?

  9. Mazie

    An impressive share! I have just forwarded this onto a colleague who had
    been conducting a little research on this. And he actually bought me dinner simply because I found it for
    him… lol. So let me reword this…. Thank YOU for
    the meal!! But yeah, thanks for spending the time to discuss this matter here on your web site.

  10. Nolan

    Wow, marvelous blog layout! How long have you been blogging
    for? you make blogging look easy. The overall look of your site
    is excellent, let alone the content!

  12. wm casino ios

    Hey! Do you know if they make any plugins to assist with SEO?
    I’m trying to get my blog to rank for some targeted keywords but I’m
    not seeing very good results. If you know of
    any please share. Appreciate it!

    Also visit my site … wm casino ios

  13. live22 apk file

    I believe what you published was very reasonable.

    But, think about this, suppose you were to write a awesome title?
    I am not saying your information isn’t good., however what if
    you added a headline that makes people desire more?
    I mean The Risks of Not Filing Your Taxes | Private Tax Solutions is kinda boring.
    You should glance at Yahoo’s home page and watch how they create post headlines to get viewers to click.
    You might try adding a video or a picture or two to grab people excited about everything’ve got to say.
    In my opinion, it could make your posts a little livelier.

    Also visit my web site; live22 apk file

  14. casinos in upper peninsula

    A fascinating discussion is worth comment. I think that you ought to write more about this topic, it
    might not be a taboo matter but generally people do not speak about these topics.
    To the next! Many thanks!!

  15. Kay

    I don’t even know how I stopped up here, but I believed this publish was once good.
    I don’t know who you’re but definitely you are going to a famous blogger if you happen to are not already.

    Cheers!

  16. where web hosting

    whoah this weblog is magnificent i really like studying your articles.
    Keep up the good work! You realize, lots of people are looking around for
    this information, you could aid them greatly.

  18. http://j.mp

    Having read this I thought it was really enlightening.
    I appreciate you spending some time and energy to put this short
    article together. I once again find myself personally spending a lot of time both reading and leaving comments.
    But so what, it was still worth it!

  22. or asmr

    Hello there! This post couldn’t be written any better!
    Reading this post reminds me of my old room mate!
    He always kept chatting about this. I will forward this page to him.
    Fairly certain he will have a good read. Many thanks for sharing!

  23. asmr is

    Hi there, You have done a great job. I’ll certainly digg
    it and personally suggest to my friends. I’m sure they will be benefited from this
    site.

  26. quest bars this

    Excellent goods from you, man. I’ve understand your stuff previous to and you’re just
    extremely magnificent. I really like what you have
    acquired here, certainly like what you’re stating and the way in which you
    say it. You make it enjoyable and you still take care of to keep it wise.
    I can’t wait to read much more from you. This is really a terrific web site.
    quest bars http://bitly.com/3jZgEA2 quest bars

  31. bit.ly

    Unquestionably believe that that you said.
    Your favourite reason appeared to be at the net the easiest
    factor to have in mind of. I say to you, I certainly get irked
    at the same time as other folks consider concerns that they plainly don’t recognise about.
    You controlled to hit the nail upon the highest and outlined out the whole thing without having side-effects ,
    folks could take a signal. Will likely be again to get
    more. Thank you ps4 games https://j.mp/3z5HwTp ps4 games

  33. Zack

    Yesterday, while I was at work, my cousin stole my
    apple ipad and tested to see if it can survive a thirty foot drop, just so she can be
    a youtube sensation. My apple ipad is now broken and she has 83 views.
    I know this is entirely off topic but I had to share it with someone!

  36. Robt Job

    Heya i am for the first time here. I found this board and I to find It truly useful & it helped me out a lot. I’m hoping to present something again and aid others such as you aided me.|

  37. Carlo Sakakeeny

    I’m truly enjoying the design and layout of your blog. It’s a very easy on the eyes which makes it much more pleasant for me to come here and visit more often. Did you hire out a designer to create your theme? Exceptional work!|

  39. ps4 games the

    Hey just wanted to give you a quick heads up. The text
    in your content seem to be running off the screen in Ie.
    I’m not sure if this is a formatting issue or something to do with browser compatibility
    but I thought I’d post to let you know. The style and design look great though!
    Hope you get the issue resolved soon. Many thanks

  40. Rodger Borgstrom

    I don’t even know how I stopped up here, but I assumed this submit was once great. I do not recognise who you are but definitely you are going to a well-known blogger when you are not already. Cheers!|

  41. Deloris Hoppins

    I am curious to find out what blog platform you are using? I’m having some minor security problems with my latest website and I would like to find something more safeguarded. Do you have any solutions?|

  42. Jessie Traves

    hi!,I love your writing so a lot! proportion we communicate extra about your post on AOL? I need an expert on this space to resolve my problem. May be that is you! Having a look ahead to peer you. |

  44. Raymundo Kibby

    Howdy great website! Does running a blog such as this require a large amount of work? I’ve absolutely no knowledge of coding however I was hoping to start my own blog soon. Anyway, if you have any recommendations or tips for new blog owners please share. I understand this is off subject nevertheless I simply needed to ask. Cheers!|

  45. Wilfredo Landmark

    Greetings! This is my 1st comment here so I just wanted to give a quick shout out and tell you I genuinely enjoy reading through your articles. Can you suggest any other blogs/websites/forums that cover the same topics? Thank you so much!|

  49. Vannesa Sedenko

    Hi! I could have sworn I’ve been to your blog before but after browsing through many of the posts I realized it’s new to me. Regardless, I’m certainly pleased I came across it and I’ll be bookmarking it and checking back frequently!|

  50. Sergio Sweatman

    Hi, I do think this is a great site. I stumbledupon it ๐Ÿ˜‰ I will return once again since i have book marked it. Money and freedom is the best way to change, may you be rich and continue to help others.|

  51. Ira Seiwell

    Hey there! Would you mind if I share your blog with my twitter group? There’s a lot of folks that I think would really enjoy your content. Please let me know. Thank you|

  52. your asmr

    It’s actually a cool and useful piece of info.
    I’m happy that you shared this useful info with us.
    Please keep us informed like this. Thank you for sharing.

  53. Joe Serve

    I am really loving the theme/design of your weblog. Do you ever run into any web browser compatibility problems? A small number of my blog audience have complained about my website not operating correctly in Explorer but looks great in Opera. Do you have any recommendations to help fix this issue?|

  54. Christopher Ialongo

    Can I simply say what a comfort to find someone who actually understands what they’re talking about over the internet. You certainly realize how to bring an issue to light and make it important. A lot more people should check this out and understand this side of the story. I can’t believe you aren’t more popular because you most certainly have the gift.|

  55. Kenneth Zuck

    I do not even know the way I finished up right here, but I thought this publish used to be good. I don’t understand who you’re however certainly you are going to a well-known blogger if you happen to aren’t already. Cheers!|

  56. Vanetta Bohler

    My brother suggested I might like this web site. He was totally right. This post actually made my day. You can not imagine simply how much time I had spent for this information! Thanks!|

  58. asmr the

    With havin so much content do you ever run into any problems of plagorism or copyright infringement?
    My blog has a lot of exclusive content I’ve
    either authored myself or outsourced but it seems a lot of it is popping it up all over the internet without
    my authorization. Do you know any solutions to help reduce content from being stolen? I’d
    really appreciate it.

  59. Lakeshia Quon

    We absolutely love your blog and find nearly all of your post’s to be exactly what I’m looking for. Does one offer guest writers to write content for yourself? I wouldn’t mind composing a post or elaborating on most of the subjects you write concerning here. Again, awesome web site!|

  60. Raleigh Shae

    Howdy excellent blog! Does running a blog like this take a lot of work? I have no understanding of computer programming but I had been hoping to start my own blog in the near future. Anyhow, should you have any suggestions or tips for new blog owners please share. I understand this is off subject but I just wanted to ask. Thanks a lot!|

  61. tinyurl.com

    Fantastic beat ! I wish to apprentice at the same time as
    you amend your site, how could i subscribe for a weblog site?
    The account helped me a appropriate deal. I had
    been a little bit familiar of this your broadcast offered vibrant transparent idea

  62. tinyurl.com

    Hi, i believe that i saw you visited my web site thus i came to go back the prefer?.I’m attempting to to find issues
    to enhance my website!I assume its good enough to make use of a few of
    your concepts!!

  63. bit.ly

    I like the valuable info you provide in your articles.
    I will bookmark your weblog and check again here frequently.
    I am quite sure I will learn many new stuff right here! Good luck for
    the next!

  64. http://tinyurl.com/ya5ggd8a

    I’d like to thank you for the efforts you’ve put in penning this site.
    I’m hoping to view the same high-grade blog posts by you later on as well.
    In truth, your creative writing abilities has
    encouraged me to get my very own site now ๐Ÿ˜‰

  66. cheap flights tickets

    I have to thank you for the efforts you have put in penning this blog.
    I’m hoping to check out the same high-grade content by you later on as well.
    In fact, your creative writing abilities has motivated me
    to get my own, personal site now ๐Ÿ˜‰

  67. gamefly

    Normally I don’t learn article on blogs, but I wish to say that this write-up very compelled me to try and do it!
    Your writing taste has been amazed me. Thanks, very
    nice post.

  68. gamefly

    Hi! I know this is kind of off topic but I was
    wondering if you knew where I could find a captcha plugin for
    my comment form? I’m using the same blog platform as yours and I’m having problems finding
    one? Thanks a lot!

  69. ใƒฉใƒ–ใƒ‰ใƒผใƒซ

    ใƒฉใƒ–ใƒ‰ใƒผใƒซ ็†Ÿๅฅณ ใ”ๆŒจๆ‹ถ๏ผ็งใฏใ“ใ‚ŒใŒใกใ‚‡ใฃใจใ‚ชใƒ•ใƒˆใƒ”ใƒƒใ‚ฏใงใ‚ใ‚‹ใ“ใจใ‚’็Ÿฅใฃใฆใ„ใพใ™ใŒใ€ใ‚ณใƒกใƒณใƒˆใƒ•ใ‚ฉใƒผใƒ ็”จใฎใ‚ญใƒฃใƒ—ใƒใƒฃใƒ—ใƒฉใ‚ฐใ‚คใƒณใ‚’ใฉใ“ใง่ฆ‹ใคใ‘ใ‚‹ใ“ใจใŒใงใใ‚‹ใ‹็Ÿฅใฃใฆใ„ใ‚‹ใ‹ใฉใ†ใ‹็–‘ๅ•ใซๆ€ใฃใฆใ„ใพใ—ใŸใ‹๏ผŸใฉใ†ใ‚‚ใ‚ใ‚ŠใŒใจใ†๏ผ

  70. tinyurl.com

    What you published was very reasonable. But, consider
    this, what if you wrote a catchier post title? I ain’t saying
    your information is not solid., but what if you
    added a headline that makes people want more? I mean The Risks of Not
    Filing Your Taxes – Private Tax Solutions is kinda vanilla.
    You ought to look at Yahoo’s home page and note how they create post titles to get viewers to open the
    links. You might try adding a video or a pic or two to get people excited about what you’ve got
    to say. In my opinion, it would make your website a little livelier.

  72. http://tinyurl.com/

    Wonderful beat ! I would like to apprentice while you amend your website, how could i subscribe for a blog site?
    The account helped me a acceptable deal. I had been a little bit acquainted of this your
    broadcast provided bright clear idea

  74. http://tinyurl.com/2ovl2hxv

    Pretty section of content. I just stumbled upon your site and
    in accession capital to assert that I get in fact enjoyed account your blog posts.
    Anyway I will be subscribing to your feeds and even I achievement you access consistently quickly.

  78. tinyurl.com

    We are a bunch of volunteers and opening a brand new scheme in our community.
    Your website offered us with valuable information to work on. You’ve done a formidable task and our whole group might be thankful to you.

  80. tinyurl.com

    Does your site have a contact page? I’m having problems locating
    it but, I’d like to shoot you an email. I’ve got some ideas for your blog you
    might be interested in hearing. Either way, great
    website and I look forward to seeing it expand over time.

  81. tinyurl.com

    Hi there, i read your blog from time to time and i own a similar one and i was just wondering if
    you get a lot of spam comments? If so how do you reduce it, any
    plugin or anything you can advise? I get so much lately it’s driving me mad so any support
    is very much appreciated.

  82. fakeplanes.tech

    We absolutely love your blog and find many of
    your post’s to be precisely what I’m looking for.
    Does one offer guest writers to write content available for you?
    I wouldn’t mind publishing a post or elaborating
    on many of the subjects you write related to here.
    Again, awesome web site!

Leave a Comment

Your email address will not be published.