Did you know that filing late taxes can result in the complete loss of your tax refund? The IRS takes filing taxes very seriously, and if you don't remember to file on time, you should be aware of the consequences you could face.
Filing Late Taxes Puts Refunds at Risk
A tax refund is a refund of the taxes that an individual or corporation has overpaid to the government. A tax refund can be obtained only after filing a tax return. The IRS has a set of guidelines for when you can file your taxes and still receive a refund. If you fail to submit a return for two years past the tax submission due date, you will not be entitled to any refund whatsoever.
Many individuals believe that if they are entitled to a refund, they aren’t required to file their taxes. This is a common misconception that can result in significant repercussions. Not only will filing late result in the total loss of a refund, if an individual does not file for more than three years, they can face federal criminal prosecution or jail time.
Preventing the Loss of Your Tax Refund
The only way to avoid forfeiting your tax refund is by staying caught up on tax filings. You should always file your taxes, even if they are late. Larry Bradford, CPA can help you stay current with your tax filings to protect your refund and avoid potential consequences from the IRS. To set up an appointment, send an email to firstname.lastname@example.org or give our office a call at 512-402-0049.