Though the current tax season is rapidly coming to a close, many Colorado residents may still have many concerns about their taxes. In some cases, these concerns can stem from unfiled tax returns associated with previous years. It is important that taxpayers understand that failing to file their returns does not mean they are no longer held accountable for their tax obligations. In fact, the IRS could file a return on a taxpayer’s behalf.
Before individuals assume that allowing the IRS to file a return is an easy way out of filing their own taxes, they should keep in mind that the IRS does not take a lenient approach to filing a taxpayer’s return. This means the agency will not seek savings, credits, or deductions to help the taxpayer achieve the most favorable outcome possible. Instead, the IRS will simply use the income and tax information received from employment forms.
Typically, when the IRS files a return, the taxpayer ends up owing the maximum amount of taxes and facing penalties for tax delinquency. If this happens, the taxpayer can still address the situation, including by:
Deciding to address delinquent tax returns can be overwhelming, which is why it is wise to have help. Sometimes, not having filed returns for a few years can mean a considerable amount of tax owed, high penalties, and other consequences. Colorado residents facing this scenario may qualify for assistance programs that could help them pay their tax obligations over time, but it is important that these options are fully understood and applied for correctly. Fortunately, the Denver tax attorneys from Beem & Isley are experienced in tax law and could help.
Call Beem & Isley today at (303) 894-8100 to speak with a member of our legal team.
