Unfiled Tax Returns

The IRS keeps track of taxpayers through upgraded technology that cross-checks financial data as it floods through various government agencies on a regular basis. In other words, no matter how reluctant you may be to disclose your monetary matters, the IRS eventually finds out how much money passes through your hands.  Because of its improved ability to track cash flow, the  IRS recently stepped up its collection efforts regarding what it calls “non-filers,” estimated to number around 10 million.  Non-filers are those taxpayers who don’t file required tax returns.  And the IRS punishes those non-filers.  Heavy penalties and interest continue to accrue if you owe taxes, but don’t file on time.  In some cases, the IRS will press criminal charges if it suspects that you are deliberately not filing because you want to avoid having to pay your taxes.

Whether you hate paperwork, resent the time spent on completing the requirement, have just gone through some pretty heavy personal issues, are scared to reveal your true income, fear facing penalties for late filing –  whatever your reason for not filing, if you fall in the group of non-filers, your best approach to getting compliant with the IRS is to obtain legal counsel.

At Law Offices of Christy Lee, P.C., if you are a non-filer, we effectively communicate with the IRS on your behalf.  When the IRS initializes collections against you, it generally relies on its Automated Collection Services (“ACS”), an internal department staffed by representatives whose job is to service your account primarily via telephone and other electronic methods. ACS may generate notices of taxes due, and accept your calls in response to the mailed notices can meet with endless delays. The staffers of ACS are generally sited in out-of-state offices, and contacting them directly can prove difficult. We can navigate through the endless telephone wires – and red tape – connecting you to the IRS, thereby achieving faster and more beneficial results for you.

If your case has reached the stage of investigation by a local office, we  can stand in your place so that you don’t inadvertently make statements that could harm instead of help you. We  know how to communicate with the IRS to ward off criminal charges for non-filing, and we will ensure that all the documentation necessary is presented to the IRS in an acceptable format that diminishes the chances of an audit.

Hiring us shows the IRS that you are serious about resolving your tax issues. The IRS hears every conceivable excuse for not filing required returns, and chronic non-filers often make promises to the IRS that never materialize. IRS representatives are understandably amused, but typically skeptical when listening to defensive taxpayers confess that they moved to the Antarctica because they didn’t believe Uncle Sam would bother hunting them down for unfiled returns.

Voluntary compliance with Internal Revenue Code is best conducted under the supervision of an experienced tax attorney who will offer sound advice and protect your rights. Late filings can trigger audits, during which the IRS will scrutinize the returns carefully for accuracy in disclosure. To lessen the risk of an audit, which in turn could lead to criminal charges against you for failure to file, we  will review the returns for correctness and completion, then advise you about any inconsistencies or questionable data found.

Obtaining  our assistance lessens the chance that the IRS will file returns on your behalf. The IRS often files a return for non-filers, which is called “substitute for return.” This is the formal way the IRS adopts to make an educated guess about how much taxes you might owe. This practice  can be financially deadly. When preparing substitute for returns, the IRS excludes deductions that would otherwise ordinarily apply. The substitute for return is designed so that the IRS can arrive at a definite dollar amount of your tax liability, then begin collection efforts. If you don’t respond to the proposed assessment, that assessment will become final. Once the assessment becomes final, the IRS can now collect on that tax for the next 10 years.

When you hire Law Offices of Christy Lee, P.C., we will communicate with the IRS on your behalf, decreasing the risks of inaccurate assessments. When you find yourself in IRS collections, you are on the defensive. Before you can switch to an offensive position, all your returns and filings must be current.

As a tax boutique, Law Offices of Christy Lee, P.C., will protect your rights while interceding on your behalf with the IRS concerning your late and non-filings.  We assist you with optimum ways to approach compliance, prepare your late filings for the IRS, and advise you concerning compliance with filings in the future.  Avoid the hassle and stress of remaining a non-filer by scheduling a consultation with us.