If you’re worried about getting hit with high interest rates and penalties, or you’re missing the chance to collect a big refund, now could be a great time to file past years tax. You can take a few quick steps to make the process easy, and there are even some tips and tricks to minimize your taxes owed and even get a refund. The first thing you’ll want to do is get the information you need to file. If you’ve filed for a year after the year you’re filing for now (for example, if you didn’t file in 2006 but have filed since), make sure you have the tax forms from the years in which you did file. If you have any bank account information, mortgage records, W-2s, or 1099s, make sure they’re handy as well.
When you file past years tax, you may find that you’re liable for fines and interest. The good news? The IRS is often willing to negotiate. Especially in an economy like this, they’re happy to get any money, even if you aren’t able to pay it all — and if you make them an offer, they’re currently more likely to agree, simply because they’re so busy and so desperate for cash.
If you’re going to file past years tax, there’s no good reason to do it yourself: you don’t want to spend hours doing and redoing calculations, only to find out that you forgot to include a crucial form and have to wait another three months for your refund. Instead, you can file past years tax through a professional tax prep company that has broad experience and specific expertise helping people file past years tax. It’s just the easiest way.
To file past years tax, you’ll just enter your tax information into the site you use, let them crunch the numbers, and then print up and mail in your tax filing. Unfortunately, IRS rules make it hard to e-file past years tax, but that’s a minor concern. As long as you can get the filing done, the extra cost of a stamp is no big deal. And since late filers tend to get higher refunds than the average taxpayer, you might find that online tax preparation is the best investment you can make!
Photo via blakespot on Flickr.
