Do You Have To File Your Tax Return If You Didn"t Get A Paycheck?
Wishful thinking...
Some people have the misconception that if you don't get a paycheck or regular income you don't have to file your taxes.
Even if the only source of funds you receive is a social security check and you live below the poverty line you still have to file your income taxes.
But millions of Americans who live on fixed incomes fail to file their income tax return and end up with an IRS tax debt that they didn't expect, and can't afford to pay.
Any exceptions? Is there any time when you don't have to file income taxes? Whether or not you have to file is based on 3 requirements: your gross income or how much you made during the tax year; your filing status, whether you're single or married; and your age.
Here's an example of someone who doesn't have to file: A single person, over the age of 65 whose gross annual income is less than $10,050.
For the sake of argument...
But for the purpose this article we're going to assume that you did have to file taxes and you didn't.
Now you have an IRS tax debt...
so what can you do? You've got to do what you've got to do...
Obviously you need to file those back taxes before the IRS files them for you.
But here are some things the IRS-Hitman can tell you about what you need to do to get those back taxes filed correctly, and keep the IRS from making your debt impossible.
Did you save that shoebox? Your tax records are the key to getting your taxes filed correctly.
However, depending on how far back your unfiled taxes returns go you may have lost or thrown away any of your records.
The IRS can give you the information you would need for income earned, but what about any deductions or credits you think you deserve.
If you have property, your bank would be able to supply you with any information about your mortgage including interest on the mortgage which you can claim on your taxes.
Were you taking care of your grandkids? You would need school and doctor records to prove the child lived with you for at least 6 months of the tax year in question.
Do you get money back? What if you file your back taxes and find out that you not only don't owe any money, but you are actually entitled to a refund? Hold your horses because you can only get refunds from back taxes that are from tax returns in the last 2 years.
If a return is older than 2 years then you get nothing.
Substitute Filing...
If the IRS decided to file for you, you're in real trouble...
especially if you don't have those all important tax records.
When the IRS files for you they don't file in your favor.
In fact when the IRS files your returns they file your returns so that you have to owe them.
You can attempt to file an amended tax return, but if you didn't save those tax records then you don't have a leg to stand on and the IRS filing stays.
If you want to know whether you should file your return or not, look at IRS Publication 17.
Now you have the smoking gun...
Use it!
Some people have the misconception that if you don't get a paycheck or regular income you don't have to file your taxes.
Even if the only source of funds you receive is a social security check and you live below the poverty line you still have to file your income taxes.
But millions of Americans who live on fixed incomes fail to file their income tax return and end up with an IRS tax debt that they didn't expect, and can't afford to pay.
Any exceptions? Is there any time when you don't have to file income taxes? Whether or not you have to file is based on 3 requirements: your gross income or how much you made during the tax year; your filing status, whether you're single or married; and your age.
Here's an example of someone who doesn't have to file: A single person, over the age of 65 whose gross annual income is less than $10,050.
For the sake of argument...
But for the purpose this article we're going to assume that you did have to file taxes and you didn't.
Now you have an IRS tax debt...
so what can you do? You've got to do what you've got to do...
Obviously you need to file those back taxes before the IRS files them for you.
But here are some things the IRS-Hitman can tell you about what you need to do to get those back taxes filed correctly, and keep the IRS from making your debt impossible.
Did you save that shoebox? Your tax records are the key to getting your taxes filed correctly.
However, depending on how far back your unfiled taxes returns go you may have lost or thrown away any of your records.
The IRS can give you the information you would need for income earned, but what about any deductions or credits you think you deserve.
If you have property, your bank would be able to supply you with any information about your mortgage including interest on the mortgage which you can claim on your taxes.
Were you taking care of your grandkids? You would need school and doctor records to prove the child lived with you for at least 6 months of the tax year in question.
Do you get money back? What if you file your back taxes and find out that you not only don't owe any money, but you are actually entitled to a refund? Hold your horses because you can only get refunds from back taxes that are from tax returns in the last 2 years.
If a return is older than 2 years then you get nothing.
Substitute Filing...
If the IRS decided to file for you, you're in real trouble...
especially if you don't have those all important tax records.
When the IRS files for you they don't file in your favor.
In fact when the IRS files your returns they file your returns so that you have to owe them.
You can attempt to file an amended tax return, but if you didn't save those tax records then you don't have a leg to stand on and the IRS filing stays.
If you want to know whether you should file your return or not, look at IRS Publication 17.
Now you have the smoking gun...
Use it!
Source...