| If you haven't been filing your taxes, you might be | | | | professional is that he or she can negotiate with the |
| nervous about filing your taxes again. But you might be | | | | IRS on your behalf. But whether DIY or with a tax |
| surprised to learn that filing tax returns is actually the | | | | professional, prepare to do a lot of work yourself. |
| easiest way to get out of tax trouble. Here are some | | | | 3. File your tax returns. |
| tips to handling your back taxes: | | | | Of course, when you're done preparing your tax |
| 1. Gather all your tax-related documents. | | | | returns, file them with the IRS. You won't know if the |
| When was the last time you filed a tax return? Check | | | | IRS owes you a refund, or if you owe the IRS, unless |
| your files for copies of your last tax return, and related | | | | if you file the tax returns with the IRS. |
| tax documents for the years that you need to file. If | | | | 4. Manage your tax refunds. |
| you are missing any document, you can request free | | | | Although it may seem unbelievable, late tax filers are |
| copies from the IRS. | | | | actually more likely to get tax refunds. However, you |
| 2. Prepare your tax returns or hire a tax preparer. | | | | need to know that the IRS follows strict time limits for |
| You can do either of the two options. Just make sure | | | | audits, debt collection, and refunds. Get an estimate on |
| that when you do it yourself, you are using an | | | | how long it's going to take to get your refund checks. |
| easy-to-use AND reliable tax preparation software | | | | If you owe any back taxes, find out how much of your |
| program. Before buying a tax preparation software, | | | | refund money will be applied to the other tax years. |
| read the reviews on that product. Plan to spend | | | | 5. Pay off your tax debts, and talk to the IRS. |
| around two to three for every tax return you need to | | | | Plan for how you will pay your tax debts, if there are |
| file. | | | | any, and plan for protecting yourself from an IRS |
| If you prefer hiring a tax professional, ask for referrals | | | | investigation, assessment, levy, or lien. It is easy to do |
| from friends. Look for a tax professional who is | | | | this, but requires the ability to talk respectfully with the |
| experienced in preparing back taxes and in dealing | | | | IRS, and a sensible payment plan that works both for |
| with the IRS. One main advantage to hiring a tax | | | | you and the IRS. |