Tax filing is a crucial part of life in the United States. Every year, millions of people file their taxes and pay what they owe to the government. But what happens if you don’t file your taxes? What are the consequences for not filing taxes on time or at all? In this blog post, we will explore these questions and discuss why it is important to seek help from experts tax preparation services in New York (NY).
Consequences of Not Filing Your Taxes
The Internal Revenue Service (IRS) requires that all individuals who meet certain income thresholds must file a federal income tax return each year. Failure to do so can result in serious consequences including fines, penalties, and even criminal charges. Here are some of the most common consequences for not filing your taxes:
• Fines & Penalties: The IRS may impose fines and penalties for failure to file a tax return or pay taxes due. These can include late payment fees, interest charges, civil fraud penalties, accuracy-related penalties, and more. Depending on how long you have been delinquent with your returns or payments, these fees can add up quickly and become quite costly over time.
• Loss of Refunds: If you fail to file your tax return by April 15th each year (or October 15th if you filed an extension), any refund money that was due to you will be forfeited by the IRS. This means that any refunds owed will never be received by you unless you take action to correct this situation as soon as possible after missing the deadline date(s).
• Wage Garnishment: If unpaid back taxes remain outstanding for an extended period of time without being addressed through payment arrangements with the IRS or other methods such as offers in compromise (OIC), wage garnishment may occur where a portion of your wages are withheld directly from your paycheck until all debts are paid off in full. This could cause financial hardship since it reduces available funds significantly each month until all balances are cleared up with Uncle Sam!
• Criminal Charges: In extreme cases where someone has willfully failed to comply with their obligation under law regarding filing returns or paying owed amounts due on those returns within specified periods; criminal charges may be brought against them which could lead to jail time depending upon severity level/amounts involved etc...
Benefits Of Seeking Help From Experts Tax Preparation Services In New York (NY)
If you find yourself facing one or more of these potential consequences because of not filing your taxes properly then it is important that you seek professional help right away from experts tax preparation services in New York (NY). A qualified accountant can assist with navigating through complicated paperwork while also helping ensure accuracy when submitting information related to deductions/credits etc... Additionally they may be able provide advice about different options available when dealing with back-taxes such as installment plans which allow taxpayers spread out payments over several months rather than having one large lump sum amount due immediately - thus making things much easier financially speaking! Finally they might even suggest ways reduce overall liability through various strategies like amending prior years' filings so there's less money owed now than before - saving both time & money down road too!
It is important that everyone takes responsibility for their own finances by properly filing their annual income tax returns on time every year - regardless whether they owe anything or not! Failing do so could result severe repercussions ranging from hefty fines/penalties imposed by IRS up criminal prosecution depending upon severity case at hand; therefore seeking assistance from professionals like those found at expert's tax preparation services located throughout New York City area should always be considered first before attempting tackle issue alone without proper guidance/support system place protect oneself best interests moving forward into future!