Have you ever wondered how to handle a situation where your late father didn’t file or pay income taxes for decades? 🤔 Discover what steps you can take to address this issue effectively and avoid potential legal consequences. #unpaidtaxes #taxfiling #latefather #taxissues
What to Do When Your Late Father Didn’t File or Pay Income Taxes?
1. Gather Information
– Collect all relevant documents, including any tax records or notices.
– Contact tax authorities or financial institutions for assistance in obtaining necessary information.
2. Seek Professional Help
– Consult with a tax advisor or accountant to assess the situation and determine the best course of action.
– Consider hiring a tax attorney to represent you in dealings with the IRS or other tax authorities.
3. File Past Due Taxes
– Submit any outstanding tax returns for your late father to avoid further penalties or interest.
– Explore options such as installment payment plans or offers in compromise to settle tax debts.
4. Communicate with Tax Authorities
– Maintain open communication with the IRS or state tax agencies to address any outstanding issues promptly.
– Keep records of all interactions and correspondence with tax authorities for future reference.
By taking proactive steps to address the issue of unpaid taxes left by your late father, you can ensure compliance with tax laws and mitigate potential financial liabilities. Remember, seeking professional help and staying organized are key to resolving tax issues effectively. 📑💼 #taxhelp #IRS #taxresolution #taxadvice
Contact a tax lawyer & get a second opinion.
You weren’t wrong to file 2023 taxes. You were responsible to file for the estate and you’ll do so for 2024, too.
You are not responsible for your father failing to file while he was alive. You also don’t have enough information to even know if he should have filed or even how anyone could file correctly now. You simply don’t have enough information.
Yes, you’re wise to not run out and spend the inheritance. If the IRS or state tries to audit, they’ll keep hitting dead ends.
Condolences for your profound loss.
Somewhat “good news/bad news” situation.
The IRS can only enforce penalties on unfiled returns for six years. I’m not sure whether that would include 2024 or not, so at worst you’re only talking about problems with years 2018 and after. Source: [https://www.irs.gov/irm/part4/irm_04-012-001](https://www.irs.gov/irm/part4/irm_04-012-001)
Now I do agree that this is attorney territory, and I think (and hope) they will suggest that you get those above years of taxes straightened out and done so that they don’t come back to bite you and what’s left of the inheritance at a later date. That might mean the inheritance gets all but wiped out in the process, but at least it won’t be a black cloud following you around.
Do you know what dad did for work during that time? Like was it a W-2 or 1099 job working for someone else, or his own business, or paid under the table? I don’t need to know, but I would try to give the attorney as much info as you can on what he was doing for work, that will help the process.
While everyone is thinking about unpaid taxes and penalties that may be owed to the government, there is the possibility that taxes were being withheld and there is actually a tax refund coming.
My CPA shared a story like that. Probably a one in a million possibility.
What kind of work did you dad do? W2 job, independent contractor? Was 2023 a typical year, income-wise?
Within the last few years, I was dealing with unfiled taxes. Since the government had never contacted me about them, I was able to just file for those years, with help from an accountant (not just a tax service place), and since I went to the IRS instead of the other way around, there were no penalties or interest attached. The earlier of the years actually would have gotten me a refund, so instead I got a notice that they wouldn’t pay it after 5 years late. Accountant said same would hold if we owed money.
There is a statute of limitations to it. Contact an accountant or tax attorney for a consult for your particular situation. A few $100s could save the estate $1000s, and you some stress and aggravation.