Anonymous
Anonymous asked in Business & FinanceTaxesUnited States · 8 months ago

Didn't file taxes for 3 years, now IRS won't provide refund?

Ok, not surprised, but what is the general procedure for fixing this?

I lived off of savings to take time to work on a personal project. So, I just didn't file for nearly 3 years.

Now I filed for 2018 but the IRS says my AGI stated for 2017 doesn't match their records.

Update:

I know I should seek professional tax advice, but afraid they may charge a lot. Just wondering what the scenario is for something like this. I have legitimate return of $3400 for 2018, but I realize I may owe some fines for not filing the other years?

20 Answers

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  • zipper
    Lv 6
    8 months ago

    You have to show them that you do not owe any thing for the years that you did not file, and why you did not file.

  • Amy
    Lv 7
    8 months ago

    Their record should say that your AGI was $0 last year.

    If you've already tried that, print out and send in your 2018 return by mail.

    There is no penalty for not filing if you didn't owe tax that year.

    However, note that most types of income - including some investment income - are taxable. You might in fact owe tax for those past years. In which case you will also owe penalties for late payment and late filing.

    it shouldn't cost much just to ask a tax accountant whether you need to file. Bring all your 1099's and other income statements from the skipped years. Or just call the IRS and ask them.

  • 8 months ago

    You cannot e-file since you didn't file for 2017.

  • 8 months ago

    "the IRS says my AGI stated for 2017 doesn't match their records."

    Forms like the W@ and the 1099-MISC, as well as other forms like brokerage transactions, are reported to the IRS.

    You say you "lived off savings". Or did you, in fact, sell off stocks, bonds or other securities? Any gain (increase in value from the time you bought them) is TAXABLE.

    You can file a form with the IRS for a transcript of all activity that was reported to them. You can then verify the accuracy and take steps to correct either the info or your return.

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  • 8 months ago

    You file on paper, by mail. When you do that, you don't even have to state the AGI for the previous year. The AGI stated for the previous year doesn't have to match (and doesn't even get checked) unless you file electronically (e-file).

  • B
    Lv 7
    8 months ago

    you need to file for the years you missed. there will be penalties, but you do need to file

  • 8 months ago

    There is NO procedure for fixing it. The law has been clear for decades that any refund not claimed within 3 years of the ORIGINAL due date of the return is FORFEIT. That isn't IRS policy, that is ACTUAL LAW.

    As for filing this year, you MAIL a paper return, just like a few million others.

    • roderick_young
      Lv 7
      8 months agoReport

      Didn't downvote, but I think the OP is asking about a refund due for 2018, not trying to claim something from a previous year.

  • 8 months ago

    No need for professional advice here.

    If you had no income in 2017 and didn't file because you had nothing to report, then your 2017 AGI was $0.

    Try filing again using 0 as your AGI. If the system rejects it (or if that's what you already tried), then file a paper return by mail. This may add a few weeks to the timeline for your refund, but they will process your return and send your refund.

  • 8 months ago

    Since you didn't file of course it didn't match. You entered something as your AGI for 2017... it didn't match.

  • 8 months ago

    Turn yourself in Mr President!

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