Level 5

Question

How far back can you file taxes?

Forum|Forum|5 years ago
May 19, 2021
3 replies
34 views

I have a client who did not file taxes for several years (more than 3 years). Without getting into too much detail, I want to know how far back they can file taxes. I understand that you can't claim a refund after 3 years but I read somewhere that you can file as far back as 6 years, and I think I read somewhere else that you can go even farther back. Thanks!

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Level 15

I googled your topic's title.

How far back can you file taxes?

Google told me:

six years

The IRS requires you to go back and file your last six years of tax returns to get in their good graces. Usually, the IRS requires you to file taxes for up to the past six years of delinquency, though they encourage taxpayers to file all missing tax returns if possible.

I also see the IRS knows the answer.

Don't yell at us; we're volunteers

Level 5

Thank you. As implied in my details, the internets also provided me with said information. But my luck ran out in search of a "rule" that said X number of years. The IRS web presence did not offer me that either (maybe I'm not a good "googler"). Therefore I posted my query to the community out of the sheer desire to know more and receive feedback from others who may have tackled quandaries like this before.

Level 15

Without getting into too much detail, we can't tell you whether maybe you should try six years (if there is a foreign tax credit) or maybe even longer if there was an NOL in an open year that can be carried back. It's generally a waste of time to go back more than three years, although some states allow four.

Without getting into too much detail, do you think I should keep my used car that requires some maintenance, or buy a new one?

Level 5

Thanks for your feedback. I was hoping to find a rule, a law, a tax code that said something like "you can file x amount of years back". Maybe I'll just contact the IRS to be sure.

As for your vehicle, many persons would agree that if your yearly maintenance and repair bills are more than the annual payments on a newer vehicle then you should get rid of the old one and get the newer one. It simply makes more financial sense. However, if you have some emotional attachment to said vehicle, then there is no monetary value that anyone can place on it for you. No further details are needed to rationalize this.

Level 15

"I was hoping to find a rule, a law, a tax code"

The reason you don't have a Hard Line is that you seem to be trying to apply the concept of Statute of Limitations to tax filings. That doesn't apply to filing taxes. There is no "safe at home if I didn't file X and they didn't catch me by Y."

Read these articles:

https://www.thebalance.com/back-taxes-filing-late-tax-returns-3193548

https://www.freshbooks.com/hub/taxes/how-far-back-can-irs-go-unfiled-taxes

https://www.thebalance.com/when-you-haven-t-filed-tax-returns-in-a-few-years-3193355

Basically, your client is playing russian roulette = how many spins are on that chamber before a round ends up in the barrel and the IRS has reason to pull the trigger?

Don't yell at us; we're volunteers

Level 15

You can file all years. But do you want to? Do you need to? As already stated, 6 years generally gets you back in good standing with the IRS.

The more I know the more I don’t know.

Level 4

I had a client who never filed a tax return and received a 1099 for over 30 years. IRS told he only had to file for seven years. How is that fair?

Level 15

"Fair" has nothing to do with Taxes. You know this, based on your current topics regarding who got vs who else wants to apply and get the Child Care and the Recovery Rebate amounts/credits. You've seen it in action.

Don't yell at us; we're volunteers