How to File Taxes for Years Missed

Video Transcript

"Today, we're here to talk about filing a previous year's return. If the IRS has contacted you for failure to file, that's always a bad thing. But if you haven't filed your prior year's tax return, you need to go ahead and get it filed as quickly as possible to avoid penalties and interest. The government won't penalize you...if you do a refund and you didn't file, there isn't...there are no penalties and interest for that, but you do risk losing your refund. I think it's three years. If you don't file within that three year period, you will lose the refund. And obviously, if you do owe them money and don't file, the penalties and interest can become quite heavy. The other thing to keep in mind is that if you're filing an older return, some of the figures on that return may roll into your current year and it may be necessary to file an amended return for your current year or for your current years, depending on how far back the old return is that you're filing."