What If I Haven’t Filed Taxes in Years? with Kevin Cross

But avoidance only makes the problem heavier. The path forward begins with gathering information and getting the right help.

Not Filing Is Different From Not Paying

It is important to understand the difference between not filing and not paying.

If you owe taxes, the April deadline matters. You can file an extension to extend the time to file your return, but that extension does not extend the time to pay any tax you owe.

However, if you are due a refund, there is generally no penalty for filing late. But there is a time limit. If you wait too long—typically more than three years—you may lose the ability to claim that refund.

Some people may not be required to file at all. For example, if Social Security is your only source of income, you generally do not need to file a federal tax return. But the challenge is that many people do not know whether they owe or not until their information is reviewed.

Other income can change the picture, such as interest, dividends, retirement distributions, self-employment income, or the sale of a home. Even a home sale that qualifies for the primary residence capital gains exclusion may still need to be reported properly so the IRS understands why no tax is owed.

Gather Your Wage and Income Transcripts

This can be especially helpful if you do not have all your old tax documents. It gives you a starting point for reconstructing the missing years.

Work With a Qualified Tax Professional

While you can download your transcripts yourself, you may not know what to do with them once you have them. IRS transcripts do not look like regular tax forms, and catching up after multiple missed years can involve more than simply filling out returns.

That is why Kevin recommends working with a tax professional who understands tax representation and IRS procedures. A qualified CPA, enrolled agent, or tax professional can help determine which years need to be filed and how to communicate with the IRS.

According to Kevin, the IRS typically focuses on the past six years when bringing a taxpayer back into compliance. That does not mean every situation is identical, but it does mean you should not simply assume you need to start with a very old return from decades ago. A knowledgeable professional can help you determine the proper path.

The IRS Will Work With You

Many people avoid filing because they are afraid of what they might owe. But the IRS has options for taxpayers who cannot pay everything at once.

Depending on your situation, those options may include a payment plan or, in some cases, an offer in compromise. The key is to take the first step rather than remain silent.

Ignoring the problem will not make it disappear. But taking action can begin to restore order, clarity, and peace of mind.

A Faithful Step Forward

If you have fallen behind, do not let shame keep you stuck. Begin with the next faithful step. Gather your documents. Request your transcripts. File the current year. Then find a qualified tax professional who can help you walk through the rest.

On Today’s Program, Rob Answers Listener Questions:

• I have about $18,000 in credit card debt. I may have the opportunity to work in Alaska’s fishing industry for three months and earn enough to pay it off quickly. Should I contact Christian Credit Counselors before I go, or wait to see how much progress I can make during those three months?
• I have a Thrift Savings Plan and plan to retire within the next five years. I was told I could roll over part of my TSP into something that would protect the principal, keep it from going down, and still leave my TSP open for contributions. Is that wise, and is it really guaranteed not to lose value?
• I’m 59 and have contributed to my company’s traditional 401(k) for years, with a 50% employer match. I’m near the end of my career and likely at my highest income level. Should I keep contributing to the traditional 401(k), or would a Roth option make more sense?
• I’ve been studying the Bible for just over a year and recently began tithing. I want to honor the Lord faithfully, but I’m not sure where the tithe should go. Biblically, who should receive it?

Resources Mentioned:

• Faithful Steward: FaithFi’s Quarterly Magazine (Become a FaithFi Partner)
• Christian Credit Counselors
• Our Ultimate Treasure: A 21-Day Journey to Faithful Stewardship by Rob West
• Wisdom Over Wealth: 12 Lessons from Ecclesiastes on Money
• Look At The Sparrows: A 21-Day Devotional on Financial Fear and Anxiety
• Rich Toward God: A Study on the Parable of the Rich Fool
• Find a Certified Kingdom Advisor® (CKA)
• FaithFi App