Worried you'll owe and can't pay?

For a lot of people, the real reason they haven't filed isn't the paperwork. It's the fear of the number at the end. If that's you, you're in good company, and there's more room to move than it might feel like right now.

This page is general information, not tax or financial advice.

File even if you can't pay

The IRS's page on filing past due tax returns(IRS.gov), opens in a new tab says to file all tax returns that are due, regardless of whether or not you can pay in full. It also says filing and paying sooner limits interest and late payment penalties.

Not filing has its own penalty, separate from not paying, and it's the bigger one. The IRS's failure to file penalty(IRS.gov), opens in a new tab page puts it at 5% of the tax due for each month or part of a month the return is late, up to 25%. Its failure to pay penalty(IRS.gov), opens in a new tab page puts the penalty for not paying at 0.5% a month, also capped at 25%. So filing, even without paying, stops the larger of the two from growing. Our guide to late filing penalties walks through how they add up.

Payment options the IRS describes

The same past due returns page says that if you can't pay what you owe, you can ask for an extra 60 to 120 days to pay in full, and that if you need more time you can request an installment agreement. The IRS explains how these work on payment plans and installment agreements(IRS.gov), opens in a new tab.

Which option fits, if any, depends on your situation. That's exactly the kind of question a licensed tax pro can answer.

You might not owe as much as you fear

Until your returns are prepared, nobody knows the real number. Business costs, credits and the details of each year can all change it. Sometimes people find they owe less than they feared, and sometimes they're owed a refund. A tax pro can tell you once the work is done.

How BackYears can help

BackYears is free for you. Answer a few questions (no SSN), and if you say yes, we'll introduce you to a vetted CPA, Enrolled Agent or tax attorney who offers a flat price for the catch-up, so the cost of getting help is clear up front. We're an independent referral service, not the IRS.