Individuals who choose not to file their tax returns (“Unfiled Returns”) will be located by the Internal Revenue Service, but it will take time. Individuals may choose not to file their income tax returns with the IRS or New York State for many reasons, not limited to; not being able to pay tax debts owed, they believe paying taxes is voluntary, or just deciding not to. No matter what the reason for non-filing is, the IRS will want any back tax debts owed.
Non-filing and Unfiled Returns in general, can be a crime when back taxes are owed. It can result in penalties, fines, and the possibility of prison. The first step to solve this tax problem is to file any unfiled returns. This needs to be done even if you are unable to pay for the tax debt owed, as well as fees and interest that might be added to the debt. If you are due a refund, you may only receive the money for the previous three years. After the three year window, any refunds you may be owed will not be awarded in reducing your back tax debt liability.
Depending on each individual case, the consequences for non-filing vary. However, in most cases non-filers who take action by filing returns and paying back any taxes owed will no longer have the IRS criminal process after them.