Will I Get in Trouble for Unfiled Tax Returns?

This article applies to U.S. taxpayers who have not filed one or more required tax returns with the IRS.

Yes, unfiled tax returns can lead to IRS penalties, substitute returns, and even enforcement actions like wage garnishment. But if you act early, you can usually avoid the worst outcomes.

What This Means

Failing to file a required federal tax return is a violation of U.S. tax law. The IRS can assess penalties, interest, and even create a tax return for you — called a Substitute for Return (SFR) — that almost always overstates your tax bill.

Why It Happens

When you don’t file, the IRS uses information from your employers, banks, and other third parties to estimate your taxes. If they think you owe, they’ll send notices and may eventually begin collections. The longer you wait, the more severe the consequences can be.

Who It Affects

This issue commonly affects:

• Self-employed or gig workers with no W-2
• People who didn’t think they made “enough” to file
• Those who lost records, moved, or had life disruptions
• Anyone afraid of what they might owe

What You Can Do

If you have unfiled returns, here’s what to do:

• File as soon as possible — even if you can’t pay
• Request your wage & income transcript from the IRS
• Avoid filing returns the IRS has already replaced with SFRs without reviewing the details
• Explore resolution options like payment plans or hardship status

The IRS is generally more lenient with people who come forward voluntarily before being targeted.

How TaxRise Can Help

TaxRise has helped thousands of Americans file back taxes, stop IRS collections, and get back on track. Whether you’re one year behind or ten, our team can help you sort it out and avoid IRS action like levies, garnishments, and liens.

👉 Don’t wait for the IRS to come knocking.

Start your free case review with TaxRise today →

Related Questions

• Can I still get a refund if I file late?
  You have up to 3 years to claim a refund. After that, the IRS keeps it — even if they owe you.
• Will I be audited if I file old returns?
  Not necessarily. In fact, filing voluntarily often lowers your audit risk.
• Can the IRS file a return for me?
  Yes — it’s called a Substitute for Return (SFR), and it usually results in a higher tax bill without deductions or credits.

📘 Reviewed by TaxRise Tax Professionals
This article was reviewed by the TaxRise Tax Professional Team. TaxRise has helped thousands of Americans eliminate millions in IRS and state tax debt. This content is for informational purposes only and is not legal or tax advice.