Sorry to ask this here, but I’d usually ask my family, which is no longer an option.

I recently called the NCDOR to make sure I was all caught up on my state tax payments.

The lady mentioned to me that I did not/they did not have a return from 2015, though they had one from the years before and after. She didn’t say I owed anything, just that they don’t have one.

In looking back, I'm not sure why I missed filing that year, but I did. I filed federal but not state.

My question is whether or not I should go back and file (and if so, how), or should I leave it alone? I’m not sure why they've never done anything about it all This time but don’t want to one day wake up to an empty bank account.

Off the top of my head, based on 50 years of scuffling with the IRS and the great state of California, and bureaucracies in general...

You're fine.

Whatever computer system they've created to keep track had not, up to the time of your call, "kicked out" a notice of "HEY!! Someone look at this!". That's why you never heard from the state.

Hopefully the person with whom you spoke did not press the "alert" button. If it was pressed, you'll soon get a letter asking for a resolution to that empty space.

But hopefully she had no easy way to raise trouble for you, and was too lazy to do the "hard work" of making work for either herself or someone else.

Five years is a long time, and ten years is eternity. Don't ask me how I know this, but both the Feds and CA completely close their books after 10 years.

So either download the paperwork for that missing state tax year and pay them, or sit on it for five more years.

They will not levy your bank account without first giving you warning, via a letter explaining what they consider to be the basis for the debt.

Thank you so much. It’s hard not having “grown up” family to ask. I just told her I wasn’t working then, and she said she’d notate the account. Hopefully that’s a good thing!

Hahahahaha!

The very last thing I would ever be called by anyone who knows me is "grown-up"!

(Disclaimer: I am not a lawyer, nor do I play one on TV.)

I'm not as sure as EOD that you're out of the woods here. According to

https://www.thebalance.com/how-long-to-keep-state-tax-records-3193344

"Also, there is usually no statute of limitations for failure to file a return. If you haven't filed one, the clock doesn't begin ticking."

I assume(?) that you completed one but didn't send it in. If you were due a refund, of course you should go back and file. If not, hope that the person with whom you spoke wasn't bright enough to flag your name.

But I agree with EOD that the authorities won't glom onto your bank account without giving you prior notice and a chance to pay up if you owe. (If they do give notice, expect interest charges and a possible penalty.)

If you can file on or off some Mormonism that would be great.

This will certainly vary from state to state, and individual circumstances, also. It might be wise to get your IRS return for that year, and see if your obligation to NC is significant.

During my young, irresponsible, and alcoholic days I worked grub jobs, and very irregularly. I ignored the IRS for years, and just threw out the letters. Finally, a very friendly IRS agent actually appeared at my door! I explained my situation and that I had no records to speak of. He gave me a few forms to fill out in which I declared my income to be below the reporting threshold.

I actually filled those out!

Hopefully, you'll have a similar situation. But if you had significant IRS taxes, NC might want to "harvest" yours for that year--plus penalties and interest. So for starters: check what kind of income you had.

That sounds like a very good IRS agent.

On all continents, maybe? It happened to me, in similarly alcoholic circumstances to Caffiend's, in the 90s when I was a freelance. The very nice Contrôleur des Impôts basically decided not to apply any penalties because he could see I clearly didn't have a clue what I was doing ;-). I still had to pay the back taxes, but no fines. A very nice man.

Tom in Paris

+Anonthistimegirl:
"Sorry to ask this here, but I’d usually ask my family, which is no longer an option."

==Why not?

~~~~iceman9090

I will answer that question in behalf of OP:

That's really none of your ****ing business.

:)

North Carolina has stiff penalties for both late filing and late payment.

https://www.ncdor.gov/taxes-forms/individual-income-tax/penalties-and-interest

But, North Carolina also has a voluntary disclosure program that may very likely apply to you:

https://www.ncdor.gov/contact-us/office-taxpayer-advocate/voluntary-disclosure-program

Good luck.

Thank you for the link. Does that mean my tax wo7dnt even be collectible since it only goes back 3 years.

That's some bad writing they did!

I get the sense that you're correct, that you can tell them, "Hey, I want to volunteer to file and pay for a year I skipped, but, oops!, since it was five years ago, I'm exempt!"

And it sorts reads that in one year you are home free from them going after you, ever!


"A requirement to file returns and pay tax will be limited to three years for taxes filed annually or thirty-six months for taxes that do not have an annual filing frequency. If the applicant has collected taxes from others, such as sales and use taxes or withholding taxes and not reported those taxes for periods beyond three years or thirty-six months, the requirement to file and pay will be extended to cover those periods. The requirement to file returns and pay taxes for taxpayers discovered through examination that are not registered or non-filers is six years for taxes filed annually or seventy-two months for taxes that do not have an annual filing frequency."


Maybe you should pray about? But if you pray to me, you should already know the answer.

It's not clear, but I don't think they are exempting you. You would still need to settle for 2015. But if you are accepted into the program, the cost would be limited to what you owe for 2015 plus accrued interest. If they owe you, you might not get a refund, but you'd be square.

Just an uninformed opinion, but it sounds from that page that they are really interested in the bigger fish. You, not so much, especially if you are square for every other year. So again, just opinion, but I don't think you'd have any trouble getting accepted into the program. In your shoes, I'd settle up so that it isn't hanging over you. You can indicate in your application that it was an oversight. But, your call.

I got behind in my Federal taxes for two years. They owed me a small refund for each year, so I wasn't overly concerned about it (I should have been, but I was younger and dumber then.) When I finally did file, I sent a "mea culpa" note along with the forms. I got one refund, but not the other since it was outside of the IRS refund window. I personally think it's better to deal with these things, but you might be able to fly below their radar.



Edited 1 time(s). Last edit at 07/05/2020 03:39PM by summer.

As mentioned, no statute of limitations on not filing a return. At least on federal, there is a 3 year limitation on getting a refund (or was last time I looked. Not sure if 2017 law changed that)

Look at your 2014 and 2016 returns if available. If you got a small refund (typical for many taxpayers) then you were probably due a small refund in 2015. You can check with NCDOR to see if you can still file and get that.

If you owed a small amount in those other two years, say under $200, I'd just not worry about it. NC won't. It would cost them more to bug you about it than they would collect.

In the unlikely event you think you owe a sizable amount, then yes, look into their voluntary disclosure program. Prior year tax forms will be available on their website. Utah currently posts forms back to 2004.



Edited 1 time(s). Last edit at 07/05/2020 03:52PM by Brother Of Jerry.

The OP is, for all practical purposes, home free based on a good faith reading of the published rules:

"A requirement to file returns and pay tax will be limited to three years for taxes filed annually or thirty-six months for taxes that do not have an annual filing frequency."

Then it states the terms of being home free:

"The requirement to file returns and pay taxes for taxpayers discovered through examination that are not registered or non-filers is six years for taxes filed annually or seventy-two months for taxes that do not have an annual filing frequency."


One more year... C'mon, live dangerously!!!

COVID-19 will probably increase the odds that the tax authorities will overlook things quite significantly. Now if we could only get a government shutdown. . .

Anarchists of the world, unite. You have nothing to lose but your bunkers in the upper Midwest!

I couldn’t figure out if they are saying that’s a time limit or if you have to just file the missed year and the last three years. Very confusing, but I appreciate all the help!

I took it as being the missed year and the prior years to total three years. But it was not terribly clear, IMO.

I would go with the six years cited above to be free and clear (assuming they don't go after you, which IMO is a reasonable, but not sure bet.) Since you would have filed 2015 taxes in the spring of 2016, that would put you in spring of 2022.



Edited 1 time(s). Last edit at 07/06/2020 11:38AM by summer.

Since this is a state return it depends on what state you were in.

Don't answer here but how much money did you make that year?

Do you have a state tax liability for that year?

Then I would look for an Enrolled Agent (someone who is licenced to appear before the IRS, I know it's a state tax issue) the internet will do, more knowledgeable than a run of the mill tax preparer cheaper than a CPA or tax lawyer, and ask them.