You missed the tax filing deadline. Your return is incomplete, not even started, or you have a return that you cannot send in because it is inaccurate. What should you do?

In this article, I will discuss the consequences of starting or continuing a pattern of non-filing and the steps you can take to minimize adverse consequences.

The tax authorities have greately increased their ability to obtain, compare and sort information about potential sources of revenue. Non-filers are a tremendous source of potential revenue for the tax authorities and many high-earners will be able to pay the full tax, penalties, and interest imposed, over time. Many states are cracking down on local tax non-filers; in this regard, Hawaii has recently changed its tax laws to increase its ability to identify non-filing vacation rental owners.

Non-tax consequences of not filing timely and accurate tax returns are greater than ever and for many people should be motivation enough to get into filing compliance.