Penalties and interest are part of your âback taxes.â However, if you filed on time but did not pay in full, you will be subject only to the failure to pay penalty. Interest is charged on taxes not paid by the due date, even if you have an extension of time to file.Interest is also charged on penalties.he transcript will also identify years for which the IRS did not receive a filed tax return. Get information from IRS Publications and Forms. The IRS Publications have a great deal of information that you can use to resolve your âback taxâ issues.
Seven Years. Keep any tax return and documentation that includes a claim for deducting worthless securities for seven years. There you have it. Check back in a few days and I'll share a few more tips on what to keep indefinitely and how to keep your records organized and safe.
Keep for seven years If you fail to report more than 25 percent of your gross income on your tax returns, the government has six years to collect the tax or start legal proceedings. So when it comes to determining how long to keep tax recordsâelectronic and paperâ we recommend seven years, just in case. Keep forever Essential records such as birth and death certificates, marriage licenses, divorce decrees, Social Security cards, and military discharge papers