I worked a straight job in 2006, I went back to school that fall took out a student loan and cashed out my 401k which was like $1,000.00. In 2007 I didn't file my taxes. What should I do?![]()
I worked a straight job in 2006, I went back to school that fall took out a student loan and cashed out my 401k which was like $1,000.00. In 2007 I didn't file my taxes. What should I do?![]()





Just file. You are only a year late. You'll have late fee's and some interest, but it's worth it not to be looking over your shoulder and scared. The IRS will also let you set up montly payments ( with interest of course ... nothing is free there ! ) . I'd recommend getting a tax pro to help you with this. They are worth every penny if you are confused and need some additional help or you just plain hate paperwork like me.
Just to clarify: You filed 06? You only need to file 07 ?
You'll really be fine. Not a huge deal if you get it taken care of soon.
I need to file '06, not '07.





You filed last time ( meaning your 07 year of income, filing date April 15 2008 ) and skipped your 2006 year of income ( when you should have filed on 4/15/07 )? You'll still be fine. Your interest/penalties will be a little higher. Call a tax pro , get it done, set up payments, and put it behind you.
Most of all, don't stress out - it's not a big deal as far as the IRS is concerned. You will have to pay some interest and penalties, but they're much smaller if you set up a payment schedule as soon as you can.
As carmen alluded to, you'll save time and skip some anxiety if you get help from a CPA, tax preparer, or a freebie clinic. (A google search turned up 411,000 hits, so you should be able to find free services where you live, or get help from the IRS itself.)
Just file, better now than later....if you owe, it will just become bigger, and if you wait for THEM to contact you it will only be worse. BF just barely filed 06' and they owed him..
you may not owe, and if so, there will be no penalties...have you received a letter from IRS about not filing? if not, they probably believe you don't owe, so file and get it done; did you receive your stimulus check in 2008?



You should file. You may or may not owe taxes depending on what you had withheld and several other factors. If you can get a hold of your W-2's, 1099's and all the relevant information it should be pretty easy to figure out. You could even have a tax preparer compute your return and then decide if you want to file.
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