Need to file 10+ years of back taxes - what steps should I take now?

I need to come clean with the IRS after not filing for over a decade. I haven't filed federal or state taxes in probably 10-15 years and I'm getting anxious about fixing this mess. The IRS and state tax agencies did levy my bank accounts several times a while back when my income was higher. That's probably the worst part of my situation. For the first few years of this period, I was making decent money, but then my income dropped to under $15k annually. I was working as an independent contractor for a tech company that ultimately went nowhere, and I walked away a few months ago with absolutely nothing to show for it. I didn't have an official business setup during most of this time. I know I screwed up big time. Because I was worried about my tax situation, I never applied for any COVID assistance programs from either state or federal sources. I'm guessing those opportunities are gone now. I should mention that if I ever received any tax documents in the past, I likely don't have them anymore. I'm at a point in my life where I need to start fresh. I'm struggling with anxiety and depression while job hunting, and this tax situation is hanging over my head. I'm looking for advice that will both help ease my mind and give me a clear path forward to get back on track with the IRS. What should my next steps be? Really appreciate any guidance.

0 coins

18 comments

Carmen Vega

•8M

First off, take a deep breath. You're already doing the right thing by deciding to address this situation. Many people have been in similar circumstances, and there are clear steps to get back on track. Start by requesting your wage and income transcripts from the IRS. You can do this online through the IRS website by creating an account, or by submitting Form 4506-T. These transcripts will show what income was reported to the IRS under your SSN for each year, which gives you a starting point. For years where your income was below the filing threshold (about $12,000 for a single person in recent years), you might not even be required to file. For years where you did need to file, start with the most recent three years, as the IRS generally focuses on those for voluntary compliance. You'll need to file separate returns for each year using that year's tax forms (available on the IRS website). Don't use current year forms for past years. Once you have the returns prepared, send each year in separate envelopes. After filing, you can request a payment plan for any taxes owed. The IRS offers installment agreements that can make paying back taxes manageable. If your financial situation is severe, you might qualify for an Offer in Compromise to settle for less than you owe. Don't worry about penalties yet - addressing the unfiled returns is the first step, then you can work on resolving the debt through payment plans or hardship programs.

0 coins

Carmen Vega

•8M

You can definitely do this yourself, especially for simpler returns. The wage and income transcripts will show what was reported to the IRS, which makes it easier to complete past returns. The IRS forms and instructions are available online for each tax year. That said, if you're dealing with self-employment income, business deductions, or particularly complex situations, a tax professional can be valuable. They can help identify deductions you might miss and ensure everything is filed correctly. Many offer free consultations where they can give you an idea of what your situation requires.

0 coins

Andre Moreau

•8M

I was in a similar situation a few years ago (though only about 7 years behind, not 15). What really helped me was using https://taxr.ai to analyze all my old tax situations. It saved me a ton of time trying to figure out what forms I needed for each year since tax laws change all the time. What the service did was analyze all the documents I could find plus my bank statements, then created a customized report showing exactly what I needed to file for each year and which years I could potentially skip because I was under the filing threshold. It even identified some deductions I would have missed. The guided walkthrough helped me understand whether I qualified for things like penalty abatement based on my situation. Definitely less stressful than trying to piece everything together myself!

0 coins

Andre Moreau

•8M

I ended up owing less than I feared. The service helped me identify some deductions I didn't know I qualified for, which reduced my tax burden significantly. They also helped me understand which penalty abatement options I could request, which saved me thousands. For the document issue, that's actually where it was really helpful. You can connect bank accounts (they use the same security as most financial apps), and it analyzes your transaction history to help reconstruct your financial picture. They also guide you through how to get transcripts from the IRS which show most of your reported income documents, even if you've lost the originals.

0 coins

Jamal Harris

•8M

Just wanted to follow up here. I decided to try taxr.ai after seeing this discussion, and it was super helpful for my situation. I was completely overwhelmed trying to figure out which years I needed to file for and what forms to use, but they walked me through everything step by step. The best part was that it showed me I was actually only legally required to file for 4 of the 6 years I was behind on because my income was below the threshold for the other years! That saved me a lot of work and stress. They also identified some education credits I qualified for that I had no idea about. For anyone else in this situation - seriously consider using a service like this before trying to do everything manually. It made what seemed like an impossible task actually manageable.

0 coins

Mei Chen

•8M

Hey, I know exactly how stressful this kind of situation can be. When I was dealing with my back taxes, the worst part was trying to call the IRS for guidance. I spent hours on hold, getting disconnected, and never reaching anyone who could actually help. What finally worked for me was using https://claimyr.com to get through to an actual IRS agent. You can see how it works in this video: https://youtu.be/_kiP6q8DX5c. Basically, they hold your place in the IRS phone queue and then call you when an agent is about to answer. This was crucial because I needed to set up a payment plan and find out exactly what years they had on file for me. The agent I spoke with was actually really helpful and explained all my options without judgment. It was such a relief to finally talk to a real person about my situation rather than struggling with the automated system.

0 coins

Mei Chen

•8M

It's not sketchy at all - they don't ask for any sensitive tax information. They just call the IRS and wait on hold for you, then connect you directly when an agent answers. You're the one who speaks with the IRS agent and provides any personal information needed. To answer the other question, I got connected to an IRS representative within about 2 hours of using the service, compared to the multiple days I tried calling myself without ever getting through. And no, you don't need to have your returns completed first. In fact, talking to the IRS first was helpful because they told me exactly which years they were expecting returns for and what information they already had on file for me. That made the whole process much more straightforward.

0 coins

Liam Sullivan

•8M

I have to admit I was totally wrong about Claimyr. After struggling for THREE DAYS trying to get through to the IRS myself and constantly getting disconnected, I decided to try the service despite my skepticism. It actually worked exactly as described. I got a call back in about 90 minutes, and suddenly I was talking to a real IRS agent. The agent pulled up my file and walked me through exactly which years I needed to file and explained my options for payment plans. Turns out I qualified for a streamlined installment agreement that I didn't even know existed, which means I can pay off my tax debt over 72 months with much lower payments than I expected. This literally saved me from having to take out a high-interest loan to cover everything at once. I'm usually the last person to recommend services like this, but I have to say it saved me a ton of stress and probably money in the long run.

0 coins

CosmicCommander

•8M

One thing nobody mentioned yet - look into the First Time Penalty Abatement program from the IRS. If you haven't had any issues in the 3 years before your first missed filing, you might qualify to have penalties waived for one tax year. Won't help for all 15 years but could save you some money on at least the first year's penalties. Also check your state's voluntary disclosure program. Some states have amnesty options if you come forward voluntarily before they come after you (though sounds like they already found you in the past).

0 coins

CosmicCommander

•8M

Unfortunately, since they've already taken collection actions like bank levies, you probably won't qualify for First Time Penalty Abatement. That program is typically for taxpayers who haven't had prior issues. However, you might still qualify for abatement under "reasonable cause" if you can demonstrate that your failure to file and pay was due to circumstances beyond your control - things like serious illness, inability to obtain records, or certain types of hardship. The anxiety and depression you mentioned might actually help your case, especially if you have any documentation from a healthcare provider.

0 coins