Unfiled Returns

[Christian]

A client remarried in 2022. He and his new spouse filed mfs in 2023 as she wanted to file her own return for 2022. He called a day or two ago and will be bringing her info for 2019, 2020, and 2021 years for which she did not file a return. Apparently she had no filing requirement in 2018 and apparently thought she did not need to file going forward. My fist thought was "Good grief the penalties she is going to incur" so I have been reviewing any exception which may help her but don't seem to find one. As few of my clients ever incur a penalty I am submitting this post in an effort to avoid missing a possible exception I might have missed as I am sure she will have a no file penalty along with  whatever follows.

 

 

[jklcpa]

First time penalty abatement will be available to her if she was in compliance with earlier years.

https://www.irs.gov/payments/penalty-relief-due-to-first-time-abate-or-other-administrative-waiver#adminwaiver

[kathyc2]

Unless those years have a balance due, there won't be penalties.