If you have found out that you have missed out on some tax credits that were available to you in previous years, it can be depressing. When you think that you can’t get that money that you could have from the IRS, it’s a frustrating thought. However, you should know that you can still take advantage of those tax credits that you missed on previously. Mark Dicus & Company is here to talk about how to still take advantage of the tax credits that you thought you missed out on in previous years, now.
Can I Claim a Tax Credit from 3 or 5 Years Ago?
When it comes to tax credits that you rightfully deserved and didn’t take advantage of, you can go back three years to claim them. Usually, the tax deadline is April 15th for most states, so if you had any tax credits that you left on the table within three years of the tax deadline, you can still take advantage of them by doing a couple of different things:
– File Late: If you are filing your taxes for the first time, you will simply be filing them late. There will be no penalties for tax returns that don’t owe any money. If you were set to get a return from the IRS, you don’t have to worry about paying any late fees that have accrued.
– Amendment: If you have already filed for that year but you realized that you need to take advantage of some tax credits, you can simply file an amendment with the IRS to get that money that is rightfully yours.
Benefits of Filing Late / Amending a Tax Return
You may be wondering why in the world you should mess with this. Obviously, if the IRS is going to give you money back from tax credits that you missed out on; no one wants to leave money on the table. However, these tax credits can also help you lower the amount of money and interest that you owe to the IRS currently. For most people, every little bit will be helpful. You can also avoid any tax liens that you might be dealing with and keep your credit in good standing for future borrowing.
When You Can Expect to Get Your Tax Return
When you are filing your taxes late, but you are filing for the first time, you can expect to get your return back within 21 days of filing. However, if you are filing an amendment to a tax return that is already done and processed, it will be an it longer. For those people, they can expect to get their amended return back within six weeks of filing it. You can save time by filing electronically, then it should only take about 2 weeks.