taxes

Question: What happens to a person that owes big income tax (10,000) has not filed in years, is only on welfare, and cannot pay the taxes he owes, if they find that person, will they go to jail, will they take their welfare check, when he has nothing else to live on or no other income coming in.

Answer: No, you don’t go to jail because you owe money on taxes.  You have two options.

First, you could do nothing.  Up to this point it appears that the government has not noticed that you have not filed your taxes, so you could just ignore it.  Ignoring problems is generally not a good idea, and is obviously very stressful.

Your second option is to file your un-filed taxes.  If you are on welfare it is unlikely that you owe money for the years you were on welfare.  In fact, it is possible that you may have small refunds in those years.  Those refunds may offset the money you owe from prior years.  Once you know how much is owing, you can then either attempt to make payment arrangements with the government, or consider personal bankruptcy to eliminate the tax debt.

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