Didn’t file taxes last year

[littlelavinia]

Last year I got a 1099 form. I was 18 At the time I had no idea what they were. And I didn’t even know that I had to pay taxes back then. So I threw it out. I still have the form on my account thankfully but this year After learning that I may have to pay when I get a 1099 form I used turbo tax to calculate how much I owe. Turns out I owe around 250$ in April. I’m terrified. Will I go to jail because I didn’t file and pay my taxes last year?!?

 

[AlexEmpire]

You wont go to jail, the IRS just wants their money. You can always file for the taxes you should have filed last year with this years taxes and pay a fine for not doing it last year. A CPA like TaxxxGuy.com or TaxDomme.com can help you so you can get it fixed!

You always have to pay your taxes, even if you get paid in cash and never receive any documentation for it. Keep track of all the money you make through the year, and all the expenses you incur like toys, lingerie, and travel.

 

[Nikola Tesla]

The IRS has a payment plan.
I am not an accountant but I think that as a self-employed contractor you can pay quarterly taxes.

 

[Starman]

Yes, if you are self-employed, you have to pay quarterly taxes. This takes the place of your employer taking taxes out of your paycheck. Rule of thumb is to put 1/4 of every check/payment you get into a saving account, and use it to make the payments.

The get the most out of the system, you should use Schedule C, which allows you to itemize. In other words, you can subtract all your work-related expenses from your income, which lowers the amount of tax you have to pay. You do not have to list what those expenses are on your tax forms, just what general category they fall under: office expense, travel expense, etc. Save your reciepts! If you work out of your home/apartment, you can deduct a percentage of your mortgage or rent, and utilities for "home office."

IRS has booklets and brochures on this in pdf form on its website. You could go to a tax professional, too. They would charge you for doing your taxes, but you can be sure it has been done correctly, and that you're paying the minimum possible.

 

[Carmita Bonita]

The payment plans are really easy to set up online @ https://www.irs.gov/payments

if it takes longer to pay-the IRS is more than fine with setting up a payment plan with you and you paying what you can afford over time.

 

[SaffronBurke]

Definitely make a payment plan. At my office job, it wasn't unusual to see people who were still making payments toward 2012's taxes in 2017. The IRS doesn't seem to be too picky about how long it takes people to pay, but don't stretch it out any longer than you need to.

 

[Deleted member 37064]

If you work out of your home/apartment, you can deduct a percentage of your mortgage or rent, and utilities for "home office."

I would be very careful with this. They technically want you to have a dedicated space solely for work purposes. At which point, you can then claim a percentage of rent/mortgage, utilities, etc. some people will gamble and never get caught. I seem to be the one who even thinks it, and I'm paying through the nose...

IRS has booklets and brochures on this in pdf form on its website. You could go to a tax professional, too. They would charge you for doing your taxes, but you can be sure it has been done correctly, and that you're paying the minimum possible.

A tax pro may, or may not, be better than doing it yourself with TurboTax, tax act, etc. I used to go to one, and thought was doing okay. When I switched to TurboTax, I realized I was missing a whole lot of deductions I know nothing about and he never told me about.


As to payments to the IRS, of course they're not going to complain if you set up a payment plan for back taxes. They're collecting interest and fees. Funny they don't pay us that for banking our money over the course of a year. if you're self-employed, then setup electronic payment such as others have suggested. Very simple and easy to do. Depending on the amount you make, you'll pay either quarterly or annually. Also, you'll want to inquire with your state on how to do it as well.


For the past due taxes, you file on the form for the year you didn't pay. This way, they have record of what you did for that year. If you have questions, you can call them for the best advice.


https://www.irs.gov/businesses/small-businesses-self-employed/filing-past-due-tax-returns

If you want to do it via TurboTax:
https://turbotax.intuit.com/personal-taxes/past-years-products

 

[MadJohnson]

Last year I got a 1099 form. I was 18 At the time I had no idea what they were. And I didn’t even know that I had to pay taxes back then. So I threw it out. I still have the form on my account thankfully but this year After learning that I may have to pay when I get a 1099 form I used turbo tax to calculate how much I owe. Turns out I owe around 250$ in April. I’m terrified. Will I go to jail because I didn’t file and pay my taxes last year?!?

Kudos to you for stepping up, admitting your mistake, and taking action to solve the problem!

<OLD GUY RANT>
The lack of basic personal finance and civics education in this country is astounding. I can't believe we let young people finish high school and enter the world of adulthood without ensuring that they understand even something so basic as filing and paying taxes.

This isn't a criticism of the OP. In fact, of the young adults I have encountered over the years, she's better informed and more motivated that most on this topic. No, this is a criticism of our society and it's educational failings.
</OLD GUY RANT>

 

[Nikola Tesla]

they understand even something so basic as filing and paying taxes.

I would also say how to write checks and balance a checkbook.
But who writes checks anymore?

 

[SaffronBurke]

I would also say how to write checks and balance a checkbook.
But who writes checks anymore?

I wrote a check for the deposit and first month's rent at my apartment, but after that, I signed up for the online payment system. Some apartment complexes still require a personal check or money order for rent, but more are moving toward allowing online payments.

 

[Deleted member 37064]

I wrote a check for the deposit and first month's rent at my apartment, but after that, I signed up for the online payment system. Some apartment complexes still require a personal check or money order for rent, but more are moving toward allowing online payments.

Last time I personally wrote a check was for my auto insurance. I refuse to let them draft it from my bank account. Otherwise, I do bill pay through my bank. When they can't do a money transfer, they cut a check.

 

[Nikola Tesla]

I wrote a check for the deposit and first month's rent at my apartment, but after that, I signed up for the online payment system. Some apartment complexes still require a personal check or money order for rent, but more are moving toward allowing online payments.

My apartment complex requires automatic pay thru the bank. There are over 1200 apartments in this complex. Imagine all the money in that office if everyone paid in cash!

 

[dilligaf0]

I still write checks (or some money orders) for bills.
I will never again use an autopay setup. Every time I've used them in the past, I had money stolen from me.
Nope.

 

[Yarrow]

I write checks about once or twice a week! To my landlord, my trainer, and to myself to deposit money into online savings accounts to avoid a transfer fee.

Lavina, it's great you realized your mistake this year and at a young age. A lot of folks put it off or stay woefully ignorant for a few years and face way bigger fines or worse yet, have their wages garnished. Don't feel too bad - now you know to be on top of it and can pay off your fine within little time. I second getting a tax guy who if familiar with camming and the adult industry. I personally use TaxxxGuy.com and he and his partner have been great and you can always call or email to ask them questions.

 

[Jesse0328]

Consult a tax professional and get the unfiled tax return addressed, but I wouldn't lose sleep over it. The worst case scenario at this point is you will possibly have a tax liability from 2016, and maybe a little extra due in penalties and interest - not a big deal. The IRS doesn't really garnish wages, or levy bank accounts, unless you are a major offender, or ignore their multiple letters.

 

[Artemis]

This thread was super informal for meeeeee. My first tax season to pay for taxes. Taxes sound scary (so does the IRS) but after reading this, they seem reasonable.

 

[AlexaCrush]

I just want to piggyback on this a bit and say if someone is considering not paying taxes because they don't think they'll get caught...well, just don't do it. A model on MFC recently found out she owes the Canadian government like 80k+ because she didn't pay taxes for the last three years soooo...yeah. It's better to pay up as you go instead of trying to get out of it and letting it build up and get fines on top of everything.

 

[Deleted member 43650]

You will not go to jail. To be completely honest, most times, the IRS will miss smaller stuff and you will 'luck out'... but in NO WAY am I condoning avoiding taxes - it is never a good idea. If they catch on to the fact that you did not file, they will contact you, informing you that you owe. It is then your job to prove to them what you really owe, as they will most likely provide an inflated estimate. You can explain that you are 18 and new to this, and request a payment plan to cover the taxes due. They simply want their money - they aren't too crazy about expending resources to track you down and imprison you...but they can and will if you repeatedly avoid the IRS if and when they have contacted you multiple times without response on your part. Before jail, they would audit you though. Trust me, you DO NOT want to be audited.

Just contact them and let them know you screwed up and want to pay the due taxes. They'll be happy to take the money and leave you be.

My best friend is a CPA and does all of my accounting for me. The aforementioned isn't my guess of what happens, but what he (and other accountants) have told me.

 

[Starman]

You will not go to jail. To be completely honest, most times, the IRS will miss smaller stuff and you will 'luck out'... but in NO WAY am I condoning avoiding taxes - it is never a good idea. If they catch on to the fact that you did not file, they will contact you, informing you that you owe.

Do cam models get 1099's for miscellaneous income? 1099s are the forms freelancers get at the end of the year - like W2 forms for full-time employees. I assume you do. In which case, the IRS gets a copy of it also, straight from the company. So, if you don't report it on your taxes, they KNOW, and you run the risk of them calling you on it. Then a few weeks later, your state finds out about it, and they get on your case. So, like TMJ says, it's not a good idea to avoid taxes.

You can call IRS info lines and talk it over with them - without giving your name. They are always helpful. NOTE: if you call the IRS info line, take notes and get the agent's name and ID #.