It is again that time of the year. As IRS employees, we are required to timely file our taxes every year. After all, since we collect taxes, we should be required to file and pay our personal federal and state taxes timely. We do this to protect our job, but this also protects the integrity of the Internal Revenue Service. Even if you expect a refund, you should still file timely.
How can you prove you filed a timely return? Most people now file an electronic return using a tax site. After filing your return, print the return and the confirmation number that says the return was sent. Two or three days later, the IRS website should tell you that your return was received. Print the screen saying that IRS received the return, and save it for your records. As long as you have proof of filing, you should not have a tax compliance issue later.
An exam audit or an under-reporter’s audit could happen one or two years after the filing of the original return. If this happens, don’t think that this is only your business and that your manager does not need to know about it. Report it to your manager as soon as you get a letter about an additional assessment because if you receive notification of an additional assessment, you can bet that management has already been notified or will soon be notified. Do not hesitate to let management aware of the letter or notification you received. It is better to notify management of the potential additional liability, than have management find out without you letting them know. The difference between the two can often lead to a mere admonishment versus your removal from service.
This is a serious violation. Many employees are disciplined up to termination for tax return issues every year, so be sure to file and tell management if you have any filing or payment issues. if you are under a payment plan agreement, this is not considered compliant according to our responsibilities to file and pay timely. It is, however, managements responsibility to prove that you willfully intended to make the mistake on your return.