Tax underfiling

[Jammin 0]

Another tax question. We've filed taxes every year since we got married. I recently called the IRS to verify some information, and was told that for two of the past 3 years, we are recorded as underreporting. For 2008 there is a $3200 penalty and for last year no monetary penalty. I'm trying to get this straightened out now (I've always had a simple W2, but hubs owns a business), but was wondering if it might impact our forthcoming N400 application.

So my question is: Does USCIS just check to ensure that you filed period or will these underreporting issues potentially impact our application if we can't get them solved in time?

Edited January 17, 2011 by Jammin

[Kathryn41 3,205]

I know that at my interview the interviewer had not had the opportunity to review my file before the interview and viewed it in my presence. She basically went through a check list and checked off each document as she came to it. With the tax transcripts she basically checked that they were there for each year (and gave me back one for the earliest year since I had included 4) but I highly doubt she would have had time to read anything on the return except for the year, the4 names and married, filing jointly. She did not go through the pages of the transcripts except to make sure they were complete. So, I suspect that if you have the transcripts you should be fine. The rest of the situation is between you and the IRS.

Good luck.

[Jammin 0]

Thank you very much Kathryn. You just took a big weight off my shoulders.

[Szilvia74 3]

Will this show up in the tax transcripts?

If it does, I don't know what I would do. The truth is you can answer NO to the questions about taxes on the application - so that is fine. You can either just say nothing and see if s/he brings it up or play it safe and mention it. USCIS is pretty strict/picky about taxes...(per personal experience).

[Kathryn41 3,205]

One thing you can do (for added reassurance) is if you don't have the situation resolved by the time of the interview take along copies of any correspondence or arrangements you have made with the IRS to show that you are in correspondence with them and addressing the situation. You may not even need to present it, but you will have it with you if you do. If you do get the situation all worked out, you can request and receive amended tax statements and at the interview ask to submit those in place of the others, explaining that you had some arrangements regarding your taxes that you were working out with the IRS but they weren't finalized when you filed, but they are now and these are the amended returns.

You can also bring along your W2s (and copies) and explain that the tax situation involves the IRS and your husband's business end of the arrangement.

Edited January 18, 2011 by Kathryn41

[bonnerbonner 6]

I don't understand. When someone files their taxes, they are due a refund or they owe taxes. Did you not wonder why you did not get your refund or pay the money you owed Uncle Sam?

Oops! This response is for someone else. Sorry.