Taxes Question

[sisterfunkhaus]

I am planning on filiing BR in about a year (we are virtually "judgement proof" so I am waiting as long as possible to file.) But, I have a question. I am self-employed. We reported my income as zero for last year even though it wasn't. I KNOW that was a horrible thing to do. I was overwhelmed and had no clue how to do my taxes since I was self-employed for the first time ever. It just seemed like the easiest thing to do. I would like to go back and file taxes and report my income for last year and I WILL be filing taxes for this year. Can they/will they send me to jail for this if I come forward willingly? We aren't talking about thousands of dollars here. My income was pretty small. Does anyone know how I go about filing taxes on income we lied about? I want to make this right before we file bankruptcy. We are trying to get our financial life in order.

[Minnymouth]

You can file an amended tax report to add on information or change information that you filed last year.....

If you have to give an explaination, just make it something simple like - "forgot to include" - etc....

But also remember when you file self - employed you are supposed to file estimated taxes on your income, as those taxes will be part of your total income for your husband and you together if you file jointly. By not paying estimated taxes your income tax debt will be higher..... for non payment of the estimated taxes.....

Hope this helps......

Lots of people ammend their taxes each year where they have left something off..... no biggy - just correct and send back.....

Don't worry too much.......... but yes get it straightened out now before filing bankruptcy..... Its not a issue you want coming up during bankruptcy.....
Keep good records.....

[sisterfunkhaus]

Thank you!! We are trying so hard to get it together. I am bipolar and am JUST getting treatment for the first time ever, so that is helping with the impulsive spending A LOT. But, we have other things we need to get in order. I feel like and awful person. We have done so many things carelessly. I am ready to live within our means and get it together. I appreciate the help and non-judgemental attitudes here.

[Minnymouth]

Believe me, no - one here on this forum is "without fault" in dealing the wrong way with their financial problems..... some of us just figured we could get them straightened out afterwards (yeah, sure) and some just stuck our heads in the sand hoping it would all change (like that would just happen)....

So no-one here is "judgemental....... or critical of anothers situtation"......

Everyone MAKES MISTAKES - not anyone is perfect is all they try to do in life....

We just take the blows - try to straighten the problems out....... and get on with living out lives best we can.

Well, to the family.............. we're here to help....