Deliquent taxes - Explanation letter - Need review

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cbarus

Registered Users (C)
I have had deliquent taxes with IRS. I filed all the returns and made a payment plan with IRS. Want to write the following letter explaning the delay. Please let me know if you have any suggestions on how to make it better. What I wrote below is exactly what happened.

Thanks for your time.


Dear Sir/Madam-

RE: Explanation on delinquent taxes

I have been in United States since 1998 and never failed to file my taxes on time until 2007. During 2007-2008 timeframe, I indiscriminately loaned money both personally and also professionally. Most of these loans went bad and I landed myself in a big cash crunch. During that time, I made one of biggest mistakes of postponing filing my taxes. The snow balled and I did not file them for three consecutive years. In hind sight, I should have never done that and filed them and worked with IRS to make payment plans. That would have saved me a lot of penalties, interest and more so a lot of ethical, moral and legal grief of being non compliant with the law of the land.

I finally sought help, filed all my returns, made a third of the owed amount down and got into a payment plan with both the agencies. Find enclosed the installment agreement, statements showing that I have been making payments on time since the past 14 months and that I have been in full compliance.

Since then I filed my 2011 and 2012 taxes. I assure you that I realize and regret my mistake. I have paid my dues and will never even think of failing to file my taxes on time, ever.

So I kindly request you to pardon my poor judgment and adjudicate my case favorably.

Thanks
 
You don't need a letter like that. Too much information. Simply admit on the N-400 that you still owe back taxes, and show the proof that you have a payment plan and have been making payments on it.
 
Actually I am not even sure if you need to disclose this information. Unless you are charged with a tax crime, then the issue
is civic.

One question on N-400 ask you fi you ever failed to file tax return. Since you di dfile later, you can still answer No.
Please note the question did not ask if you ever failed to file tax in time.

Another question is do you owe any taxes that are overdue? Since you are paying on time according to the arrangement,
then it is not overdue any more
 
WBH said:
Another question is do you owe any taxes that are overdue? Since you are paying on time according to the arrangement,
then it is not overdue any more
Click to expand...

That is incorrect. The remaining taxes are still owed and beyond their original due date. The OP should admit to owing the overdue taxes, and provide proof of the payment plan.
 
Thanks Jackolantern. Yes, I want to answer the question as yes and provide the payment plan agreement and the statements showing that the payments have been made on time since the past 14 months.

I read on a couple of immigration attorneys' websites that a letter explaning the delinquency needs to be furnished too. Hence I thought of attaching a letter. But after reading your post, I too feel that there is too much information in the letter. Should I trim it down and write as below or you still feel this is not needed either:


Dear Sir/Madam-

RE: Delinquent taxes

There was a delinquency in filing my 2008-2010 taxes. They have all been filed now and a payment plan is being set up with IRS to pay the delinquent taxes. Please find enclosed a copy of the payment plan agreement, statements showing prompt and regular payments and transcripts of my tax returns for the past five years.
 
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