Have a Tax Question? Ask a Tax Expert
Hello and thanks for trusting me to help you today. I am a tax adviser with over 15 years of experience.Please accept my condolences.
If your husband never filed a tax return but the payroll taxes were paid and he had wage withholding to cover his income then it may not be as bad.
Did you file tax returns on your own.
Then you would just need to file the prior years for him
Did he have an accountant?
okay what info will I need? He always said he would handle it but never did that we can find
No he didnt. He lied about that
You would need to get copies of the payroll records that shows he deposited withholding. If he did then he must have generated W2s for himself. The books of the company too are needed. If this was an LLC with one member (him) then unless he requested to be an S corp this is simple Schedule C filing.
I hate to say it but you most likely want to retain a tax professional to assist you
They woudl be able to take all the info and complete the returns
If he did not file to be an S corp then he did not pay into the tax for employment because Sole Proprietors (Schedule C filers) do not have payroll on themselves. He may have been paying into it for family that worked there. Did they receive W2s?
Are you still with me here?
The systems says you are still IN CHAT.
I will be here.
Just post your responses when you are ready
sorry I had a phone call. There were W2s and he got one also
That means that tax was paid to cover income
This also most likely means the LLC was an S corp
ok so what forms should I file?
You have to make sure the S corp filed each year (1120S form)
It may be that you are only lacking his personal return to file
This means with teh W2s you could file for him teh missing years
Get all the business records
Make sure the filings were completed though
If they were not then it is a good guess the IRS would have already contacted him
The Form 2553 would have been used to request S corp status so look for that copy
ok it was a recycling business so there was income made when metals were recycled. There wasnt any accounts really We bought drums to contain the metals but it wasnt a cash and carry sort of business
Do you think he completed the payroll forms and the W2s himself (would he have ahd the experience to complete those)
No there was a payroll company
Then start with them and request any copies they have
Someone would have needed to complete the 1120 form for the S corp
The professional that assisted in registering the LLC too
ok He only had the business a couple of years. Can my family and I keep the business going since only his name was on it or should we start our own?
You may want to close his and start under your own name.
This is going to be dependent on inheritance law in yoru state.
I cannot advise if you inherit automatically as that is outside tax
If you are acting as executrix then yes you can continue operation untill eatste is complete
ok He owned the building where everything was sorted and I assume that it will go to me once probate and all is done but I dont want to lose anything either. Should I contact the IRS or just file and see what they come back with
If you know for sure he did not file then go ahead and file his past returns using the W2s you have
As his surving spuose you are allowed to do that
ok thank you for your help
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Best wishes for you and your family