Not filing your taxes is a bit like driving 20 mph over the speed limit. You might get away with it for some time, but the longer you do it, the more likely it will end with severe consequences.

There are no triggers, alarms, or flags that will go off when you fail to file your return, but that doesn’t mean someone didn’t notice it. Failure to file can be a very serious deal and lead to a wide variety of financial and legal issues. 

These are some of the possible consequences for not filing your tax return:

• The IRS can create levies against you. Although it won’t happen immediately, the IRS can impose levies against you and your assets. The most common example of a levy is wage garnishment. The IRS will take a percentage of your paycheck until the tax liability is paid or agreed upon a tax relief settlement. In severe cases, the IRS can even seize your physical property and assets. They will sell them off, and any of the money made will be applied to your tax liability. 
• You can forfeit previous returns. It’s possible that you overpaid your taxes in earlier years and would be entitled to a refund had you filed. However, if a return is older than three years, then the refund is forfeited. Not only will you not receive your refund in any form, but it also won’t count toward any of your current tax obligations. 
• The IRS can file your return for you. Also known as Substitute for Returns, the IRS is within their legal rights to file your tax return for you if you have failed to do so. While that might sound like a favor, it’s not something that will be beneficial to you in any way.
  When the IRS files your taxes, they will not include any deductions, exemptions, or applicable credits to your return, so you will be taxed at a higher rate than normal. They will also include various penalty fees and charge interest for being late. The result of all these factors will mean you are paying a lot more in taxes than you would by filing yourself.
• You could go to jail. It’s unlikely that you will face time in prison for failing to file, but it’s possible. The world-famous actor Wesley Snipes served a three-year prison sentence for tax evasion, which showed that no one is beyond the reach of the IRS. Every year that you fail to file your taxes is another year that you could serve in prison. Tax evasion charges are only applicable for up to six years from your most recent missed filing date, so sentences are typically five years or less.