Written by Scott Allen

What is an SFR return and the purpose of the SFR Unit?

IRS SFR Return help near Gilbert Arizona

SFR stands for substitute for return.  When a tax return has not been file for an extended period of time, the IRS will eventually file a substitute return that calculates the tax based on income reported with no deductions.  If a person was filing jointly before, the IRS will file the SFR return as married filing separate.  The purpose of the SFR unit is to prepare the substitute return and process any returns that are later filed as a “protest” against the SFR return by the taxpayer.  When filing a return in response to an SFR, it is best to send it to the SFR unit that is responsible for making any adjustments to the SFR amount owed.  The turn around time to get a tax balance lowered after filing a correct return can take several months.  SFR returns are not dischargeable in a bankruptcy since they are not considered filed returns.  However the SFR does have the same 10 statute of limitations for collection as a return filed by a taxpayer.

Before making any decisions on how to handle an IRS SFR return near Gilbert Arizona it is critical to first discuss your situation with a tax professional.

Scott Allen E. A. at 480-926-9300

Tax Debt Advisors, Inc near Gilbert Arizona

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