PAST DUE RETURNS Oftentimes, tax financial debt can be mostly settled by just submitting overdue returns. The IRS generally imposes penalties as well as passion on tax due from missing returns, so unless you send a penalty abatement, those will certainly still likely need to be paid. It is additionally entirely possible that your client may also be entitled to a refund that they have missed out on because of missing returns. The only way to figure out is by simply collecting their financial documents for that year and filing the past due returns.