Back taxes is a term for taxes that were not completely paid when due.[1] Typically, these are taxes that are owed from a previous year.[2] Causes for back taxes include failure to pay taxes by the deadline, failure to correctly report one's income, or neglecting to file a tax return altogether.
A government might implement different approaches to collect back taxes, including criminal charges, offering a voluntary disclosure program that allows a broad variety of payment methods,[3] or tax liens.
If the taxes remain unpaid, the tax authority could use a tax levy to legally seize the taxpayer's assets (such as bank accounts, investment accounts, automobiles, and real estate) to collect the money it is owed.