[E]

Hi all! I believe that I may be way overthinking this, but would love to hear from someone who can either provide some insight or (hopefully) some peace of mind.

I am about halfway through my CPA and currently studying for AUD. I came across a passage in the material the other day saying something along the lines of timely filing of personal (or company) tax returns is part of the AICPA code of professional conduct.

I hadn’t even considered this, but it made me think of my own taxes earlier this year. Stupidly, stupidly, stupidly (I know) I chose “exempt” when working through my employer (it was only for a couple of months and not for much money) and just knew I wouldn’t get any money back come tax time. Come tax season I was just extremely caught up with school and personal issues and just decided I had no need to to file, since I did not owe and would not get anything back (which I am aware is not a wise decision, as you should always file and I will in the future).

A couple of months after the filing deadline, I came across a tax document from my school and realized that due to scholarship/financial aid specifics, combined with my W2 wages, it did in fact put me above the threshold where I owed a small amount of tax. So I immediately just tried to do the right thing and honestly file a late tax return, and just pay the money I owed and any late filing penalty. I did just that, it really was not a large sum of tax liability at all, and when the late filing penalty came in the mail (also not a large sum either) I just paid it immediately, like I knew I would, and moved on since it wasn’t really much of a big deal. Honestly, I hadn’t really thought twice about it since then, and just knew that at least once I realized my mistake I did the honest ethical thing and I wouldn’t make the mistake again. People get IRS penalties all of the time, and like I said it really wasn’t much money.

Reading that passage the other day caused me to have concern, however. Did I inadvertently do something to jeopardize my CPA license background check when it comes time for me to apply? I have no idea whether the board would even see a thing like that, since it’s not like the IRS pursued criminal charges against me or anything like that. I know the application refers to misdemeanors/felonies, but never asks anything about tax filing penalties.

This is why I hope I’m probably just way overthinking this. However, due to the financial nature and integrity of being a CPA, I was just wondering how deep their background check would go, and/or something trivial like this is even of interest or accessible by them. I know obviously if you are charged with tax evasion or something that is entirely different, but this? I would just hate to have already done something stupid to ruin my dreams, especially when I just tried to do the honest and ethical thing once I realized my error.

If anybody has some information or insight to shed on the matter, I would truly appreciate it so so much!

[Recked]

I would not worry about this. You filed late and paid the taxes and penalty.
You don't have a stack of returns you never filed, or any large outstanding penalties.
Filing a tax return late is very very common, and I would not worry about one late personal return getting in your way.

[Author]

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