So, you haven't filed tax returns for quite a few years. Below are items for you to consider.
1. Yes, the IRS knows. It is just a -matter of time before they contact you.
2. The Failure-to-file penalty is 5% of the unpaid taxes for EACH month or part of a month that a tax return is late. The penalty won't exceed 25% of your unpaid taxes.
3. The Failure-to-Pay penalty continues until the tax is paid in full, up to a maximum of 25% of your unpaid taxes.
4. Interest is charged on penalties.
5. The IRS may file a Substitute for Return for you. This return may have you paying a higher tax than you should be.
6. Penalties and interest will be assessed on tax figured on a Substitute for Return.
7. You only need the last 6 years of returns filed to be considered current.