united-states tax-law is-x-legal
Can you be prosecuted for tax information which would lead to an overestimate in the amount of taxes you owe?
<p>Suppose you pay more taxes than you owe, either because you neglect to use a tax credit or deduction that you could claim, you put $0 for charitable giving as a result of forgetfulness, poor record-keeping, or wanting to avoid overestimating, etc. The end result is that you end up paying more taxes than what you were required to pay. Is this legal?</p>
<p>Also, what happens if you forget about a small transaction? For example, suppose you make $100K at your job, but also made $25 of taxable income selling your stuff to a friend, but you forget to include the latter under taxable income.</p>

<p>The tax man always wins. You can make mistakes to your own detriment, but not to the detriment to the state.</p>
<p>Forgot to take a deduction that was available to you? Perfectly legal. You're not required to “optimize” your taxes.</p>
<p>Forgot to declare taxable income? That is a problem, and you would need to amend your filings. You are required to accurately disclose all of your taxable income.</p>
<p>Of course, not all income is taxable income. For example, occasionally selling personal items for less than their original value (i.e. at a loss) is not taxable.</p>
