Unless you live in Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas Washington or Wyoming, the IRS is not the only agency that you have to be concerned about. All 41 states have their own income tax reporting requirements, and a few cities do as well. In many cases, if you haven’t filed a tax return, you may be contacted first by the state taxing authorities, rather than the IRS. The IRS will contact you soon after, however, as all states except a few have agreements with the IRS to trade tax information about their residents. Nowadays, with such sophisticated technology available, the exchange occurs automatically. If one taxing authority finds you aren’t filing, their computer systems can inform the other. If you file a Federal tax return, even if it is late, be sure to get into compliance with the state as well.