>then demand more property taxes
(You) just gave anon a great idea. They can't do anything at all if anon doesn't pay property taxes for up to that 3rd year and then pay it all at once. House is paid for so anon has to write a check each December. Thinking that check might not be forthcoming this year, anon will "absorb" the penalty. Same for income tax filings. If a tax return is a refund return there's no problem with late filing, just file it within the 3 year statute of limitations to get that refund paid over. For a balance due return, compute the return and pay any balance due but withhold the tax return and this will keep those funds in limbo and they can't spend the money. They can't tap the withheld monies until it's "matched" to the filed and processed tax returns.