IRS Made a Mistake

FreeRepublic ^ | July 29, 2021 | ProtectOurFreedom

[ProtectOurFreedom]

We’ve called multiple times. The system is so full it won’t even put you into a call queue!! It just says “Call back later or the next business day.” That is all we ever get.

[ProtectOurFreedom]

Thanks for that tip about setting up an account.

[fireman15]

But the electronic system does not allow those supplemental pages to be uploaded.

I have been using “Free File Fillable Forms” to file for years and have never had any difficulty attaching supplemental pages.

https://www.irs.gov/e-file-providers/free-file-fillable-forms

[ProtectOurFreedom]

Yep, it sure is a vanity. I put it into “chit/chat.” I hope that is the right spot.

I thought I’d reach out to all my buddies on FreepWorld for help. I knew lots of people would have had the same or similar problem.

[silverleaf]

You better pay the $1000 then seek a refund via amended return
You do not have time to win by 5 August and the interest and penalties will be ruthless
Figure that most of the IRS drones handling the returns are “ working from home”

[SMARTY]

Ha!!

[fireman15]

Perhaps it has to do with one's AGI (Adjusted Gross Income)?

No it has to do with how you choose to file.

[ProtectOurFreedom]

Coeur d’Alene, Idaho (population 55,000 and about 100,000 in surrounding areas) doesn’t have a field office. Nearest one is 45 miles away in Spokane, so almost a 100 mile trip, two hours in the car, and $20 in gas. Yuck.

“the local people were useless” — that is my expectation if I go there.

[joe fonebone]

T’aint no thang...

Just remember, they are way behind due to.... covid (spit)..
I know that is not your fault, but it is not their fault either..
Once you accept this, take a deep breath and just relax.
The IRS are good people to work with, and it will all get straightened out....eventually

[silverleaf]

Good advice on paying with a disclaimer

[ProtectOurFreedom]

How are we “messing around”? We’ve dutifully sent them the information they requested twice and we still keep getting threatening “or else” letters from them.

[Fido969]

The IRS is not opening its mail, so you can send them stuff all day long, and all it does is go into a separate pile. It is important to have proof of mailing for anything you send the IRS nowadays.

Secondly, merely providing a list of the contributions will probably not satisfy the IRS in this case. While there is no requirement (or reason) to provide a list of contributions with the original return, if the IRS follows up on a charitable contribution deduction, they want to see “contemporaneous documentation” of the contribution, which includes an acknowledgment from the charitable recipient showing the date, amount, a statement that the recipient is a 501(c)(3), and that you received no goods or services for the contribution.

Non-cash contributions, (stocks, cars, land, etc) over $500 should include an additional form and may require additional support.

[fireman15]

I itemize every year, though I am retired, but my CPA says the IRS limit is $300/yr.

If you do not itemize using Schedule A you can only deduct $300 a year in charitable contributions. If you itemize you lose your standard deduction so it is not worth it for many if not most taxpayers. My guess is that the standard deduction is greater than all of your itemized deductions so your CPA is correct for you.

[hanamizu]

“the local people were useless”

---

To be fair, the situation was complex. Step son died in Costa Rica. Left his housekeeper a decent sum of money in his life insurance. Life insurance didn’t pay for a year and a half, which meant the housekeeper was owed the money plus interest, which itself was a large sum. Insurance couldn’t pay the claim without a SSN# or an EIN#. Problem was the housekeeper was Nicaraguan and had never set foot in the U.S.

We ended up having to hire a lawyer to get the money to her.

[Honest Nigerian]

Here are a couple of ideas.
Hire a CPA - ..... wait a minute here. Tax practitioners have access to a Practitioner Priority Line (the name may have changed, but ....). Oftentimes an IRS person at PPL can help a practitioner figure out how to solve it.
Now, here is a way to do this without a CPA: After you pay the IRS file an Amended tax return, Form 1040X. ALTERNATELY, you might be able to skip the payment and file the amended return. In this case tell the IRS that is after you for the money that you are filing an amended return. Your amended return might have to be filed on paper, but you would be able to attach a list of all those contributions on there.
In effect, the IRS has re-worked the return that you filed to show fewer itemized deductions. So you end up with more taxable income. One of the letters from them should show their calculations.
BTW - file amended return using Certified Return Receipt, and keep proof of mailing and proof of delivery.
Hope that helps.

[EVO X]

We filed our federal taxes electronically in 2019. We had a lot of charitable contributions which required a separate page to list them. The electronic submission system had no way to attach the second sheet.

This isn't direct at you specifically. Send your taxes in snail mail if you run into online problems. It isn't worth banging your head against the wall for some shitty programming errors.

[fireman15]

Non-cash contributions, (stocks, cars, land, etc) over $500 should include an additional form and may require additional support.

This is Form 8283 for 2020:

https://www.irs.gov/pub/irs-pdf/f8283.pdf

These are the instructions:

https://www.irs.gov/pub/irs-pdf/i8283.pdf

From the instructions, “You must file one or more Forms 8283 if the amount of your deduction for each noncash contribution is more than $500. You must also file Form 8283 if you have a group of similar items for which a total deduction of over $500 is claimed”

Despite the typical IRS jargon; it is not really very complicated. From the description of the problem, the second page of form 8283 did not get included in the electronic filing and has been sent in separately twice now in paper form. The IRS is hopelessly behind in their paper communications and it is causing a lot of stress for filers who have received notices and then no acknowledgment when they do what is asked and in fact receiving more notices.

[ProtectOurFreedom]

We don’t owe anything. They are not acknowledging the receipt of the documentation they requested.

[Openurmind]

I don’t know? is it? I am having trouble finding “Asking a question or seeking for help” as a definition of vanity. I see this a lot and apparently the majority around here has no clue what Vanity actually means. They invent their own definitions. “Anything personal” is not one of the definitions from what I have read since the fourth grade.

vanity noun

van·​i·​ty | \ ˈva-nə-tē How to pronounce vanity (audio) \
plural vanities

Definition of vanity

(Entry 1 of 2)

1 : inflated pride in oneself or one’s appearance : conceit
2 : something that is vain, empty, or valueless
3a : dressing table
b : a bathroom cabinet containing a sink and usually having a countertop
4 : the quality or fact of being vain
5 : a fashionable trifle or knickknack
6a : compact entry 3 sense a
b : a small case or handbag for toilet articles used by women

vanity adjective

Definition of vanity (Entry 2 of 2)

1 : of, relating to, or being a work (such as a book or recording) whose production cost is paid by the author or artist
2 : of, relating to, or being a showcase for a usually famous performer or artist who is often also the project’s creator or driving force write, direct, and star in a vanity film

[ProtectOurFreedom]

“It is more of a hassle to get the money back.”

Exactly. I fear that once we pay them, we will NEVER get it back. But Mrs. POF is afraid of not complying with their demand.