Have a Tax Question? Ask a Tax Expert
Your tax preparer should review the IRS adjustments to make sure they are correct. Many times they are not. Do not pay the bill until you are sure you owe the money. If you do owe additional tax, then it is your responsibility. You can ask you preparer to pay any penalties and interest. A reputable business person will do this.
Thank you for your question.
This is the letter I got from the IRS.
"During a recent review of your taxreturn for the tax period shown above, we determined that your return should be adjusted for the following reasons:
The total amount of federal witholding shown on your return was more than the amount of witholding your payers reported to us on Form w-2 and or 1099. Therefore, we're disallowing some of the federal witholding you claimed.
below is a list of the witholding amounts and the payers we used to ake this adjustment.
Witholding amount ------------ payer
$86 ------- JB Restaurants
$11 --------- JB Restaurants 4
$83 ------- AZ Dept of economic security
$180 Federal withoulding reported to the IRS
$1339.00 Federal witholding shown on return
$-1159.00 Change in federal witholding
So it looks to me like the tax preparer put in the wrong Federal witholding shown on return...
Am I correct?
You should review all of your source documents for federal withholding amounts. Your preparer should help you with this. She should be able to tell from her software (hopefully she uses a computer!) where she came up with the number she use on your tax return.. It is possible the IRS is missing something. Did you work anywhere besides JB Restaurants?
Yes, you should consult your tax preparer before paying the tax bill. You may have tax withholding from another source, or a credit that was entered in the wrong box.
Hope this works out in your favor,