Have a Tax Question? Ask a Tax Expert
Hello and thanks for trusting me to help you today. I am a tax adviser with over 15 years of experience.
Your situation is not uncommon but I know is frustrating.
You should mail the return again. This time though make sure that you send it registered.
Thsi will give you the proof you need if the IRS says they did not receive the return.
I've already done that. I paid $14K and now they want an additional $5K in penalties and interest.
You can request that the penalties be abated. It is allowed and then you would also have the interest reduced.
DId you send a check with the return when you mailed?
Yes I sent a check.
Have you checked with your bank to see if the check was cashed?
Yes it was.
The original check you sent with the first return (the one the IRS advises was not received is the one I mean). If that check was cashed by them with the original return then the cancelled check is proof that the first return was received.
Based on that (if it applies) you could then send copies of cancelled check for proof.
I gave wire instructions with the original return. I sent a check with the second filing.
I see, then if I were dealing with this for you I would write a letter stating the facts and reminding them of your past compliance with tax filing. I would request they abate the penalty based on the fact that you have always followed the filing rules and should not be penalized this time for a mail problem.
You already paid the tax so they will (and have to by law) add interest but that will decrease when the penalty is dropped.
One year they sent me two checks and I immediately sent the second one back.
You are allowed to request the abatement. It is allowed for a first time request in situations like this.
Thank you. They probably think I have money, but the truth is, I have elderly parents that rely on me for extra money just to get through the month and a husband that makes very little money. I don't have #5K in the bank to pay the IRS.
I know, they can be very unfeeling. The amount will drop and you can advise that you can pay a little every month, an installment arrangement.
Mailing is so tricky.
I know having to pay any extra is not good.
I really enjoyed working with you – please feel free to request me again when you come back to ask another question.You will find the request feature when you come back under your MY QUESTIONS section.
My best wishes are with you.
OK. I appreciate your help Robin. Thank you.
You are most welcome. Your positive rating is always thanks enough.