I just found out I owe $7000 in taxes for last year, due to my income from my [now defunct] partnership being listed as a "Guaranteed Payment" instead of a passive, capital draw (loan from the company). I disagree, but getting the investor/partner to amend the K1 in my favor is unlikely, as poor records were kept and this K1 favors him as far as tax deductions go. And I'm probably not going to be able to fight him.
I've heard the IRS works with people in these cases. I'm 24, unemployed, don't own a house, have $2,000 in credit card debt. I've got about $6,000 cash in hand, but I'm moving next month and half of it'll be gone within 6 weeks. Do you think the IRS will settle with me? And how much, realistically, can I expect the IRS to knock off of that amount? How do I go about negotiating a settlement with the IRS after my return is filed so I don't get penalized. Also, H&R Block wants $408 to do my taxes? Is this excessive? Jackson Hewitt told me they couldn't do it, period. Thanks!
2007-04-13
15:56:16
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4 answers
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asked by
Markarian
2