He filed seperately..the preparer failed to disclose both incomes..Is the agency responsible for their mistake when we entered into a contract with them? We don't pay out taxes because we are disabled..this was a homestead property tax filing.IMO they are culpable because the contract states if they do it wrong they must re-do it at their expense..Advise would be appreciated..I already contacted the tax preparer..H&R Block..
I saw a similiar question but our situation is different since we don't pay out taxes(no taxable income).
Vicki S
2006-11-02 06:09:38 · 12 answers · asked by pastorswifenow 3 in Business & Finance ➔ Taxes ➔ United States
Regardless of who prepared the return, you are still ultimately responsible for the taxes.
You can probably get them to refund part or all of the fee because of the error but you will be responsible for the taxes.
2006-11-02 06:24:33 · answer #1 · answered by Wayne Z 7 · 1⤊ 0⤋
If you are saying that you told them you both had income, and they prepared a separate return, purposely omitting your income to qualify for the rebate, then you might have a leg to stand on. However, you would have to show in some fashion that you provided all income statements. Otherwise they will probably just claim you never told them you had more income. Chances are the preparer is not working for them right now (off season), but they may return during tax season and remember & admit if they made a mistake. So if you are rejected now, talk to the preparer come January.
In any event, they would never pay the tax for you, only the interest & penalty. You are always responsible for your own tax liability (or returning a refund you should not have received).
2006-11-02 08:29:19 · answer #2 · answered by Mariska 2 · 1⤊ 0⤋
You confused me when you said that you don't pay taxes since you're disabled yet you said husband now owes. Possibly its because you received a refund and now have to pay it back.
Although i personally hate H&R Block, they offer a Peace of Mind insurance program that they ask if you want (for an extra fee) before your return is completed.
If you took out this insurance coverage, then H&R Block pays any additional taxes (up to 5000) plus penalties & interest if you show them it was H&R Block's omiission and not yours.
If you did not take out the Peace of Mind insurance, H&R Block will just pay interest and penalties if it was their fault but you or husband will be responsible for additional taxes, not H&R Block.
However, if you or husband didnt present the additional income to the preparer, then it isnt H&R Block's fault and they will not be responsible for any additional taxes nor for penalties or interest.
In all the cases they will often do an amendment/correction for free.
Also, regardless of who prepares your return you are ultimately responsible for the correctness of the return and should have noticed the omission of income before signing the return. I understand that you may be disabled and possibly elderly and that the H&R Block preparer may have made an omission, but you have to be more careful next time before signing your returns.
2006-11-02 07:21:27 · answer #3 · answered by goldenboyblue 3 · 2⤊ 0⤋
As far as the government is concerned, the taxpayer and only the taxpayer is responsible for paying the correct amount of taxes. Depending on your contract with the tax preparer they many or may not be liable to you for errors. I expect you would have to prove that you provided them with enough accurate information to prepare forms correctly. Even then, I'm not sure you can recover any damages.
2006-11-02 13:56:17 · answer #4 · answered by STEVEN F 7 · 0⤊ 0⤋
Your question is confusing. Are you saying that H&R Block prepared your property tax filing? What "agency" are you referring to? And what is the nature of the "contract" you made with it? Wwhat money do you owe, if you have no taxable income? Is a penalty being assessed?
2006-11-02 06:46:27 · answer #5 · answered by TaxGuru 4 · 1⤊ 0⤋
Did they do your taxes too ? How was it they knew about your income ? You still have the responsibility to review the forms for errors before filing, but as it seems a minor error, perhaps the preparer will resubmit them with the correct info at no charge.
2006-11-02 06:20:47 · answer #6 · answered by kate 7 · 0⤊ 0⤋
The preparer will re-do the tax return for free but you're still liable for the taxes and the preparer's mistake.
2006-11-02 07:50:45 · answer #7 · answered by Anonymous · 0⤊ 1⤋
One thing that maybe possible is to find something else to offset the taxes owed. Maybe you should have claimed a charitable contribution or had student loans. If they can find something you didn't claim they can offset it.
Worst case scenario you can call them to set up payments on a monthly basis.
2006-11-02 06:22:39 · answer #8 · answered by Bruce Tzu 5 · 0⤊ 0⤋
i had mine done at H&R Block and they do offer you a contract saying that they are responsible for errors, did you sign it? or just not give them all the info. if you signed and gave them all the info just take that packet that they gave you back to them and tell them to fix it. but make a copy or that contract first in case it should suddenly disappear.
2006-11-02 06:42:28 · answer #9 · answered by brenda d 2 · 0⤊ 0⤋
You have agood start by having contacted H & R Schlock. I would ask them why your husband filed seperate and what would it save to amend the return to file jointly.
2006-11-02 07:54:47 · answer #10 · answered by waggy_33 6 · 0⤊ 0⤋