Tax Help....Married filed head of household last year taxes was told by tax prep we can make an amendment for?

Question

next yrs taxes. recieved letter from IRS now saying we owe such an amount and is due by Jan15th 2007. Can we make payments? and will we lose our 2006 tax refund because of this anyone with help greatly appreciated thx

Answer 1

Once you receive a letter such as you describe from the IRS, you do not amend the return. The IRS is proposing a change to your return as described in the letter.

Read the letter carefully. You can either agree or disagree with what it says. It seems that you agree that you made an error in filing status. If you agree, pay the amount by January 17 to avoid further penalties and interest.

If you want to set up a payment arrangement that may be possible, for an additional fee. Call the number in the letter and ask about how to go about it.

If you do not pay, then if you get a refund for 2006 it will be offset by any amount owed, including penalties and interest. If you do not pay within the time specified, you will be receiving further letters, increased penalties and interest, and possible further action from the IRS against your assets or future income.

If you can pay what you are able to immediately and file for 2006 as early as possible and have the rest of the tax due come out of your refund, that may be a good strategy.

Answer 2

If you filed head of Household when you were married, you will have paid too much tax. I know it costs money but I strongly advise taking the letter to a CPA or enrolled Agent. If you do it now your problems should not get any worse than they are right now.

The only way you can "lose" your refund is if they set it against any liability you rightfully owe. This is another very good reason for engaging a tax professional as soon as possible.

What sort of tax preparer said you can make an amendment for next years taxes? Do not use that person again. If one year is wrong the only way to correct it is to amend the return for that year.

Answer 3

The IRS has scheduled Jan. thirtieth by using fact the 1st launch of tax refunds in step with once you filed. i understand here in Ohio the state deposits a pair of days till now than the IRS. You reported you filed HOH. Are you nevertheless married? in case you're did you reside along with your substantial different at any time the final 6 months of 2008? in case you probably did you does no longer qualify for HOH. in case you do qualify you would be able to report HOH this would not be a reason you're no longer receiving your refund yet. Laura H – H&R Block – Senior Tax consultant 5 **this suggestion replaced into arranged in step with our expertise of the tax regulation in effect on the time it replaced into written because it applies to the data which you provided.