|
Posted by PaulTry on April 15, 2007, 1:03 pm
Please log in for more thread options
ConanOBrien wrote:
>> Delinquent return credit balances generally won't roll
>> forward but (as you know) their refunds will offset to the
>> oldest assessed liability. Does he owe for years prior to
>> 2003? If not, he could file 2003 and prior and 2006 now;
>> file 2004 & 2005 after 2006 is assessed. He may get some
>> P&I benefit from the 2004 and 2005 refund offsets.
> Really? I've filed delinquent returns several times (inside
> the 3 year statute) and the credit balances have always
> rolled forward. If he files 2003, 4, and 5, and rolls all
> the credit balances forward to 2006, those credits would
> function just like withholding, and significantly reduce any
> 2006 P&I.
Really! I've secured many delinquent refund returns,
highlighted and underlined in red the amount to be carried
forward, seldom with success. Processing personnel couldn't
provide explanation. May have something to do with the
processing timing of simultaneously filed multiple returns.
An old CP-45 gives possible clue when it states, "We are not
able to apply credit elect to a tax year for which a return
has already been filed and processed." Of course, returning
and reapplying refund checks from whence they came will
revive credits which may then be transferred, giving
taxpayer the benefit of prior year credit availability
dates.
<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2006) - All rights reserved. >>
<< ------------------------------------------------------- >>
|
|
Posted by L K Williams on April 12, 2007, 6:13 pm
Please log in for more thread options
> A relative called me. He is filing SEVEN years of taxes
> right now and was looking for sympathy and help. LOL
>
> Why hasn't he filed returns all these years. My guess is
> a combination of paranoia and incompetency. He actually
> prepared the returns for 2006 through 2003, paid any taxes
> due, and filed extensions. Here is his real problem, he has
> refunds due from 2003 thru 2005, but will owe a chunk for
> 2006.
>
> He is hoping the IRS will roll the refunds forward because
> he has not filed for all these years and someone told him
> they would not do so.
>
> Anyone know what they will do?
>
> I did tell him to send 2003 by certified mail in the morning
> and never call me again if he does not!
First, if IRS is not after him for earlier years, he may
only need to file for 2001 and later years. Normally, IRS
will accept returns for the 5 latest years from a non-filer
who comes forward on his own.
For earlier years that show a refund, he should file the
returns and choose have the overpayments applied to
estimated taxes for the subsequent year. IRS will do this
is the refund is not barred by the statute of limitations.
Then, on the return for the subsequent year, he should show
that overpayment on the line for estimated tax payments.
IRS will apply any overpayments to a deficiency if the
underpaid return has been processed. Otherwise, they will
make the refund. In addition, if they intercept the refund,
they will still assess late filing and late payment
penalties on the full balance. If he asks them to apply the
refunds to the next years estimated payments, the penalties
will be assessed on the net balance.
Lanny K. Williams, CPA
Nawarat, Williams & Co., Ltd.
Income Tax Services for Expatriate Americans
<< ======================================================= >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2006) - All rights reserved. >>
<< ======================================================= >>
|
|
Posted by Taxmanhog on April 13, 2007, 3:11 am
Please log in for more thread options Dick Said:..
> A relative called me. He is filing SEVEN years of taxes
> right now and was looking for sympathy and help. LOL
>
> Why hasn't he filed returns all these years. My guess is
> a combination of paranoia and incompetency. He actually
> prepared the returns for 2006 through 2003, paid any taxes
> due, and filed extensions. Here is his real problem, he has
> refunds due from 2003 thru 2005, but will owe a chunk for
> 2006.
>
> He is hoping the IRS will roll the refunds forward because
> he has not filed for all these years and someone told him
> they would not do so.
>
> Anyone know what they will do?
>
> I did tell him to send 2003 by certified mail in the morning
> and never call me again if he does not!
All should be processed with no problem, assuming no SFR's
have been started!
Ideally if the 2006 return posted first as a liability
period, the refunds will be captured from the proceeding
years 05, 04 & even 03 since the Refund Statute is Open, at
least for the next couple of days!!
Certified is a minimum, Return Receipted would be even
better. Ideally hand deliver it into the nearest Customer
Service Site if one is conveniently available.
<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2006) - All rights reserved. >>
<< ------------------------------------------------------- >>
|
| Similar Threads | Posted | | Questions? What to do? | April 17, 2006, 10:54 pm |
| 2 questions... | September 26, 2008, 3:23 pm |
| LLC (Partnership) Tax Questions | November 7, 2006, 8:19 am |
| ROTH questions | February 9, 2007, 12:30 am |
| Two questions on deductions | April 15, 2007, 1:42 pm |
| LLC taxation questions | May 25, 2007, 1:41 pm |
| Re: LLC taxation questions | May 29, 2007, 10:45 pm |
| IRS notice questions | June 8, 2007, 1:21 pm |
| Tax Software Questions | January 17, 2008, 1:35 am |
| llc first time tax questions | February 15, 2008, 4:21 pm |
|
|
Yahoo! 
Google 
Windows Live 
del.icio.us 
digg 
Netscape 
XML Sitemap