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Doncha just *love* those! Here in MA the state sends out "prove that you had tax withheld on this 1099-R income" letters where they want a copy of the 1099-R showing MA tax withheld. INCLUDING 1099-R's for Mass Teachers Retirement, where THEY are withholding the tax! How deeply stupid can they be?! No, wait, I should NOT say that - they take it as a challenge!

A client just got one for 2016. Says 1099R amount was not reported. It was reported and IRS letter agrees with amount reported but says an additional amount (of that same amount) was not reported.

Yes, the ugly letters from the IRS have already started. Have three of them already. The first two don't speak well of the IRS administrative prowess: CP2000 attempting to tax client for 1099-R which was an IRA rollover. Betcha y'all have a bunch of these. This one is particularly interesting, since the CP2000 reports the 1099-R and discloses distribution code "G". Collection letter attempting to collect $975 when the assessment has never yet been made. If an assessment was made, it was never communicated to the taxpayer. Cannot remedy this without a POA since the collection division does not involve itself with the audit division making the assessment. Have not got to the bottom of the 3rd one yet. This may be the taxpayer's fault, or possibly mine. Has anyone found a way to make these IRS people accountable for their bungling? It won't stop until this happens.

I have a few who won't pay until next year, but I'm slowly firing them. I really do hate begging to be paid. Once, when working for a small tax and accounting office, I had taken over the bookkeeping for a mechanic's business. I asked him where his "accounts receivable" info was. He said he didn't know what that was. So, I told him that was the account with details on clients who owed them money. He looked at me like I didn't have a head on my shoulders. Then he said, "Nobody owes me money. If they don't pay me when the work is done, well... I have their CAR!" So, if a client can't afford to get their taxes done, I do hold payments until their refund is deposited. But, I AM holding payments. That way, I have very few outstanding.

Have you resent them a bill? About the 3rd mailing I add that if payment is not received within X days - the account will be sent to a collections agency. I don't send it but it gets the attention of those who suffer from distraction. If they don't pay, I assess it next season and demand payment for delivery. If they don't come back - I consider it a loss.

At the bottom of my statements, I enter the following verbiage: "Pay Pal available: We can send you a statement via email which you can pay via PayPal if you prefer. Just call nnn.nnn.nnnn or email me at xxxx@xxx and I will follow up. If you can't pay all at one time, you can make partial payments." If they use PayPal, I just increase their fee the next year by double the PayPal transaction charge. If they don't pay, I forget about them. It was worth the fee to get rid of them. If they pay via PayPal but don't come back, it was worth the PayPal transaction charge to shame them into going somewhere else. It's silly to have to do this, but sometimes it works. I even have one client who earns over $250K but pays an average annual bill of just under $500 each year by sending me 2 - 4 PayPal payments. Some people just live their lives this way. You're not going to change them.

I've had one client so far receive a CP2000 for 2016 that was for unreported 1099R for a 401k distrib with code "1". In her case the proposed increase to gross income was correct and she agrees with the correction. One thing that was strange was that the notice proposed an adjustment increasing the PMI deduction on Sch A when her income was increasing so the deduction should have been further limited, not the other way around, but then that increased deduction was NOT factored into the proposed increase in tax. It was like a memo item, and I could not tie in the amount.

Thank you Judy - and enjoy the Holiday. Hope wherever you are - you escaped the flooding in your area.

Nebraska does the same thing. It's almost always the only withholding is from their 1099-R for teachers. It's just a good way to drag out paying the refund.

Call to offer to accept immediate, partial payment -- sounding solicitous about his/her current cashflow problem -- try for definite schedule of remaining payment but let it remain vague if client sounds reluctant to commit. After another month email and call again, if his/her better nature hasn't triumphed. I probably spend too much time collecting from people -- e.g., I have a standard over-30-day-due text to paste into emails, and I extra-scrutinize certain invoices before sending those to a dozen folks from whom I expect static -- but in the end collect very nearly all I bill. I've even had a guy suddenly pay after three *years* of no responses. Good luck.

New York State has been playing that "prove your SWT" before we issue you your refund - for a few years now.

I have someone coming shortly so can't answer most. I will note that once you put in the AOTC years, it should update next year. That might be a conversion issue.

On page 11 here: https://www.irs.gov/pub/irs-irbs/irb18-10.pdf

True the SS deposit each month is fun. I even used some of my IRA money as a QCD to my church this year and will take the rest later this year. My trainer is great at stretching, as is my rehab guy, I want the yoga gal to teach me more, and I have the stretches as a video workout on my phone. Thanks for pushing that; I do need to stretch more. My rheumatologist was holding out for spinal stenosis while all the other doctors said hip. Last visit, he'd been at a seminar and took a class from a radiologist on lower back and hips. He examined me (for what's been at least quarterly) and said he changed his mind; not back, make hip replacement appointment. So, I thought all doctors are on same page. But, I had an appointment with internist to explain all the test results, medical jargon, etc. He was the one who sent me to hip surgeon in the first place, so I thought we'd be making that appointment; but he said the weakness shouldn't be from the hip -- sent me to the spine specialist. Spine guy said symptoms suggested disk, but MRI from almost five months ago didn't show that. New MRI, and it showed the herniated disk! It's so frustrating, because I thought we were all on the same page finally. But, it's back to the drawing board. But a herniated disk AFTER December does explain why I went downhill so fast this year. And, I am almost three inches shorter than I used to me. I thought it was the dowager's hump like my mother, but when I dug out a came from 30 years ago as I got weaker, I realized it's my lower back that's compressed because the cane was 2 1/2 inches too tall now! If I'd gotten my hip replaced last year, I wouldn't be having double trouble this year. But, I was OK last year, a little slower and some trouble sleeping since I used to sleep on my side, but doing everything I always did. I'm not one to have surgery until there are no other options. I've never had much: tonsils out as a kid and tubes in my ears as an adult. A lot of people my age and older at church, so I'm seeing what can be done. Hubby had both shoulders replaced and bounced back fast. All the good ideas and wishes help a lot.

I'm sorry Lion, this sounds really frustrating. So all your less invasive things must include a regular stretching program (aside from yoga classes) and diet modification? I was a fireman for 23 years, got really beat up including being a veteran of two building collapses, have a couple of compressed discs (I know, I was taller at one time). I have arthritis in all my joints (including back) but now am ok without meds, just a lot of stretching and exercise and a diet that would make Dr. Oz jealous. But I understand herniated discs are a challenge. I hope you find relief, but I can't stress enough that a daily stretching program has helped me get back to normal. Good luck kiddo, don't give up, 71 is not old, it's your 1st year of getting that IRA money, with many more to come, Bill

If the doctors can't agree on what surgery is needed and can't find the source of the pain, I would, if it were me, seek alternative sources, such as a first class chiropractor, or an acupuncturist. Physical therapy and the right exercises can also help especially if you lead a sedentary life style. Surgeons are trained for one thing -- to put you under the knife. Nearly half of back surgeries are unnecessary and even if necessary don't always relieve the pain. Many patients have to go through a second operation within 2 to 3 years. I had back pain for years which was so bad it had me screaming whenever I drove my car. A chiropractor fixed the problem in a few weeks. I would exhaust every other possibility before I would let someone operate on me. https://www.chironexus.net/2013/05/journal-of-the-american-medical-association-use-chiropractic-for-back-pain-before-resorting-to-surgery/