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Absolutely DO NOT let your client call. That is an ulcer waiting to happen!! Write the letter. Mail it to the address at the top of the notice. Send it certified, return receipt requested. If you used the wrong SS#, you can see it on the back of the cancelled check. There is a ton of information on the back of the check. Either way, don't call or allow your client to call. Send a letter with a detailed explanation (at or below a 6th grade comprehension level) to them. I have had extensively more success with letters than calling.

Do you have the box checked on the 1040? If so, you can make the call. If not, I would send a note and send it to the address on the top of the form, if it's different than the stub.

I always send a letter. I don't call unless it is absolutely necessary.

Yes, the correct SSN is on the front of the check and the incorrect SSN is on the back of the check. That's how I made my guess at what happened, cause TP had no clue. All I'm saying in the letter is the payment was made but was not credited to taxpayer's account. Thank you for your attention in this matter. Not taking or assigning blame. Keeping it short and sweet. The copy of the check says enough.

I vote letter. Depending upon the amount involved, I might even pay the $12 for express mail, just to document when the reply & check copies were mailed in.

Yes, if I understand it correctly, and we're talking about a 2015 distribution, she's met the five-tax-year period that starts with the year the conversion was distributed from the regular IRA (2010). 2010, 2011, 2012, 2013, 2014 have passed. * I'm going to go on record as admitting that I may or may not understand it correctly, and why oh why won't people stop robbing their retirement accounts? Leave them alone. Please.

Rita, thanks so much for your help. I think the program "got confused" because in the 2010 program it showed the conversion amount as non taxable since it was going to be taxed in 2011 and 2012. Then the program carried the non taxable designation forward each year so that when a distribution was made, it didn't apply the 10% penalty. The program should have been able to determine, by the election to tax the conversion in 2011 and 2012, that even though it wasn't taxable in 2010 it should be considered taxable for purposes of the 10% penalty. I threw this out to the forum thinking that maybe there was an exclusion to pay the penalty for those who took that Roth conversion election in 2010 and I was not not aware of it. Thanks again.

Thanks for all the additional replies. The trust is ending because the beneficiaries want to simplify their lives. Costs are not worth maintaining the trust, in their opinion. All beneficiaries are in agreement to end the trust.

Yes, I do have the box checked. Thanks! But, actually, I'd rather not call them, either...

Lots of that this year. Why oh why is right!

I think the program is correct because the conversion took place in 2010. If the IRS or Congress gave you a chance to pay taxes in a delayed manner, it doesn't change the date of the conversion.

There appears to be a way to filter that, although I haven't tried so ymmv: At the top left, click on "Activity" and then "Unread Content" from the submenu of items shown on the next lower horizontal bar. That will bring up additional ways to filter the unread content. One of those selections is "Following" and it appears that if you were to choose the first option "Content posted in areas I follow" AND choose to only follow certain of the forums while not following others, I think that would accomplish what you want. You might have to click on that "Activity" when visiting the forum, not sure about that, and you always have the default if you want to look at the entire page. Users can also customize the type of notifications of followed content and notification frequency from within the user's profile, specifically within the account settings section.