taxms

Thanks for your opinions. We have letters sent and will have to see how it goes. I agree that it would be a lesson well learned if client did not get any refund money after ignoring the IRS for years but on the other hand, refunds always make you look better in a client's eyes...

Have a client that had not filed tax returns since 1999. We prepared all seven years hoping to actually receive the refunds for 2004, 2005, 2006, realizing that 2000 - 2003 were too late. He had been getting IRS levy letters for 2002 and 2003 since the IRS had compiled their own returns and determined that he owed money. My question is, and I'm hoping for a good answer for the client, will the actual tax return filed for 2002 and 2003 supercede the IRS compiled returns now that they have been filed, even though they are filed after the statute of limitations is up. IRS took his 2006 refund and applied it to 2003 even though the return we filed for 2003 shows refund. Hope I am being clear.