mrichman333 Posted April 9, 2015 Report Share Posted April 9, 2015 So I got a new client that told me she hasn't filled a return since 2004! She also said she hasn't been contacted by the IRS or anything but wants to file. Now her lowest wage was in 2005 when she had W-2 income of $31,451 and a 1099R code 1 of $6,678 SO WHERE THE HECK IS THE IRS.? I just done get how some people can go so many years like this and other NOT. 3 Quote Link to comment Share on other sites More sharing options...
jklcpa Posted April 9, 2015 Report Share Posted April 9, 2015 Have you calculated the return yet? Maybe the IRS didn't bother if her withholding was high enough to cover the tax on the wages, distribution and the early withdrawal penalty all combined. 4 Quote Link to comment Share on other sites More sharing options...
RitaB Posted April 9, 2015 Report Share Posted April 9, 2015 (edited) And I'd do them all - that's what we do for a living. And I don't care about statutes and helping people get out of paying taxes. Or that she won't get a refund. Or any fringe crap. I'm sorry, I've had enough.Or as my momma would say, "I've had enough. I've had ABOUT enough. I'd had JUST ABOUT enough."So there you have it. Hahaha, oh God, I am scaring myself now... Edited April 9, 2015 by RitaB 9 Quote Link to comment Share on other sites More sharing options...
mrichman333 Posted April 9, 2015 Author Report Share Posted April 9, 2015 Have you calculated the return yet? Maybe the IRS didn't bother if her withholding was high enough to cover the tax on the wages, distribution and the early withdrawal penalty all combi Most years she owed a little and She owed $1,816 for 2009 1 Quote Link to comment Share on other sites More sharing options...
RitaB Posted April 9, 2015 Report Share Posted April 9, 2015 Most years she owed a little and She owed $1,816 for 2009Oh, good, no statute when you owe, so no smart @$$ will tell her you shouldn't have done them. Did I mention I've had enough? ;) 2 Quote Link to comment Share on other sites More sharing options...
OldJack Posted April 10, 2015 Report Share Posted April 10, 2015 I would first ASK the taxpayer if she WANTS me to prepare and file those past years with her probably owing taxes. Its not the preparers duty to be the IRS and collect their taxes. 1 Quote Link to comment Share on other sites More sharing options...
RitaB Posted April 10, 2015 Report Share Posted April 10, 2015 She also said she hasn't been contacted by the IRS or anything but wants to file.She wants to file and I want to feed my kids. Win/win.I don't see how it's any different than a client coming in that wants to file a current year return. We read clients the riot act all the time about doing things right. So, if it's been long enough, they get a pass on doing what they should have done? I think that's a disservice to the people who file when they should.Gonna respectfully disagree with you, OldJack. You're still the bomb. 6 Quote Link to comment Share on other sites More sharing options...
SFA Posted April 10, 2015 Report Share Posted April 10, 2015 fascinating topic 2 Quote Link to comment Share on other sites More sharing options...
mrichman333 Posted April 10, 2015 Author Report Share Posted April 10, 2015 I would first ASK the taxpayer if she WANTS me to prepare and file those past years with her probably owing taxes. Its not the preparers duty to be the IRS and collect their taxes. I prepared the returns and I can only efile 2012-2014 because I used to use TRX software which is now out of business. If she want's to mail in the other years that is totally up to her. Quote Link to comment Share on other sites More sharing options...
OldJack Posted April 10, 2015 Report Share Posted April 10, 2015 >>Gonna respectfully disagree with you, OldJack.<< That's fine. I also have prepared prior year tax returns for those that have failed to file for many years. I just make sure the decision is theirs so when they get the penalties later they don't blame me for anything. It was their decision not to file and should therefore be their own decision to file now. 2 Quote Link to comment Share on other sites More sharing options...
Lion EA Posted April 10, 2015 Report Share Posted April 10, 2015 Rita, you now have officially turned into your mother! 3 Quote Link to comment Share on other sites More sharing options...
Randall Posted April 10, 2015 Report Share Posted April 10, 2015 I don't bother anymore with past returns except for one year back. I do have someone with 2012 and 2013 to do. She's been dragging her feet on getting me info so now it's two years past due. Quote Link to comment Share on other sites More sharing options...
Gail in Virginia Posted April 10, 2015 Report Share Posted April 10, 2015 I will file returns as far back as a client can give me information to file. As far as e-filing prior years, none of us can e-file more than the current year and the two prior years if I am not mistaken because that is all the IRS is set up to accept. And as far as the client never having heard from the IRS - REALLY? Even if it was just computer generated letters that were never followed up on, I bet the letters were sent. Almost always, when the IRS grabs a refund from the current year for past due taxes, my clients have never been notified that they had past due taxes. This is the first they heard of it. Right. I know the post office occasionally loses mail, and surely the IRS occasionally misses one of these letters, BUT my money is on selective memory on the part of the client. 5 Quote Link to comment Share on other sites More sharing options...
mcb39 Posted April 10, 2015 Report Share Posted April 10, 2015 Most years she owed a little and She owed $1,816 for 2009 I had one last year who hadn't filed in four years. IRS came a'knocking with transcripts in hand. This guy is SE and didn't learn a thing. Is coming in this afternoon to file an extension for 2014. He says he doesn't LIKE to file taxes. (As in, who does?) Of course, we preparers absolutely LOVE filing taxes. 4 Quote Link to comment Share on other sites More sharing options...
RitaB Posted April 10, 2015 Report Share Posted April 10, 2015 I just make sure the decision is theirs so when they get the penalties later they don't blame me for anything. It was their decision not to file and should therefore be their own decision to file now.I understand what you're saying. But if a person is surprised by the consequences of their own actions, that person is always gonna blame somebody else. There's nothing we can do about that. When a person is irresponsible, somebody pays. It needs to be the irresponsible party. Yes, I have become my mother. And I don't wanna pay that gal's taxes. Or get her refund.(Unless it's refundable credits, then I'm kinda mad, because that's often a reward for under achieving or hiding income.) 1 Quote Link to comment Share on other sites More sharing options...
mrichman333 Posted April 10, 2015 Author Report Share Posted April 10, 2015 >>Gonna respectfully disagree with you, OldJack.<< That's fine. I also have prepared prior year tax returns for those that have failed to file for many years. I just make sure the decision is theirs so when they get the penalties later they don't blame me for anything. It was their decision not to file and should therefore be their own decision to file now. I will remind her once the IRS gets the returns interest and penalty will be assessed. Quote Link to comment Share on other sites More sharing options...
Terry D EA Posted April 12, 2015 Report Share Posted April 12, 2015 I too have filed many years back for clients. I am going both ways here I agree with Rita and Old Jack. I see it from both perspectives but still tend to lean towards it is the client's decision. It is our job to tell the client what they are required to do and the consequences if they are not compliant. Can't force them to sign anything and can;t stop them from trashing the paper copies to be mailed that we can't e-file either. Rita I am with you 100% I don't want to pay that person's taxes either and yes the irresponsible party should pay. Unfortunately, and more often than not, it doesn't work that way. 1 Quote Link to comment Share on other sites More sharing options...
mcb39 Posted April 12, 2015 Report Share Posted April 12, 2015 Well, my happy twist is that the client, who hadn't filed for four years, came in on Friday and requested an extension and was willing to send an ample check along with the extension. Filing quarterlies? Now, that is something we still have to work on. Baby steps!!!!! 5 Quote Link to comment Share on other sites More sharing options...
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