Ask The Get Out of Debt Experts Tax Related

I Was Taken by a Tax Preparer That Was Not Legit. – Lucretia

Written by Jim Buttonnow

“Dear Jim,

I let a lady that I was told was a legit tax preparer. She filed my taxes for the past five years or so, as of last year the IRS states that I owe over $10k for not reporting my rental income 1099 I guess. I was told by my tax preparer that I did not have to report my rental property or home owners taxes & that it was just another form that I did not need. So please if you can help me I really need help. I am a single mother that makes under 40k a year and really depend on my taxes to pay off some of my bills.

How can I get this problem resolved? I was taken by a not legit tax preparer

P.S. I am not a home owner anymore and have moved from Chicago to Iowa, Thank You in advance,

Lucretia :)”

IRS

Hi Lucretia:

Thanks for your question. When you have errors on your return, it is important to address them quickly.

You will need to answer the IRS questions about the unreported rental income quickly. The IRS probably sent you a CP2000 notice. I would have a local, reputable tax professional “redo” your return and respond back to the IRS. You may not owe additional taxes after allowable deductions. You possibly have several deductions related to your rental property that will lower you balance owed.

GO see a reputable tax professional. Let me know if you need me to point you to a reputable source.

Thanks

Jim

Jim Buttonow is one of the resident debt experts here at GetOutOfDebt.org that helps people for free. Jim is a licensed CPA who spent 19 years with the IRS coordinating large compliance teams of IRS agents and specialized personnel. In the last 5 years, Jim has invented consumer and practitioner software and treatises on how to address many different tax issues. He has also represented many people before the IRS examination, collection, filing, and appeals functions. He currently assists taxpayers on an active pro bono tax practice aimed at serving people in need. He can be reached at IRSMind.com.

If you have a tax question you’d like to ask just use the online form. I’m happy to help you totally for free.




About the author

Jim Buttonnow

Jim Buttonow, CPA/CITP, practices in the area of IRS and State tax controversy. He has more than 29 years of experience in IRS practice and procedure. Reach Jim at [email protected] or through his website www.buttonowcpa.com

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