OT: Heads up...........IRS gone wild

thatsbaseball

All-American
May 29, 2007
17,856
6,556
113
Just got a letter from the IRS demanding $1200 additional money on my 2011 return. The transaction that prompted the letter was totally non taxable involving an IRA and reported 100% correctly to them. My accountant says the letter may be the most baseless one he`s ever seen from them. For the record I didn`t have enough deductions to itemize in 2011 so there were no political donation etc on the return and in fact I made none in 2011. Kinda strange given the recent events involving the agency. Anybody else seen this type thing recently ?
 

patdog

Heisman
May 28, 2007
56,632
25,957
113
IRS letters are notoriously inaccurate. Their MO is to just send a demand letter saying you owe $x and then put the burden on you to dispute it. I'd say about half of them are complete ********, and about half are legitimate. DO NOT just assume you owe them something just because you get a letter from them saying you do. But DO respond to the letter if you have a legitimate reason to question it.
 

thatsbaseball

All-American
May 29, 2007
17,856
6,556
113
Thanks. I`m just a bit more skeptical of them these days. Response has been sent.
 

birdawg

Sophomore
Aug 13, 2009
990
168
43
I got one saying I owed $1400 from my 2011 return.
Just got a letter from the IRS demanding $1200 additional money on my 2011 return. The transaction that prompted the letter was totally non taxable involving an IRA and reported 100% correctly to them. My accountant says the letter may be the most baseless one he`s ever seen from them. For the record I didn`t have enough deductions to itemize in 2011 so there were no political donation etc on the return and in fact I made none in 2011. Kinda strange given the recent events involving the agency. Anybody else seen this type thing recently ?

It was involving my HRA and the fact that I has Lasik eye surgery that year. Turns out I reported it correctly and didnt owe anything. All it cost me was a weeks worth of my 17ing time and energy trying to track down every transaction I made with my HRA card and original receipts from the eye surgery and filling out one of their horribly written forms. And I felt the need to be fake nice in my response letter bc they clearly dont mind targeting whoever they want.