Has anyone ever dealt with the IRS requesting

[bsnyder]

backup information for a tax return?

In this case, it's my brother's return. He's disabled, and I am the trustee for his finances and have a POA for him. The IRS is requesting the supporting documentation for his medical expenses, which are considerable, and his health insurance, which is non-existant because he's uninsurable.

I'm just wondering how awful this is going to be. I have to make an appointment to go to their office. I do have all of the paperwork in very good order, so it shouldn't be hard to gather it up. But has anyone ever gone through this? My impressions of the IRS are probably stereotypical, but they're not good.

 

[monkeyboy]

yes

not as bad as the term IRS seems

backup maybe just the information the accountant used to file said taxes

 

[OhMari]

Yes,
They just want to see all the expenses, and you say you have everything documented. Try not to worry-it probably got red flagged because of the huge expense versus income.

Did insurance pay, or did it come directly from his disability checks.

 

[bsnyder]

Yes, I have all the medical bills, and the cancelled checks showing the payments. They also said they want insurance information - it was a form type letter with a list of items. But since he doesn't have any insurance, those items don't apply to him.

I think I have this image in my head of interrogators grilling me. Not that there's anything to hide, but just the letters I-R-S make me feel kind of queasy!

 

[dbarker]

Just a suggestion: Hire a CPA. Call around and see how much $$ one would represent you for. Make sure they have experience w/ taxes and are reputable. A good CPA should be able to handle to the IRS for you. The IRS can be intimidating and they know it.

 

[bsnyder]

I do have a CPA prepare the tax return, but he lives in another part of the state, and the letter I got has a local IRS rep to contact.

But maybe I'll call my CPA that does my taxes and at least talk to him first. Thanks for the suggestion, dbarker.

I hate to spend any $$ on this.

 

[dbarker]

I PM'd you.