Hell of a thing happened today.

[PegLeg45]

I have had them find a mistake 4 years later (in their favor, of course). When I was out of work after my accident, the short term disability insurance company through my employer didn't withhold enough over a 6 month period to cover income taxes (and in the shape I was in, it was the last thing on my mind).
Four years later I got a bill from the IRS for $1900. They did knock off the penalties and interest if I paid it all within 30 days though.

 

[Big Frank]

I had a letter from the IRS a couple months ago saying they owed me more money. But I still haven't got it and don't expect to. That's what kind of luck I have.

[m25operator]

Thanks Kevin , but I was hoping maybe 1 member of DRTV worked for the IRS and could explain if the 12/09/02 had any meaning, and yes I will wait a couple of weeks to see if anything turns up, I did have trouble about that time because I had a unexpected windfall of 50,000 dollars, not in cash, but a loan forgiveness, ( never heard of that? I had not ), my home loan was attached to a bond, the bond matured early, and law says, any loan attached to the bond is forgiven, weirdest thing, however, I got a 1099 for 50 grand and change, imagine at your current witholdings, you tack on 50g's and it moves into a wildly different tax bracket. We filed for an extension for the extra cost, but as I found out later, my wife never actually filed the return, and after a few years said I owed 14g's to the Treasury, as you can imagine, I was devastated, I called the IRS agents, who were not helpful, until I just stuck with it, they said I had held jobs all over the country, at the same time, including, carving beef in Kansas,  the agents were playing hardball, but after talking to them many times, had an agent, finally tell me, sir you did not file a return. I went to the local IRS office, with my w2's and a RETURN, and in the end, I got 2-3 hundred back. Best advice I ever got, go to the local office and talk to people face to face, those people were a great help, and had a good attitude, told me exactly step by step how to get myself out of the situation.

No I did not claim the " making work pay credit " but maybe they applied it after the fact?

If there are any members who are good at social security, my wife is 100% permanently disabled, and cannot get disability because I make TOO MUCH money, I make less than 100k a yr, and why should that matter, we actually talked about an agreed legal only divorce, so she can collect what to my sense, she has a right to, as much as anyone. If she survives me, and she probably will, then she can collect, but of course my IRA will not pay her, until my dead body reaches 65, without penalty.

Thanks for all the replies.

[PegLeg45]

Benny,

I'd talk to a lawyer (if you have not already) on the specifics of the Social Security thing. I thought that the only area where spousal income played a role was concerning SSI, which is an addition to regular Social Security Disability. I thought (don't quote me on it, though   ) that if someone has paid in enough work hour quarters, they were eligible, if physical requirements were met.

Peg

[Timothy]

Benny,

I'd talk to a lawyer (if you have not already) on the specifics of the Social Security thing. I thought that the only area where spousal income played a role was concerning SSI, which is an addition to regular Social Security Disability. I thought (don't quote me on it, though   ) that if someone has paid in enough work hour quarters, they were eligible, if physical requirements were met.

Peg

I have a wife collecting SSI disability, Chuck is correct that if your wife worked and earned enough credits she SHOULD be elegible to collect something.  The amount may not be much depending on the credit actuary but it might help.  It would also qualify her for Medicare Part A at no cost and allow her to pay for Medicare Part B which is getting more expensive.  Your insurance will always be the primary so we (my wife) doesn't bother to purchase it.  It just doesn't cover enough to justify the premiums.

It took us over two years fighting with the Social Security offices to get my wife qualified but it was worth it for her.  Back then they paid you back to the original claim date so her first check was about 9K.  There are lawyers that can help you in the fight but that's another cost that can be difficult to manage and nothing is easy.  I have a friend who's husband has been fighting for this for ten years but he was self-employed and I don't know how that changes things.

Good luck, PM me if you wish.  Get yourself down to the SS offices and get in their face, like the IRS, they can't hang up on you if your sitting in a chair in front of their desk.  BTW, I make pretty good money today but was relatively low income 15 years ago when my wife qualified, I don't really know if that has any bearing on the claim, my wife says it shouldn't matter.

Tim

[Sponsor]

[tombogan03884]

Thanks Kevin , but I was hoping maybe 1 member of DRTV worked for the IRS and could explain if the 12/09/02 had any meaning, and yes I will wait a couple of weeks to see if anything turns up, I did have trouble about that time because I had a unexpected windfall of 50,000 dollars, not in cash, but a loan forgiveness, ( never heard of that? I had not ), my home loan was attached to a bond, the bond matured early, and law says, any loan attached to the bond is forgiven, weirdest thing, however, I got a 1099 for 50 grand and change, imagine at your current witholdings, you tack on 50g's and it moves into a wildly different tax bracket. We filed for an extension for the extra cost, but as I found out later, my wife never actually filed the return, and after a few years said I owed 14g's to the Treasury, as you can imagine, I was devastated, I called the IRS agents, who were not helpful, until I just stuck with it, they said I had held jobs all over the country, at the same time, including, carving beef in Kansas,  the agents were playing hardball, but after talking to them many times, had an agent, finally tell me, sir you did not file a return. I went to the local IRS office, with my w2's and a RETURN, and in the end, I got 2-3 hundred back. Best advice I ever got, go to the local office and talk to people face to face, those people were a great help, and had a good attitude, told me exactly step by step how to get myself out of the situation.

No I did not claim the " making work pay credit " but maybe they applied it after the fact?

If there are any members who are good at social security, my wife is 100% permanently disabled, and cannot get disability because I make TOO MUCH money, I make less than 100k a yr, and why should that matter, we actually talked about an agreed legal only divorce, so she can collect what to my sense, she has a right to, as much as anyone. If she survives me, and she probably will, then she can collect, but of course my IRA will not pay her, until my dead body reaches 65, without penalty.

Thanks for all the replies.

They may very well have done that . When I did mine , I did not think I qualified for that deduction, I got a letter from IRS saying that my math skills suck and instead of $300, I only owed $43. (There was a money order on the way with in minutes so they did not have time to change their minds    )

Tim and Peg are 100% right, Be polite, be reasonable and be there until they give you what you want.
"Yes", means you win, "No", means you need to be more calm, more polite, and more annoying.  

[Timothy]

Tim and Peg are 100% right, Be polite, be reasonable and be there until they give you what you want.
"Yes", means you win, "No", means you need to be more calm, more polite, and more annoying.  

+100

For Suzy, I must have written 50 letters over two years to the Boston offices of Social Security.  We joke now that I either just wore them down until they submitted or baffled them with BS and very good writing skills.  Some of the letters were classic, I wish I still had the files from my old PC but they went bye, bye some time ago.

The last letter I wrote all those years ago began with the Websters Dictionary definition of dissabled and went on from there.  I convinced someone and it worked.  It ain't much but it makes her feel that she's contributing.

[fightingquaker13]

+100

For Suzy, I must have written 50 letters over two years to the Boston offices of Social Security.  We joke now that I either just wore them down until they submitted or baffled them with BS and very good writing skills.  Some of the letters were classic, I wish I still had the files from my old PC but they went bye, bye some time ago.

The last letter I wrote all those years ago began with the Websters Dictionary definition of dissabled and went on from there.  I convinced someone and it worked.  It ain't much but it makes her feel that she's contributing.

A libertrian friend of mine justified his SSI by calling it "tax reclaimation". He was right. You paid it into an insurance pool and if you qualify, you should get it. Its no different than haggling with Allstate. The only difference is that you didn't get a choice as to whether you bought in.
FQ13

[GUNS-R-US]

If there are any members who are good at social security, my wife is 100% permanently disabled, and cannot get disability because I make TOO MUCH money, I make less than 100k a yr, and why should that matter, we actually talked about an agreed legal only divorce, so she can collect what to my sense, she has a right to, as much as anyone. If she survives me, and she probably will, then she can collect, but of course my IRA will not pay her, until my dead body reaches 65, without penalty.

Thanks for all the replies.

I think your IRA should be available at 60 without penalty instead of 65. And I agree with the other guys get a lawyer for the SSN stuff. That is if she worked for the benefits. If she is claiming on your SSN then I think it might be different.

[billt]

Second, when many people say they don't "owe" any taxes, what they mean is they overpaid on their withholding.   That may make some feel good, but it means you loaned the government money tax free.   So I wouldn't brag about that myself.

While that is true on paper, it isn't in practice. Most people can't, don't, or won't save money. Last year nationwide, this country was in the minus column. Overall Americans spent more than they earned. Give someone an extra $50.00 a week on their paycheck and most will manage to make it disappear with bad daily spending habits. Dump it in a lump sum in the form of a $2,600.00 tax return and the chances at least improve they will do something good with it, or at least less damaging.

My tax guy tells me horror stories every year about couples in high income brackets that don't have enough withheld, and wind up having to write checks with money they don't have. Taking out a loan is bad enough in any situation. Having to do it to pay your income tax is inexcusable. Yet, many are faced with that problem. Most of this nation needs to take a class in economics 101.  Bill T.