Client filed an extension in April 2005 for her 2004 taxes. With extension, client paid $1000 to IRS and $3000 to California. However, when she came to me in November to file her 2004 tax return, she advised me she only paid $1000 to California, which I carried to her 2004 tax return. Now that I am working on her 2005 return, she gave me documentation showing she paid the $1000 to IRS and $3000 to CA. Should I show the $1000 as a 2005 estimate to the IRS and a $2000 estimate to CA or leave off being the IRS and CA would have already applied these payments to 2004 based on extension??
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peggysioux -
FTB web site
On the FTB web site you can find out what estimated payments have been credited to your client's account for 2005. -
Ftb
I was unable to pull info from FTB - unable to obtain the CNN #. If unable to obtain what estimated payments were applied, how should I handle the payments?peggysiouxComment
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All you need
All you need to get the CSN is name, SSN, and 2004 California AGI. As their tax preparer, you have all that, right? Try again.Comment
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I tried a couple
of times to obtain the CSN #, but going through. You are correct that I have all the info, but, FTB is saying something not correct......
What should I do about the $1000 paid to the IRS that client did not tell me about in November when I did her 2004 return? Should I put it on the 2005 tax return as estimated payment or would the IRS have already applied that money to previous tax returns or the 2004 tax return?
This is a client that owed ALOT of money to both the IRS and CA for several years. In checking with client last night to see when she paid her 2004 taxes, she had thought she paid in December 2005, but looking through the documentation, monies paid were for the previous years owed, so whole thing seems to be a mess.peggysiouxComment
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Monies Paid-IRS & CA
Get a POA & then contact IRS to obtain transcripts of everything they have for the past several years. That way there is no guessing.Comment
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Client is
adamant that return be filed without extension. IRS has been all over her for the previous returns; she hired an attorney last year and had to go to court regarding the past years, so she wants return filed. So, being she waited so late and it is now the weekend, would there be another alternative????peggysiouxComment
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Alternative - Yes
Prepare the returns, ignore any payments that you cannot identify for the returns, then give them to the client to sign and send in. If the IRS has the payments applied to the year 2005 then the IRS will apply them to the 2005 return and notify the taxpayer about these payments and any possible overpayment.Comment
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