Amended Return

[Acownt4it]

I am hoping to get some suggestions for a letter I need to write to IRS Area Examiners Office in Mission, KS regarding an amended return for 2004. They are kind of jacking me around in regards to this return and I am not sure how much (if any) pressure I need to put on them for answers.

Facts:
TP died in 2004. Original accountant filed an Estate and Personal Tax return but did not distribute income to reflect b/4 and after death and failed to report sale of stocks (after death) on the estate return with a stepped up basis. Consequently, the trustee over paid taxes to the tune of $25,000 for the capital gains on the personal return.

I filed an amended return in August of 2005 for the Estate and personal. I have called the hotline 6 times in the past 6 months. Their reply has been that someone from the examiners office would call me. No one has. I called today, they finally gave me the examiner office number. I called, the agent there told me that the return was sent to the Area office, and that are absolutely no notes in the system regarding this return, therefore she couldn't tell me anything because as far as she is concerned it doesn't exist yet. She then instructed me to write a letter to the Area office and ask for an explanation why this is held up.

I need some assistance with the correct verbage for this letter, I have never faced this situation before.

P.S. I also filed amended returns for the beneficiaries that owed additional taxes for the extra income distribution from the estate (these have been accepted without issue).

[geekgirldany]

The return is probably doing like the one I filed... justing sitting on someone's desk. It sat there for nearly 2 years. I was given the go around too. Called the hotline multiple times and finally given an agent number... but wasn't given the extenstion to the agent. I got tired of it and took it to the taxpayer advocate office.

It sounds to me that they probably don't want to pay out the $25,000 or the person handling it doesn't know what to do with it. The taxpayer advocate office will get it resolved alot quicker I'm sure. I got this amended return resolved in about 2 months with great communication and contact from the advocate handling the case.

That's my recommendation

[Black Bart]

I second dany's motion.

I've only dealt with the Practitioner's Priority Hotline about twice and it was satisfactory, but those were on more or less trivial problems. If I had a tough one like yours, then I think I'd follow geekgirldany's recommendation and call the Taxpayer Advocate Service. I've used them in several cases and all but one went quickly and smoothly. Unlike regular IRS or your contacts, there's no foot-dragging. Things may get held up, but not from apathy/incompetence--the TA reps actually work on and at the problem. I believe they're more efficient because, while coordinating with IRS, they're independent of IRS. They report only to the Washington national TA office and not to IRS.

Like dany said, probably nobody knows what to do with it. Tough cases are unpopular in bureaucracies because the pay's no more for them than for easy ones. There's a good chance yours may languish on somebody's desk for a loooonnnnggg time.

On the other hand, the TA folks seem interested in problems (it's what they do). Numbers: Kansas: 316-352-7506 (each state has one/ they're toll-calls). Washington: 202-622-4300. It's worth a shot. Worst case--they'll say "drop dead" and you won't be any worse off than you are. Besides, who knows, even accountants get lucky once in a while.

[Acownt4it]

Thank You both

for your input. I will try that today and let keep you posted on the outcome.