I found out recently that the IRS hasn’t received my tax forms from February. I contacted the tax office I used, and they claimed they sent them but didn’t explain why this happened. Now, I called the IRS again, and they still say nothing has been received. They also mentioned I could face penalties since the October extension deadline has passed.
I reached out to the tax office again and am waiting to hear back. I’m not sure what to do now or how to handle this with the tax office. Any advice?
Get your return filed and wait for the IRS to send a notice about penalties. Ask your tax preparer to request penalty relief using first-time abatement. If that doesn’t work, ask them to cover the penalties if it was their mistake.
If they refuse, it might be time to find a more reliable tax preparer. There are other ways to request penalty relief, but this should be your starting point.
@Rai
Don’t rush to use first-time abatement for this. Get proof that the return was filed after you signed the authorization form (8879). If they can’t provide proof, ask for their errors and omissions (E&O) insurance details. They might cover the penalties.
Save your first-time abatement for a bigger issue in the next three years—it can only be used once every four years. If this was clearly their error, it’s better to use reasonable cause instead.
@Wynne
Actually, the IRS will apply first-time abatement before reasonable cause. Also, if you’ve had penalties in the last three years, you won’t qualify for first-time abatement.
Zia said:
@Rai
Thanks for clarifying! This makes a lot of sense.
Did they give you a confirmation that the IRS accepted the return? That’s usually standard practice.
If you thought the return was filed, did you at least pay the taxes owed? If you paid before April 15, there wouldn’t be a penalty, even if the return wasn’t filed. If you owed taxes and didn’t pay, that’s on you.
@Dru
This is super important, OP! If you didn’t owe taxes, then late filing doesn’t matter much. Penalties and interest are only added when you owe.
Are you saying your tax preparer didn’t e-file your return? Was it submitted as a paper return instead?
Sloan said:
Are you saying your tax preparer didn’t e-file your return? Was it submitted as a paper return instead?
The tax office said they were sending it electronically.
Sloan said:
Are you saying your tax preparer didn’t e-file your return? Was it submitted as a paper return instead?
The tax office said they were sending it electronically.
Did they say they were sending it or that it was already sent? If it was sent, they should provide proof that the IRS accepted it.
Sloan said:
Are you saying your tax preparer didn’t e-file your return? Was it submitted as a paper return instead?
The tax office said they were sending it electronically.
The tax preparer should have a confirmation from the IRS showing it was received.
Sloan said:
Are you saying your tax preparer didn’t e-file your return? Was it submitted as a paper return instead?
The tax office said they were sending it electronically.
If they didn’t file it, they need to cover any penalties through their errors and omissions (E&O) insurance. But they need to act fast if the e-file window is still open.
Hayes said:
@Logan
The e-file window is still open until the 30th.
Doesn’t seem like OP’s tax preparer is doing much to help.
How did you find out the return wasn’t filed? Did you get a notice or check your account transcripts? If you have unpaid taxes, penalties and interest are still adding up, even with an extension.
If I were you, I’d pull up my IRS account and check my transcripts to confirm. Then I’d ask the preparer to e-file before the 30th if possible. If they can’t, you can mail it in and request penalty relief using Form 843. Just keep in mind, filing late penalties and payment penalties are handled differently. Good luck!
If they didn’t send it, get a copy, print it, and mail it certified so you have proof. Are you owed a refund, or did you owe taxes? If you owed, did you make a payment?
Just because something is sent electronically doesn’t mean it’s guaranteed to reach the IRS. If their system crashes during transmission, it can result in forms not being received.