Mother fraudulently used Credit

Everything Hedwig has stated is spot on, and I fully agree that C should demand copies of tax returns from the CPA.

I fully appreciate the etiquette surrounding your area, but a "nice smile and compliment" does not make up for being taken advantage of. These records impact C, and as Hedwig stated, the IRS has up to three years to audit, this includes C! She doesn't need that right now.

But stick to the plan;
1) Write the CPA and inform him that you are filing your own return for 2007, and you are not to be included on your mother's return.

2) Request copies of (ALL) your tax returns from the IRS, and ask for any amended returns as well.

3) Request in writing from Mom's CPA all copies of tax returns w/ C's SS# on them, she has a legal right to them.

4) Request from the CPA copies of all 1099s issued against the trust account. The CPA has some records of the money trail, I am certain of that!

If the CPA gives you resistance, then (sweetly) state that you "don't want to go through the trouble of calling the IRS for this information"! He will not want that, I assure you! (though you will anyway!)

This is not that complicated a situation, mostly getting the prior years returns, and alerting the IRS (as you have done).

 

I knew there was something else that you could get relatively quickly, but I didn't remember what it was called. Years ago I had to get one for my own financial aid applications. The IRS was taking too long to get it to me (this was pre-fax). Being young and impatient I contacted my Congressman's office, told one of his staffers a sob story (I was very upset about the possibility of not getting aid due to not having the information). The upshot was I got 3 transcripts from three different IRS offices in PA. Sometimes it pays to pester your Congressman (after, it's not like he's doing anything ).

 

I'm a government employee myself and I agree. Unfortunately there are people like that, usually they're good pals with someone with some kind of power and more or less behaved themselves until they were out of the probationary period. After that it's hell to try and get rid of a government worker (at least in the agencies that I know of). We call people like that, "retired in place". They've quit working they just haven't left the building.

 

We always called them ROAD--"Retired On Active Duty."

Of course, most of the agencies and companies I have worked for or with had some connection to the military.

 

Same theory. We're civil service so we're a little less military. Though due to veteran's preference we do have a lot of ex-military and reservists working in my agency. I always thought that was fair, if you're willing to get your a@@ shot off for your country then the least we can do is add 10 points to your civil service test score. I can be blase about it I did very well even without the "veteran's 10".

 

Why worry? When dealing with the government and the police the victim often gets punished as well. I've seen it happen many times. That's why I didn't recommend getting them involved and suggested you ask anonymously. Just don't let your guard down. You "poked the bear." You now have the attention of organizations who don't care who they hurt to accomplish their goals. The IRS isn't there to resolve family sqabbles. They are there to get paid and uphold what they think is the law.

 

Regretfully, I must agree with this statement. Once the "bear" is poked, then someone must fed to him, and often these agencies don't care who it is. They are just like any other job, and must justify their performance. It's often more about the "numbers", than justice or truth.

Just exercise caution when you step into this arena; I don't think C's mom would hesitate to throw back at C.

 

"Here we supported our daughter for all these years and this is the thanks we get." "Now that we finally cut her off so she can live life on her own she goes to the IRS with lies to spite us."

 

I think there's plenty of proof in this case as to who did wrong.

It's the simple (or sometimes not) process of "follow the money."

 

Whatever happens...I don't think they will try to mess with my taxes anymore! Standing up for myself is worth it to me.

 

As long as they have more to lose than you, they will end up getting the short end of the stick no matter what.

I've heard people who are on welfare refer to having another child as "getting a raise," and the wealthy people see their children as a writeoff. What a world!

 

But you have to look at it from the IRS's point of view. Why would they go after C, who has filed a return only a few years, and probably paid her taxes as required, when they have a FRAUD case that can go back as many years as they want against people who have obviously taken any route they can to avoid taxes. I'm sure they want to enlist the help of C and the brokerage firm, as that helps make their case against the parents. The brokerage firm wants to help, because THEY sure don't want the IRS and any other regulatory agencies after them.

 

Yes, they are going to want the insure that they get the help of C. and the brokerage firm. How do you think that's done in the world of law enforcement? By being nice to the witness? No, they get something on the witness and use that as leverage.

Being that I have friends and family who are lawyers I hear these stories all the time. It's disgusting.

 

At this point, I think C has to make up her own mind as to proceeding. Yes, she must be aware that any legal investigation brings its own stress and pressure.

This crossroads highlights a step I had recommended at the outset, that C needs to determine exactly what her objectives and goals are, what she is willing to do, and/or not do. Without this foundation of mission and objective, situations like this only compound stress and worry.

Perhaps this is a time to reconsider those objectives, and plan accordingly. There is a tremendous amount here to consider; money, credit, emotional and psychological factors, family, on and on.... This will be a discovery period for C, who she is, and what her values are. No doubt that she will come out a stronger person, but it will be a very trying process.

So, C, make up your own mind as to what you're comfortable with in all of this.

 

Re: qualifying for financial aid, C should be able to get the information by requesting the tax return forms from the IRS. If she was included on her parents' return, then she has a right to the form, and hence the information.

 

Ding, Ding, Ding, you have won the prize

C's mom is in hot water, it is like shooting yourself when you sign a tax return for another person and that is what she did. (on the ammended return)

I apologize for my fellow IRS employees, but let me give you a scenario to explain why the person on the line was rude.

Phone call:

Taxpayer:
I filed my tax return 3 days ago, where is my refund like H&R Block Promised.

Agent: Dear Taxpayer, we must first go through disclosure to determine if you are the person who should be calling on this, Can you give me your name, address, social security number, what was your filing status.

Taxpayer:
I don't know what is my filing status, dammit, I just want my RAL.

Agent: I can't access your account until you answer the question.

Taxpayer:
You people are always trying to mess with me. Here is my information.

Agent: Ok, ma'am it takes the IRS 3 weeks to process an electronically filed returned and 6 weeks for a paper return. The RAL is an refund anticipation loan offered by H&R Block.

Taxpayer: So who should I be talking to right now about my money???

Agent: You need to call H&R Block and ask if you qualified for the loan, I just show that we accepted the return and that it is not being processed right now.

So folks, imagine about 400 calls for one agent just like this in an 8 hr period with various issues such as that or the refund was intercepted for child support, student loans, or other liabilities. Of course the agents are stressed.

As far as C's mother, what she did is common, illegal, but common, and once the blood scent is out, this will cause an extensive examination of all of her filing. Especially if she did not file your interest income over 1400 on her tax return or any of the monies removed on the tax returns. Remember, most items are taxable and the IRS feels that someone must pay the taxes if not your mom.