Friday, March 14, 2008

IRS

I prepared my parents’ 2007 income taxes this year in order to save money. I used popular income tax software to process, after manually working thru the numbers myself. As with last year, I signed the return for them with by Karla Scott. Last year, I had a former IRS CPA prepare their taxes. I prepared them in Miami and mailed it from Miami.

Well, they returned the forms to Chicago, with a note that the taxpayers must sign.

I don’t know why they did not accept my signature this year. Perhaps I should have written POA (Power of Attorney). I contacted the IRS to identify my options.

It seems they are twofold:

1) Complete a form 2848, Power of Attorney and Declaration of Representative Form. This form requires both their signatures, just as the 1040 does.

Or

2) Go online and print blank 1040 form. Manually redo page 2. Have them both sign. Attach to completed, Turbo Tax-typed form. Go back to post office today and mail from Chicago.

I decided to go with option #2 and have them sign their return.

I just realized the form says they had 20 days to resubmit. It has been more than 20 days since the IRS received the return on February 7.

I hope it will be accepted this time so we will not need to file an extension. The refund from Social Security can help to defray Mom’s high January hospital expenses.

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