Abby Normal
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Joined: Dec 22, 2010 12:31:49 GMT -5
Posts: 3,501
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Post by Abby Normal on Aug 25, 2014 11:06:50 GMT -5
Dh's father passed away a few months back. We found documentation that he owed back taxes of about 8 grand. The payment plan had just been set up so we were making the payments until his mobile home and car could be sold.
Well as it turns out he doesn't owe 8. He owes 35k. Which is more than the "estate" is worth.
So two questions:
1. Before paying the IRS can we take back what we've have paid out for his final expenses. Mostly burial, park rent, utilities and the taxes payments.
2. How do we deal with the value of his personal items. We donated all the possessions to various charities. Thinking that he only owed 8 and didn't need to fuss with selling the furniture and such? Will the IRS want the value of those items as well?
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mwcpa
Senior Member
Joined: Jan 7, 2011 6:35:43 GMT -5
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Post by mwcpa on Aug 25, 2014 12:57:00 GMT -5
You should not have been making "his" payments....you should stop doing that immediately.
If you paid for expenses of the estate you, like the IRS, may have a claim against the estate and to address this properly you will need an attorney to advise you as to your legal rights against the estate.
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Abby Normal
Senior Member
Joined: Dec 22, 2010 12:31:49 GMT -5
Posts: 3,501
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Post by Abby Normal on Aug 25, 2014 18:14:05 GMT -5
You should not have been making "his" payments....you should stop doing that immediately.
Because the agreement had just gone into effect, the IRS said that we needed to to avoid penalties and interest. At that time, we thought there was only 8 k due based on the paperwork from the IRS. However, it appears now that was a "preassessment" according to the IRS. In other words, they hadn't finished yet. |
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mwcpa
Senior Member
Joined: Jan 7, 2011 6:35:43 GMT -5
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Post by mwcpa on Aug 25, 2014 19:30:56 GMT -5
Then you should stop now.... You are not obligated to pay someone else's taxes....
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rangerj
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Joined: Jan 21, 2011 13:39:35 GMT -5
Posts: 242
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Post by rangerj on Aug 27, 2014 18:36:00 GMT -5
Note: As stated above STOP making payments and/or distributions out of the estate to ANYONE until you see an attorney. IF you are the executor of the estate there may be legal problems if you make payments, depending upon who you pay, and what obligations or agreements exist. There is a statutory provision in the Federal tax code that provides for transferee liability that can also be a problem. See an attorney with estate tax and IRS collections experience.
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TheOtherMe
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Post by TheOtherMe on Aug 27, 2014 21:52:41 GMT -5
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