Got threatening letter from AL Tax Office today-HELP!

OK, we e-filed our taxes 2/23, were getting ready to mail the check in (yes, we owed) uncomplainingly (wanted to keep the money until the 3/30 interest was earned). Got a letter from Alabama Dept. of Revenue stating that if they don't have the check within 10 days they would turn it over to collections. Do we not have until April 15th? Or is that just for federal? Also in a separate letter I got notice that we are going to be audited and I have to MAIL IN all the receipts for our Schedule A Itemized Deductions by APRIL 23rd!!! I'm wondering if I should demand a face-to-face audit. Any thoughts from any legal eagles or tax folks?? Help!
Original Post
Have an attorney or your accountant handle it (preferably both), it is well known that ADOR has a lot of problems and screw ups. The AL dept of revenue makes the IRS look angelic in comparison.
If you do choose to handle it without an attorney or accountant involved I would only send them copies of documents, receipts, etc (no originals), they have a habit of losing things. Additionally send everything certified mail with a return receipt request.
There are a couple of local attorneys that I know of that handle tax issues however there is an attorney in Decatur named Mike Seibert who I would highly recommend.
Yeah, Jeepin', I know you are waiting on my payment to get your refund, that's why I'm holding out until the 15th! Razzer
Thanks, BFred07, I'm hoping I can do this without having to get an attorney but you are wise to suggest the certified mail. I never mail original anything but hadn't thought about the mail part.
I'm not worried because everything we claimed is legit, but it's just the sheer volume of work to get it all together that's intimidating.
Thanks!!!
You do have til April 15 for state, don't you?

Why don't they just hire someone to call you every day and say, "Did you send it? You're going to send it, aren't you?"

Are they trying to speed up the payment so they can get on with the audit? Or did they decide to audit you when you didn't send the check right away?

I sure wouldn't handle this alone if I were you. Sounds like the deck is going to be stacked against you. I would expect them to play dirty.
quote:
Originally posted by JaneYIS:

I'm not worried because everything we claimed is legit, but it's just the sheer volume of work to get it all together that's intimidating.
Thanks!!!


Does not matter if it's legit, auditors want proof (often beyond just a receipt) and several will not take the initiative to ask for deductions to be substantiated and just discount items as not deductible. If you are not using an attorney, I would on every copy of any receipt, cancelled check, etc write down exactly what the expense was for and the reason for it.
True story here, once while being audited I had several canceled checks to my doctor, since I had not written down what they were for and just labeled them as medical (figured this was common sense and didn't need to explain any further) the auditor said "how do we know you were not just buying a car or something from him". Anyway, I had to have my doctor print off statements showing what the charges were for before they would allow the deduction. ADOR is not a bunch of nice or fair people, if they go through the trouble to audit you they look for anything that could in any possible way be a problem and will bend the rules to find one.
You have until April 15th to pay it according to my tax lady. The coupon that goes with your payment has it April 15th on it as the due date. Not sure why ADOR would be calling or writing demanding money. Are you sure the letter was legit? I'd take the letter to my tax person and have them respond for you. Mine always handles stuff like that for me.

If they can demand you pay it within 10 days then I should be able to demand they pay mine immediately since I filed my taxes the first of February and haven't gotten my $50 back yet.
I called the phone number at the bottom of the letter (it was to the Revenue Office) and guess what? A live person answered! I asked her and she said that they have a new computer program and it automatically sends out those letters and don't worry, we have until 4/15. I guess Eastside and Jeepin' will have to wait a little longer for their refund! Roll Eyes
I also asked some questions about documentation for the deductions and she was very helpful and I told her how nice it was to have the phone answered by a person instead of a machine. I also asked if she had been getting a lot of phone calls about the letter and she said yes. I feel for her.
quote:
Originally posted by JaneYIS:
I called the phone number at the bottom of the letter (it was to the Revenue Office) and guess what? A live person answered! I asked her and she said that they have a new computer program and it automatically sends out those letters and don't worry, we have until 4/15. I guess Eastside and Jeepin' will have to wait a little longer for their refund! Roll Eyes
I also asked some questions about documentation for the deductions and she was very helpful and I told her how nice it was to have the phone answered by a person instead of a machine. I also asked if she had been getting a lot of phone calls about the letter and she said yes. I feel for her.


It might be nice to make a big state wide announcement about this new computer system. Someone might have a heart attack when they get that letter!

I wish the audit had been a mistake too.

Add Reply

Likes (0)

×
×
×
×