I don't know what the official policy is of the IRS or state tax depts., but if you have a refund due and pay the penalties for filing late, the longer you don't file with in reason, the more money the IRS and state get to play with your money.
If you owe money, pay what you owe, pay the penalty, and interest, that too is more money for the IRS and state.
That is just my way of thinking so don't quote me or think I know what the IRS, state, local tax people think or do.
A customer of mine is a CPA. He said congress hasn't authorized refund money for the 2007 tax year. The way he said it is the IRS has the authority to collect money but not the authority to pay back over payments for the 2007 tax year.
I thought collections and refunds were part of the same process.
Then there is the Alternative Minimum Tax thing that has to be worked out in congress/IRS and/or? the software people.
I only hear bits and pieces about tax matters because of my brief contacts with accountants that are my printer supply customers and through the church’s “volunteer tax preparers, community service program
We are a bunch of very amateurish but good intentioned people. There is a training program on the internet and our group has some of the training books and meets for 2 hours a week Dec, to April.
