I do my taxes on turbotax, with a lot of assistance from my dad. Have had no issues before, in 2017 I needed to get my own car so I redeemed some savings bonds. We were a little confused about how to put those into my taxes but we did our best and believe we did it right. Fast forward a year I get a cp2000 letter from the IRS (and I know it's not fake, i called a assistance center and they had this information on file) claiming I owe $2k.
The letter is a proposed change, there are a few numbers where it shows what I put and then what they are changing it to. the gist is they are saying I never claimed the savings bonds, and also for some reason or another my college costs they changed to 0. I called the assistance center and talked to someone, basically got from her A. taxes show I didn't claim the savings bonds and B. I needed to fill out a 1098T form for schooling stuff (the first i'm hearing about this form). She suggested disputing the letter, filling out a 1098T and amending it.
Now a couple of questions: 1. Where do I get a 1098T? Do I send it with my reply letter disputing the cp2000? Do I need to show any other proof that I did indeed pay for school? I have went back to the college site and can show the amount I paid out of pocket, don't know if they need that information or if the 1098T form will be all I need.
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Is there anything I can do about the savings bonds? I have the document I got in the mail giving me the information I needed to put my savings bonds into my taxes (and it has pen markings on it where we definitely were putting down the savings bond numbers and totaling up numbers) - but since we did it wrong in some capacity on the refund it shows i just straight never claimed it. Which maybe I did mess it up that bad-and the only proof that I have to say I tried to put em on there is that document.
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what all do I need to do to dispute the letter? Do I need to type out a formal letter explaining the situation or do I just throw the 1098T in with the original letter, marked dispute, and then send it off?
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and the one most worrying to me, from what I can gather any time I wait, postpone, or even agree to pay but use a payment plan - the owed amount will accrue interest and penalties. Makes sense, sure, but the person from the assistance center said if i dispute expect to hear back in 6 weeks. And if there's nothing I can do about the savings bonds-that's still more than half the owed amount accruing interest and penalties, would it even be worth disputing it at that point? It's it possible that I should just pay it so it doesn't grow? Though I guess the answer to that depends on the answer to #2.
Submitted April 15, 2019 at 09:45AM by KlawwStrife http://bit.ly/2UExauc
