Taxes - Tax Tips for Seniors

A lot of media attention has focused on the difficulies some people experience dealing with the IRS. Following is a list of your rights as a taxpayer.

1. Protection of Your Rights - The IRS will explain and protect your rights as a taxpayer.
2. Privacy and Confidentiality - The IRS will not disclose to anyone the information you give, except as authorized by law. You have the right to know why the IRS is asking you for information, how they will use it and what happens if you do not provide requested information.
3. Professional and Courteous Service - If you believe than an IRS employee has not treated you in professional manner, you should tell the employee's supervisor. If the supervisor's response is not satisfactory, write to your IRS District Director or Service Center Director.
4. Representation - You may either represent yourself, or with proper written authorization, have someone else represent you. You can have someone accompany you at an interview. You may make sound recordings of any meetings with examination or collection personnel, provided you tell the IRS in writing 10 days before the meeting.
5. Payment of Only the Correct Amount of Tax - You are responsible for paying only the correct amount of tax due under the law-no more, no less.
6. Help From the Problem Resolution Office - Problem Resolution Officers can help you with unresolved tax problems and can offer you special help if you have a significant hardship as a result of a tax problem. For more information, write to the Problem Resolution Office at the District Office or Service Center where you have the problem, or call 800/829-1040 (800/829-4059 for TDD users).
7. Appeals and Judicial Review - If you disagree with the IRS about the amount of your tax liability or certain collections actions, you have the right to ask the IRS Appeals Office to review your case. You may also ask a court to review your case.
8. Relief from Certain Penalties - The IRS will waive penalties when allowed by law if you can show you acted reasonably and in good faith or relied on the incorrect advice of an IRS employee.

Common Tax Mistakes

• Checking more than one box for your filing status.
• Using the wrong tax table for your filing status.
• Failing to include all dependents' names.
• Checking incorrect exemption boxes.
• Making math errors.
• Entering withholding/estimated taxes on the wrong line.
• Make sure you enter your name and social security number exactly as it appears on your social security card.

Another common error to watch for: people go to all the trouble to prepare a return, then forget to sign it. Be sure to sign and date yours. It's probably the easiest way to avoid delays and possibly a penalty.

Resources

AARP Tax-Aide
888/227-7669
Web site: http://www.aarp.org/taxaide/home.html

Starting every year in mid January, IRS trained tax aides offer help to those 60 and over with low-or-middle income to prepare local, state and federal returns at no charge. Please call to locate the Tax Aide site nearest you.

IRS Information
The IRS provides a great deal of free information. The following are sources for forms, publications and additional information:

• 800/829-1040- Basic Tax information
• 800/829-3676-Forms and Publications
• 800/829-4059 for TDD Users
• 703/487-4160-IRS FAX Forms
• Web site: http://www.irs.ustreas.gov