Prior year extensions


#1

I have a client that I filed a 2014 amended return for. The return was filed after April 15th so I assume they file an extension. The amended return was rejected but the client said that they did file an extension. What type of transcript do I use to get information on the filing of a 2014 extension?


#2

Tim,
You won’t really be able to get much info on the 2014 extension filing. However, if you pull an Account transcript, it should indicate if you client did indeed submit the request.

Keep in mind there are 3 types of transcripts we can pull: Return transcript (showing what appeared on the actual return), wage/income transcript (all income reported from third party sources), and account transcript (the actions taken on the specific year). You may want to pull all of them, so you have all the info you need!

Hope this helps,
Jeff


#3

Thanks Jeff. You made a comment on a different post stating that if a tax practitioner wanted to start in the tax resolution area, Canopy offers a great way to do it. What support does canopy provide for someone who really is just trying to learn the basics of tax resolutions and proper forms to pull?


#4

Tim,
Great question. The key to starting out in resolution is self development. Reading materials, attending seminars and CPE/CE classes regarding resolution, and repetition of case work. Canopy can assist with a couple of these, which can be accessed through the purple “?” button at the bottom right of the app.:

  • E-books on various resolution topics
  • Free CPE/CE training

Outside of Canopy, reading the Internal Revenue Manual (IRM), section 5, would provide a good understanding of the collection process. The IRM is the operating manual of the IRS. It tells them what they need to do in almost every situation they come across. It was required reading when I was a Revenue Officer with the Service.

Finally, there are individuals who also provide coaching, mentoring, or just plain guidance on cases and procedure (much like this forum). It may be beneficial to have someone in your corner when starting out, but remember…nothing in life is free.

Thanks,
Jeff