What is the name of your state?What is the name of your state?What is the name of your state? Pennsylvania
My deceased father's Estate is in Pennsylvania, I live in California.
Here is the problem:
My Father died in December 2003
Our Estate Attorney failed to seek or consult a CPA regarding Our Father's Estate. He filed a Pennsylvania Inheritance return late without previously applying for extensions or paying estimated taxes. We (the beneficiaries) were under the mindset that no Federal taxes were due since box#5 of the state return was not checked.
We were told by his paralegal that she actually prepared the return for the state.
When asked if there was anything that could have been done about the State penalties, she told us no, there is no recourse. We have learned that is not true. We also learned that only a CPA an Attorney or enrolled Agent is allowed to prepare a return.
We noticed that the Attorney, signed the return as the preparer. The executor and Attorney both signed under penalty of perjury that all the information was correct and reviewed according to the best of their knowledge.
upon review by my sister's tax preparer, it was learned that indeed a 706 should have been prepared and filed with the state's return.
The Attorney after informed by our tax preparer is in the process of now having a CPA file a 706 and at the same time denying all responsibility. He has not answered 14 pertinent questions by the tax preparer since April of 2004.
He is saying that all interest and penalties should be paid by the beneficiaries.
We have tangible written and verbal evidence that the Attorney was negligent in the performance of his duties. With this in mind, who is actually responsible for the Federal interest and penalties?
Thanks,
Thos
My deceased father's Estate is in Pennsylvania, I live in California.
Here is the problem:
My Father died in December 2003
Our Estate Attorney failed to seek or consult a CPA regarding Our Father's Estate. He filed a Pennsylvania Inheritance return late without previously applying for extensions or paying estimated taxes. We (the beneficiaries) were under the mindset that no Federal taxes were due since box#5 of the state return was not checked.
We were told by his paralegal that she actually prepared the return for the state.
When asked if there was anything that could have been done about the State penalties, she told us no, there is no recourse. We have learned that is not true. We also learned that only a CPA an Attorney or enrolled Agent is allowed to prepare a return.
We noticed that the Attorney, signed the return as the preparer. The executor and Attorney both signed under penalty of perjury that all the information was correct and reviewed according to the best of their knowledge.
upon review by my sister's tax preparer, it was learned that indeed a 706 should have been prepared and filed with the state's return.
The Attorney after informed by our tax preparer is in the process of now having a CPA file a 706 and at the same time denying all responsibility. He has not answered 14 pertinent questions by the tax preparer since April of 2004.
He is saying that all interest and penalties should be paid by the beneficiaries.
We have tangible written and verbal evidence that the Attorney was negligent in the performance of his duties. With this in mind, who is actually responsible for the Federal interest and penalties?
Thanks,
Thos
