SSI Review letter and Phone Interview

[TahoeBorland]

What is the name of your state (only U.S. law)? California
Received a letter in the mail which states: "We received information from computer matching with the IRS. Since this information may affect your SSI eligibiity or payment amount, we would like to discuss it with you.." The letter says "we will call you on that date ..".

The letter continues "When you come in, please bring the information belwo: Bank Statements, Pension records, Pay stubs, the back of paper is a list of things they need which include bank statements,pay stubs,etc. But the last bullet says "PLEASE DO NOT COME IN THE OFFICE AS THIS IS A PHONE INTERVIEW.."

Any idea on what sort of review this is and its implications, since it is over the phone? What sort of preparations are needed? In the 2011 tax return there was a withdrawal from Roth IRA for $7200 in March of 2011 but the money was used to pay bills , expenses and debts. In any case the Roth IRA was funded not by the recipient of SSI but a parent when the student worked part time in 2006. The 'resources' were under $2000 at the time of applying for SSI in August 2011. IRS return shows Wages received in 2011 as $496 and Taxable IRA distributions of $2472, Total income of $2431.

Thanks

 

[Onderzoek]

What is the name of your state (only U.S. law)? California
Received a letter in the mail which states: "We received information from computer matching with the IRS. Since this information may affect your SSI eligibiity or payment amount, we would like to discuss it with you.." The letter says "we will call you on that date ..".

The letter continues "When you come in, please bring the information belwo: Bank Statements, Pension records, Pay stubs, the back of paper is a list of things they need which include bank statements,pay stubs,etc. But the last bullet says "PLEASE DO NOT COME IN THE OFFICE AS THIS IS A PHONE INTERVIEW.."

Any idea on what sort of review this is and its implications, since it is over the phone? What sort of preparations are needed? In the 2011 tax return there was a withdrawal from Roth IRA for $7200 in March of 2011 but the money was used to pay bills , expenses and debts. In any case the Roth IRA was funded not by the recipient of SSI but a parent when the student worked part time in 2006. The 'resources' were under $2000 at the time of applying for SSI in August 2011. IRS return shows Wages received in 2011 as $496 and Taxable IRA distributions of $2472, Total income of $2431.

Thanks

The Roth IRA belonged to the student the minute the account was funded because the parent made a gift to his child in 2006. So the source is immaterial. The transactions that occurred before the application only matter if the money was taken out and kept or transferred in order to hide it from SSI. So, I would guess that there are bank statements that show the money went into the future SSI recipients bank account to pay bills, expenses and debts. That is easy enough to prove then. If there is no paper trail, then I can't predict the outcome.

The taxable implications matter for the IRS. SSI has to make decisions about all income and resources, regardless of what the IRS does.

Apparently the IRA wasn't closed in 2011. All statements of the IRA and bank accounts will need to be submitted to determine if the $2000 resource limit was exceeded at any time since 8/11.