webman2348
Junior Member
What is the name of your state?MI
I have received a CP-2000 notice
It is mainly regarding IRA contributions. I did not have a retirement plan all through the year. My wife had two jobs in the year. The first job lasted about 7 months in the year without retirement plan and then she took a break. However the second job started in last week of November. Her second W2 is marked indicating she had retirement plan at work.
Since she did not have a Retirement plan for major portion of the year we both contributed $3000 each. However IRA sent a CP-2000 notice saying her contributions were invalid because she had retirement plan at work. They have asked us to pay back taxes and penalty on it amounting to $1000.
What are my options to avoid these additional taxes and penalities? Can I settle for anythin less than $1000?
Thanks,
I have received a CP-2000 notice
It is mainly regarding IRA contributions. I did not have a retirement plan all through the year. My wife had two jobs in the year. The first job lasted about 7 months in the year without retirement plan and then she took a break. However the second job started in last week of November. Her second W2 is marked indicating she had retirement plan at work.
Since she did not have a Retirement plan for major portion of the year we both contributed $3000 each. However IRA sent a CP-2000 notice saying her contributions were invalid because she had retirement plan at work. They have asked us to pay back taxes and penalty on it amounting to $1000.
What are my options to avoid these additional taxes and penalities? Can I settle for anythin less than $1000?
Thanks,