IRS requesting 2001 FORM 1120. Can't find it.

[captainfant]

What is the name of your state? Florida
I have never missed a filing to the IRS. I have an S corporation and have always submitted my tax returns on a yearly basis. I just received a letter stating that they want Form 1120 for 2001. I managed to find my 1040 for that year but not the corporate return. I believe they misfiled my return since my 1040 is based on the 1120S so I know for a fact I sent it in.

Another thing is that they are requesting an 1120 and not an 1120S in their letter. S corporations file the 1120S. What can I do in response? My accountant recommends to write a letter stating the loss? Thanks.

 

[irsos]

IRS and 1120 Return

You may have two problems. The first is of course the filing of the 2001 corporate return. Unless you can prove it was filed, you will have to file it again. The second problem may be the Sub S election. It may be they are asking for an 1120 because they never received a timely file Sub S election. That will mean that all open returns need to be amended.

Mike Wellman
[email protected]

 

[captainfant]

I became an S corporation in 1996 so I do not see a problem there or am I misunderstanding what you are saying? I have proof of S corp status from 1996 too. They accepted all my other returns with an 1120s.

 

[irsos]

1120 Lost

Then you just have one problem. Writing a letter telling them you lost it is a waste of time unless you can prove you filed it. Stating you filed a 1040 based on the 1120A is not proof. Otherwise, you will need to file it again.

Mike Wellman
[email protected]

 

[LdiJ]

You may have two problems. The first is of course the filing of the 2001 corporate return. Unless you can prove it was filed, you will have to file it again. The second problem may be the Sub S election. It may be they are asking for an 1120 because they never received a timely file Sub S election. That will mean that all open returns need to be amended.

Mike Wellman
[email protected]

Did you do the 1120S yourself or did you use a paid professional? If you used a paid professional they may still have a copy of your 1120S on their computer system. They won't be likely to have a paper copy, but they may well have it on their system.

 

[captainfant]

I did have a paid professional do it and unfortunately they do not have it either. I don't understand how something so important as a corporate tax return can be misfiled and now I have to present a copy 6 years later. The IRS should have it somewhere. This whole situation is very bothersome since I know I never have missed a return. I don't understand why I was not asked for it in 2002 or 2003.

 

[irsos]

Record Retention

I did have a paid professional do it and unfortunately they do not have it either. I don't understand how something so important as a corporate tax return can be misfiled and now I have to present a copy 6 years later. The IRS should have it somewhere. This whole situation is very bothersome since I know I never have missed a return. I don't understand why I was not asked for it in 2002 or 2003.

The preparer was not required to hold on to it that long, but most reputable preparers maintain records longer than required. We maintain all returns in hard copy for seven years and electronically indefinitely. Fixed asset records are kept for the useful life of assets plus three years. We still have electronic files of returns going back to 1988.

Mike Wellman
[email protected]

 

[LdiJ]

The preparer was not required to hold on to it that long, but most reputable preparers maintain records longer than required. We maintain all returns in hard copy for seven years and electronically indefinitely. Fixed asset records are kept for the useful life of assets plus three years. We still have electronic files of returns going back to 1988.

Mike Wellman
[email protected]

We don't keep the hard copies that long, but we do keep the electronic copies as long as they still function with our computer equipment, and keep the backup tapes permanently. We have 1995 and forward on our server now.

 

[captainfant]

Then you just have one problem. Writing a letter telling them you lost it is a waste of time unless you can prove you filed it. Stating you filed a 1040 based on the 1120A is not proof. Otherwise, you will need to file it again.

Mike Wellman
[email protected]

You think its a waste of time even if I was in a hurricane affected area where damage and flooding was extensive which may have contributed to the loss? Thanks for the initial and follow up responses.

 

[irsos]

Lost 1120

You think its a waste of time even if I was in a hurricane affected area where damage and flooding was extensive which may have contributed to the loss? Thanks for the initial and follow up responses.

A natural disaster my have a bearing on possible penalty abatement but not on fulfilling the requirement that it be filed. You can't just reference a possibility that a hurricane may have prevented the return from making it to the Service Center. You are going to have to prepare the return again and mail it.

Mike Wellman
[email protected]

 

[captainfant]

There is also a chance that they misfiled and that my 1120 is at another IRS location but I do understand what you are saying. Hopefully they can do some more research on their end and find it.

 

[irsos]

Lost 1120

There is also a chance that they misfiled and that my 1120 is at another IRS location but I do understand what you are saying. Hopefully they can do some more research on their end and find it.

You do not understand how the IRS works. They are NOT going to do any research. They have said they do not have the return and it is up to you to file another or prove it was filed. Proof is certified mail or some other third party verification.

Mike Wellman
[email protected]