At the tax service place I went to the lady accidentally put that I wasted 2,000 on my education for 2015 and now I got a noticed that I owe the irs 2,000? What can I do?

[Howard1948 · Accepted solution]

I'm not sure what you mean by "wasted 2,000 on my education", but if you claimed a credit for educational expenses of $2,000 that you were not entitled to and the IRS gave you a refund based on that claim, you have no choice but to pay it back to the IRS.

If the "tax service place" you went to is still in business, you should take your information back to them and ask them why this happened and see if they will at least take responsibility for the penalties and interest that may attach to your situation.

[macuser_22]

If the IRS is questioning the educational credits and you had a 1098-T form from the school that had the amount *billed* in box 2 and not the amount *paid* in box 1 then the IRS is sending those letters to many taxpayers.   What they want is your proof by receipts or other proof of payment that you actually spend the box 2 amount on qualified educational expenses, then they will allow it.    Read the letter carefully to see it this is what they are asking for.

[alexis321295]

Thanks Howard, sorry what I meant was that the lady put that 2,000 was my spending in school but I told her I only was taking one class (part time student) but also I was wondering why 2,000 if that’s not even the refund I got!

[Critter]

Sadly when you sign your return you are stating that it is true & accurate so you really need to review the return carefully for accuracy before the return is filed.  If the preparer didn't review the return with you or didn't answer any of your questions then you really need to talk to their manager.   

If you didn't have a 1098-T form  or the 1098-T didn't have the "at least part time" box marked and the preparer gave you the AOC anyway  then you may have a suit for a fraudulently prepared  return. If this is so seek help from a local IRS office.

[alexis321295]

Thanks Critter#2! Yeah like they say, “always check before you sign”! Do you think I can fight the case or do you think it’s too late now?

[macuser_22]

The most that you could get would be a reimbursement of any interest and penalty.   You would have owed the tax anyway (or not have received the refund that you must now pay back) had the return been properly filed.   As stated above, you should first talk to the manager of the tax place about it.

[SweetieJean]

This is a forum for Turbotax users. Did she use Turbotax?  It is not licensed for use by paid tax preparers.