jlanza265
New Member

Get your taxes done using TurboTax

Good morning. I just got done working with my appeals officer. We came to a resolution. I was not completely satisfied with the outcome. She basically took my 1099-k after I showed me every debit and credit and said I broke even on gambling. However, since I did gamble I had to file with itemized deductions. Causing me to owe taxes($2500) and they are trying to add interest and penalties. The whole process took about 16 months. They are slow and the penalties keep adding up. With your amounts I might hire someone. It appears this is becoming more and more of an issue. People receiving 1099-k and also 1099-misc from gambling sites. You are paying double tax. It’s pretty scary but just relax. Breath. Start going through every deposit and withdraw on your PayPal transaction for the year in question. Unless you hire someone they should do all of this. The cheapest I found was about $1000 and that was after the IRS told me my total of $2500. I wasn’t sure it was worth it if they couldn’t save me the whole amount so I just agreed to the settlement to relieve some stress. Any particular issues you have questions about? Maybe if you send a spreadsheet in your reply to the CP2000 they will see all your debits and credits. I didn’t do that initially, I just sent my totals showing only about $1000 profit.