What taxes and fees are you talking about for the estate? We were told from the beginning we could not touch the money until the very end when it would be divided. Which means the estate couldn't pay for anything. So I paid all legal and other expenses for the estate from 2020-2023 out of my own pocket. I was paid back by the estate before the money was divided.
Was I able to write any expenses off on my personal taxes for paying the estate bills? Could I amend my taxes to do so?
I am looking for an accountant now, but find way more "Tax Prep" services than CPA's online. And very few Enrolled Agents. This is definitely way above our heads so a professional is needed. Just not sure what type is best.I guess it was too much for H&R Block as well. They never mentioned anything but the 1099 forms the estate received.
Lastly, since we didn't know about this last 1099, what started the search was a tax bill from the state. With large penalties and interest. I called them directly and told them the estate was now closed and had proper documentation. The state tax person on the phone said ok and would wipe away the bill. They sent us a letter saying the "matter was closed", but that's all.
IF we figure this last 1099 situation out with the federal taxes, will the state then come back at us? Even though we have a letter saying the matter was closed. She did not put a balance of $0.00 on the letter, even though I asked her to do so.
This is getting insane!! Thank you all for your help.
