Thanks for the quick response. Just to confirm our friends actually got a $300K bill (capital gains for the entire gross proceeds). They are working with an accountant to file an amended return (sold home in 2018).
I also filed amended returns with the Maryland. They were quickly processed and received refunds for lesser amounts (2018, 2019). For the 2017 Maryland amended return, got a notification asking for a federal statement of change (proof of IRS acceptance of the 2017 amended return) with a deadline of the end of this month. Obviously, it is highly unlikely that the IRS will have the federal amended return processed in time. At least I have a contact and phone number for the state. Hopefully they will add some time to their deadline.
I'd be happy to receive a notification before a bill so we have the opportunity to address the exclusion. I have called several months ago and spoke to a live IRS person concerning the amended returns. They were very nice but could not even confirm receipt of the amended returns. One of the returns included a payment (check) which was cashed within a week. Would it do any good to call again?
Thanks again!
