Tax preparer asked me to sign a liability release agreement

Forum|Forum|1 year ago
December 29, 2024
4 replies
26 views

The tax preparer is giving me $ for the federal/state taxes I overpaid in many past years, as the overpaid taxes cannot be claimed back from IRS now after research.

For me to take his money, I need to sign a liability release agreement saying this issue (overpaid taxes) is resolved forever once I take the $. I cannot go back to him/his firm on this regardless of what happens in the future.

Question - is there something I should beware or ask him to revise to protect my future rights or avoid risks later?

Thanks a lot.

M-MTax

Level 15

I need to sign a liability release agreement saying this issue (overpaid taxes) is resolved forever

Probably they don't want you submitting a claim that would affect their E&O Insurance. You don't have much to gripe about if you've been made whole by the settlement funds you received anyway.

You could have a lawyer review the agreement but that won't be free of charge and might not be worth wasting your time and money.

ZWu1Author

Level 4

Thanks a lot. Is there any form or even letter to IRS to "register" the fact that there is this amount I overpaid but cannot be corrected due to the property changing to self use already. No need for IRS to do anything, but really just that later on when I sell the property, at least there is this FACT that I have proof of. Will write a letter/filing some form to IRS be feasible?