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David M. Kaufmann, CPA
7200 S. Alton Way,
Suite B-195
Centennial, CO 80112
Voice: 720.493.4804
(toll-free) 800.326.6686
Fax: 303.796.7768
(toll-free) 888.326.6686
Email:
contact2@kaufmann-cpa.com |
Intimidation:
The IRS agent will try to first make you feel comfortable.
Then the IRS agent will try to intimidate you.
My client had over $25,000 of medical expenses. A
good part of the expenses were from nursing homes since both husband and
wife were unable to take care of themselves.
Here is a recent exchange that I had at the beginning of
the IRS audit:
IRS Agent: (Acting dumb...) "I thought
nursing home expenses are not deductible." [This is where
the IRS tries to intimidate me.]
Me: (Respectfully turning the tables on
the IRS...) "According to Internal Revenue Code Section 213(d)(1)(C),
nursing home costs are deductible if they are define as long-term care costs in
Internal Revenue Code Section 7702B(b). For your reference, here are
copies of Internal Revenue Code Sections 213(d)(1)(C) and 7702B(b)." [I
am now politely intimidating the IRS Agent. Most, but not all agents,
don't know one Internal Revenue Code section from another.]
IRS Agent: "Thank you."
Needless to say, the IRS agent didn't try anymore
intimidation tricks on me. Furthermore, she agreed to any additional
arguments that I made for the benefit of my client. I backed those
arguments up with solid legal documentation.
If my client's daughter represented her parents instead of
using me, there is a good chance that her parents would have lost their huge
nursing deduction.
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