taxpayer relief

[sergebroom]

A couple of weeks ago, we received a letter from our state's taxation dept, to the effect that there was a discrepancy between their records and what the IRS said our combined income had been in 2007. We had 30 days to clarify the situation otherwise we'd get audited. It was rather perplexing - and quite distressing - because, being good citizens, we've always paid our taxes accurately.

Our tax consultant figured it all out a few days ago.

It's my wife's fault.

The discrepancy comes from her being a fiction writer. It means she only had sales out of the state and so wasn't required to submit Gross Receipt Tax Returns to the state.

For those of you who haven't heard, New Mexico isn't exactly a hot bed of publishing. Still, the state has more F/SF writers within its borders than you can shake a stick at. Mind you, I recommend against shaking a stick at George RR Martin. I wouldn't be surprised that he got the same letter though.

That being said, our dossier is closed.
Relieved?
Very much so.

Comments

[etumukutenyak.livejournal.com]

Phew!!!

[serge-lj.livejournal.com]

To say the least.

[jongibbs.livejournal.com]

To paraphrase a certain American President, "The twelve most frightening words you can hear are. ;Hi there, we're from the IRS, and we're here to audit you.'" ;)

[serge-lj.livejournal.com]

Luckily, this wasn't the IRS, but its state-level counterpart. That being said, if the IRS called, I would indeed be nervous, but I'd also remind myself that I am honest. And also that I have a professional tax consultant working for me.

[jongibbs.livejournal.com]

Sadly, it's the honest mistakes which get the harshest punishment, on the basis that hoesnt folks are less likely to burn down their offices or threaten their families - at least, that's how it seems to work in England. The real crooks get away with just about anything.

[serge-lj.livejournal.com]

Sometimes the crooks get their well-deserved comeuppance. Sometimes. Not often enough.

[sajia.livejournal.com]

Sigh. Too bad "Leverage" isn't a reality show.

[serge-lj.livejournal.com]

We'd better not give them ideas.

[miltonthales.livejournal.com]

A monologue:

"Should I try to build up local sales? Surely some of my fellow New Mexicans would like my books."

"Yes, but then you'd have to fill out Annual if not Quarterly Gross Tax Receipt forms and file them with the State."

"Ah, good point. So I need to figure out at what point more in-state sales revenue eclipses the cost of record-keeping to satisfy the state."

"Yes."

"Oh, blech."

[serge-lj.livejournal.com]

Actually, it's not a matter of how many copies of her books were sold in New Mexico, which we have no way of knowing anything about - not easily anyway. It all has to do with where her publisher officially resides, and how much money it made from her pen. I think publishers should all move here. :-)

[miltonthales.livejournal.com]

The cost of living would certainly be lower than in NYC, but with whom would they take their liquid lunches?

[serge-lj.livejournal.com]

Well, the authors are already here.