We agree with the missing income, but when I enter it into the 2017 program the tax computed is different than the CP2000. The QDCGT worksheet comes up with a different figure than the IRS computed on the notice...is that common?
This missing Schwab statement also had some stock sales that we forgot, but they're not shown on the CP2000, the net profit is only $140 and they all had basis reported to IRS, but the only way I can get the income on the return to match the "as corrected by IRS" income on the CP2000 is to leave out those stock sales.
I think the IRS computers have gone bonkers.
Solved! Go to Solution.
Or - the IRS is just wrong in how they entered the covered transactions (missing that huge gain?)
Or - it was a full moon when they issued the notice?
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I went ahead and entered the missing things the CP2000 showed, and picked up $126 in foreign tax paid on the Schwab statement (IRS didn't have this on the CP2000 either), sent a detailed letter of explanation along with the QDCGT worksheet, client is sending a check for what we came up with. Guess we'll see what happens!