Electric drive vehicle credit 8936 decreased/rejected by IRS

[Deleted member 3147]

Here's a thought. I have no idea if this is what's happening, but it's a possibility.

Assume that the IRS is collecting VINs reported on 8936 and checking for duplicates. Further assume that there are people who are cheating by filing, marking "Leaf" even though they don't own one, and using a proper Leaf VIN, with the last few digits made up. (If I were to cheat, that's what I'd do, assuming that at least, the IRS knows what a Leaf VIN looks like.)

Later, you properly file your 8936, properly entering you Leaf's VIN, which happens to be the one used by a cheater. The IRS computer rejects your return as having a duplicate VIN. The IRS now wants proof that you own the car with that VIN before they will give you the refund. (Hopefully, after you prove your ownership, they will go back to the original cheater and rake them over the coals!)

Of course, this does not explain those who got dinged for submitting form 8396 because the IRS transposed the digits! This is just plain incompetence, especially on electronically filed returns!

 

[Nekota]

I sympathize with folks who are now a quarter-year behind in getting the refund.

However, I can see why the IRS wants to be careful with this and is running a strict audit program by selecting a high-percentage for review..
There is a history of ICE drivers filing for EV and other vehicle credits. These are tax evaders and other diehard anti-environmentalists who feel entitled to any tax cuts given to EVers.
Besides, it is another program that the ISSA-led Republicans will bust and do it LOUD, if there are abuses.
If you are looking for evildoers, you can look in those two categories.

The IRS cannot afford a scandal now that they know there are phoney filings.
You can read the IRS memo on this early in the thread.

here is the link:
http://www.treasury.gov/tigta/auditreports/2011reports/201141011fr.pdf" onclick="window.open(this.href);return false;
it may answer some questions.

"As of July 24, 2010, we identified 12,920 individuals who e-filed their tax returns and erroneously
claimed3 $33 million in plug-in electric and alternative motor vehicle credits. We also identified
1,719 of the 12,920 individuals erroneously reduced the amount of the AMT owed by almost
$5.3 million."

I sure would like to see the political party affiliations 'pie chart' of those 12,920 who e-filed with invalid $33 million electric vehicle claims.

 

[JimSouCal]

Perhaps good anticlimactic news: the first and only communication I got in the mail from the IRS is in the form of a refund check with interest added. I was happy to get the interest income. Hope others may soon enjoy a similar envelope with a check.

 

[garygid]

I paper filed an H&R printout (with one form manually modified
to include the reference to form 8936) with an IRS form 8936 added.

Filed on 4/16 and got the full refund on 5/31.
Apparently no glitches.

 

[gbarry42]

I did what Gary did, and with the same approximate result.

In the program I filled out form 8910 (because it had that one). It asked for the identical information and gave the identical result. In my case it did not give me the full refund. After some research I discovered my tax liability was somewhat less than 7500 dollars. Having all the correct answers I then did the 8936 by hand, which totaled out exactly the same. Printed the return, changed the "8910" to "8936" (in the "which form?" box), and sent in the result. Thanks to whomever (probably Gary) who explained this bit early on in this forum, after we found HRB to be lacking.

 

[gbarry42]

Here's a thought. I have no idea if this is what's happening, but it's a possibility.

...Further assume that there are people who are cheating by filing, marking "Leaf" even though they don't own one

I'm glad you brought that up. What surprised me was all the people, intending to defraud the IRS, and writing "Hummer" for the model. Rather than what you suggested. Or is this just a "dumb criminals" thing?

 

[ztanos]

I sympathize with folks who are now a quarter-year behind in getting the refund.

However, I can see why the IRS wants to be careful with this and is running a strict audit program by selecting a high-percentage for review..
There is a history of ICE drivers filing for EV and other vehicle credits. These are tax evaders and other diehard anti-environmentalists who feel entitled to any tax cuts given to EVers.
Besides, it is another program that the ISSA-led Republicans will bust and do it LOUD, if there are abuses.
If you are looking for evildoers, you can look in those two categories.

The IRS cannot afford a scandal now that they know there are phoney filings.
You can read the IRS memo on this early in the thread.

here is the link:
http://www.treasury.gov/tigta/auditreports/2011reports/201141011fr.pdf" onclick="window.open(this.href);return false;
it may answer some questions.

"As of July 24, 2010, we identified 12,920 individuals who e-filed their tax returns and erroneously
claimed3 $33 million in plug-in electric and alternative motor vehicle credits. We also identified
1,719 of the 12,920 individuals erroneously reduced the amount of the AMT owed by almost
$5.3 million."

I sure would like to see the political party affiliations 'pie chart' of those 12,920 who e-filed with invalid $33 million electric vehicle claims.

I would like to see how many of the invalid claims were actually valid and had to have more paperwork sent in because of an IRS mistake.

 

[thankyouOB]

I would like to see how many of the invalid claims were actually valid and had to have more paperwork sent in because of an IRS mistake.

if you read the entire document, I think you will see that it is 0.
this is the conclusion and takes into account the results following investigation, and audit of all the returns. This is not an interim report.
Are you saying that folks erroneously identified as having cheaters just rolled over and paid the penalties and interest without a peep?
that hardly sounds like someone who bought an EV with the expectation of a refund.

I think your politics are showing.

 

[RickS]

I still need to go through and read all the pages of this thread, but I filed late March and I have not received my refund yet, it shows as accepted and being processed. I have not heard a thing from the IRS. My taxes were filed by a professional CPA which my family has been using for years. It was a simple return with the EV credit being the only strange thing.

 

[JimSouCal]

I still need to go through and read all the pages of this thread, but I filed late March and I have not received my refund yet, it shows as accepted and being processed. I have not heard a thing from the IRS. My taxes were filed by a professional CPA which my family has been using for years. It was a simple return with the EV credit being the only strange thing.

I predict you will get a check in the next few weeks with interest. If I could, I would bet on it.

 

[gascant]

I just called the IRS as it's been 13 weeks since I filed, and yet no refund. After speaking with a real person to direct my call, I got a recording saying they were too busy to take the call and that I should call back another time (like Wednesday or Thursday). They didn't even give me the option to wait! To me, that's unacceptable.

 

[derkraut]

I just called the IRS as it's been 13 weeks since I filed, and yet no refund. After speaking with a real person to direct my call, I got a recording saying they were too busy to take the call and that I should call back another time (like Wednesday or Thursday). They didn't even give me the option to wait! To me, that's unacceptable.

Sad.....and remember that you and I are paying the salaries of these "customer service representatives". :roll:

 

[davewill]

Sad.....and remember that you and I are paying the salaries of these "customer service representatives". :roll:

Thank your friendly neighborhood Republican for that:

GOP War on the IRS Costs U.S. Billions
For any American concerned about the federal budget deficit, job one must be to collect all of the tax revenue owed to the United States Treasury. That's why supposed Republican deficit hawks simply aren't serious about the national debt. After all, a new report confirmed that steep GOP budget cuts at the Internal Revenue Service (IRS) are hurting customer service, delaying refunds and costing Uncle Sam billions of dollars annually. Thanks to the never-ending Republican war on the IRS dating back to the late 1990's, tax evasion and cheating are now depriving the U.S. of $400 billion each year.
...

 

[thankyouOB]

Sad.....and remember that you and I are paying the salaries of these "customer service representatives". :roll:

Thank your friendly neighborhood Republican for that:

GOP War on the IRS Costs U.S. Billions
For any American concerned about the federal budget deficit, job one must be to collect all of the tax revenue owed to the United States Treasury. That's why supposed Republican deficit hawks simply aren't serious about the national debt. After all, a new report confirmed that steep GOP budget cuts at the Internal Revenue Service (IRS) are hurting customer service, delaying refunds and costing Uncle Sam billions of dollars annually. Thanks to the never-ending Republican war on the IRS dating back to the late 1990's, tax evasion and cheating are now depriving the U.S. of $400 billion each year.
...

that is for sure.
And, look at the bright side of the delay; you are going to get the IRS interest rate on what they owe you from, I believe, the date due.
If I could invest $7500 at 3%, I probably would. you can barely get a 1% if you go out a year or more on a CD.
You are, in some ways, a lucky man.

3% x 7500 x .25 (13 weeks) = +$56, if you get it back it back today.

 

[Ready2plugin]

Sad.....and remember that you and I are paying the salaries of these "customer service representatives". :roll:

Thank your friendly neighborhood Republican for that:

GOP War on the IRS Costs U.S. Billions
For any American concerned about the federal budget deficit, job one must be to collect all of the tax revenue owed to the United States Treasury. That's why supposed Republican deficit hawks simply aren't serious about the national debt. After all, a new report confirmed that steep GOP budget cuts at the Internal Revenue Service (IRS) are hurting customer service, delaying refunds and costing Uncle Sam billions of dollars annually. Thanks to the never-ending Republican war on the IRS dating back to the late 1990's, tax evasion and cheating are now depriving the U.S. of $400 billion each year.
...

that is for sure.
And, look at the bright side of the delay; you are going to get the IRS interest rate on what they owe you from, I believe, the date due.
If I could invest $7500 at 3%, I probably would. you can barely get a 1% if you go out a year or more on a CD.
You are, in some ways, a lucky man.

3% x 7500 x .25 (13 weeks) = +$56, if you get it back it back today.

Yes, but they will probably tax our interest. At this point I'm tired of waiting. I pay a lot in taxes...hit with AMT every year since 2004....it's time for them to figure this out and start sending the refunds.

 

[Cinnabar]

One of those asked to provide Manufacturer's Certification, whatever that is.

e-filed with Turbotax: Feb 11
Return accepted by IRS: Feb 12
Notified of audit via mail: June 25
Faxed Response: July 1
Confirmed fax associated with my account: July 11
Full refund received: TBD

My fax included the examiners report, the IRS page listing the LEAF as eligible for the $7500 rebate, my purchase agreement, my title, a copy of the window sticker and an page of explanation. I guess the 90 day window to respond started on July 2nd, so by October 2nd I should hear something.

Awesome!

 

[gascant]

I did get through to the IRS today. My tax return hasn't been examined yet. It's in the queue and could be anywhere from 2-6 weeks before I even know what they are requesting. But, in the interim, I'll gather the information that people here have been posting. They claim to have sent two CP notices but I only received one. The agent with whom I spoke said the refund, if approved, could take anywhere between 6 weeks and 6 months.

 

[gmuzhik]

What all of this has taught me is to cut my tax witholding down to the bare minimum but enough to escape a underwitholding penalty. That way, I am not waiting for refunds like a lot of folks on this forum have been doing. Last year, I owed the IRS less than $100. No penalty and I wasn't waiting for a refund. I have never been a fan of tax refunds, giving them interest free loans. The other benefit to this approach is that if anyone steals my identity and tries to file a tax return using my name and SSN, as has been happening recently, it is much less money for the thief!

Good luck to all that have been erroneously audited. Like I've said before, the IRS should pay US a penalty for their screw up.

 

[mwalsh]

I did get through to the IRS today. My tax return hasn't been examined yet. It's in the queue and could be anywhere from 2-6 weeks before I even know what they are requesting. But, in the interim, I'll gather the information that people here have been posting. They claim to have sent two CP notices but I only received one. The agent with whom I spoke said the refund, if approved, could take anywhere between 6 weeks and 6 months.

They are bloody liars. They said the same thing to me, but there's not a single one of us who has gotten ANY notice until this review/audit letter arrived.

The next thing I'm half expecting is they'll deny getting the stuff I faxed them! :x

 

[Cinnabar]

I did get through to the IRS today. My tax return hasn't been examined yet. It's in the queue and could be anywhere from 2-6 weeks before I even know what they are requesting. But, in the interim, I'll gather the information that people here have been posting. They claim to have sent two CP notices but I only received one. The agent with whom I spoke said the refund, if approved, could take anywhere between 6 weeks and 6 months.

They are bloody liars. They said the same thing to me, but there's not a single one of us who has gotten ANY notice until this review/audit letter arrived.

The next thing I'm half expecting is they'll deny getting the stuff I faxed them! :x

Agreed. The IRS claimed they had sent a notice to me, but I didn't receive it.

If you haven't yet, I would call the examiner 10 days after your fax and ask if the fax has been associated with your account. That will verify the received it and have added it to your file.