Tax Time

Response to IRS concerning discrepancies in Keith Hampton’s 2005 Tax Return

On the response form, I chose option 2. I do not agree with some of the information shown. There appear to be three issues with the return which I will try to address.

1. Student Loan Interest: The form states that I did not include $196 of student loan interest on my return. According to my records, I did include this. I included a copy of my 2005 tax return with the $196 circled. I also attached a copy of the 1098-E that I used when filing.
2. State Income Tax Refund: I filed electronically with Turbo Tax. I included the state return as shown in the screen shot print I attached, but it does not appear to be included in the 1040 short form. I’m not sure if it is a part of one of the other numbers listed. In any case, I included a copy of the 1099-G I received. I don’t know what happened if this number was not reported. I tried to put it in correctly.
3. Sale of many stocks: I liquidated a Smith Barney account I had. In the past, Smith Barney pretty much took care of the taxes and I was under the impression that it was done by them again. It appears I was wrong. I therefore included a schedule D. I did make interest from the sale of these stocks and will need to pay the taxes on those gains.

Hopefully this sets everything straight. Please contact me with any further questions.

Thank you,

Keith Hampton

Ugggg... Instead of doing my 2006 taxes, I had to respond to problems with my 2005 taxes. That schedule D was 8 pages of handwritten stocks. Thank god I'm done with Smith Barney. I fear the worst is still yet to come.