Saturday, May 10, 2003
Another efficient use of the IRS's time
Heather Lee Comeau Sliwinski had an AGI $13,930 which included $10,150 in self-employment income from picking nuts. She lived in a cabin on 2 acres in Wolf Creek, Montana, aka The Middle of NoWhere, with her the children. She claimed her stepbrother and stepsister as dependents, but not her children, and also claimed head of household filing status and the EIC. The IRS disallowed the stepsiblings as dependents, fine, and therefor also disallowed the HoH and EITC, fine. After she files a petition to tax court, she files an amended return claiming two of her children, for whom she received birth certificates and SSNs after she filed her original returns. At trial, she won thank God, because the IRS did not object to her raising the new issue of having kids. Sympathy or incompetence.
I vote for incompetence. Not just because this is the IRS, but they also tried to deny that she had the $10,150 in self-employment income, despite having an invoice. Sliwinski did not receive assistance form the state. How the hell did the IRS think she and her family ate? And if they had won on the dependents, do we really believe they would have maintained this position and refunded her self-employment tax. Luckily the IRS lost here, too.
Next time, please use the IRS's attorney's time to audit Microsoft, Citibank, or someone else who actually has money.