Message Font: Serif | Sans-Serif
No. of Recommendations: 0
So the income was constructively received.

Hmm, payee was not alive to cash the checks so checks issued in error were not received by payee/decedent. Cash basis taxpayer - I don't see constructive receipt, but that doesn't mean the IRS won't.

When did the client return the checks to Aetna? In 2009 or 2010?

I believe checks were destroyed. I can see Aetna not wanting to correct 1099 with checks potentially still out there, yet to cash them would be fraudulent. Funny thing is they kept sending them until a month or so ago, even after repeated phone calls. I wonder if they will issue another 1099 for 2010.

Well, I don't think it's technically correct, but you could always put a negative amount on line 21.

Yes, that corrects total income, but a wage based credit is now off.

<sigh> It's May, and hay fever season, and my brain is wrapped up in unpleasant family matters. What's my name again? Oh yeah, I remember.

Foolish regards,

ancora imparo
Print the post  


In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.