Just got a call from my CPA, and found out approximatly how much I owe the IRS, and New York State in taxes. About $4225 for Federal and $544 for State. I gave him a few more numbers, such as we donated a couple cars to charity, and another business expense I found. I had put aside some money, knowing we would owe, and we will have enough. BUT, since we owe so much this year, I am going to have to send in pre-payments every quarter, so in addition to what I have to pay the IRS and NY for 2004, I am going to have to send in about a quarter of that amount for a pre-payment towards my 2005 taxes also by 4/15! Now that is going to be pain!

The IRS still owes me $1249 for a refund for my mother’s 2001 taxes (she passed away in June, 2004, and we found that she didn’t file her taxes in at least 7 years). They paid me for the 2002 & 2003 years, but said they needed a copy of the letters testamentary for the 2001 return (it was stapled to the return). I faxed it to them on 3/3, but have yet to hear back from them!
I am also waiting for payment for some of my mother’s savings bonds. Most of them were POD to me, yet the banks said they could’nt cash them. The treasury dept website says I can take them to a bank that deals with the bonds, and that they would cash them with proper id, and a death certificate. Yeah, right! No bank I took them too would cash them. One started to cash them, but them when they go on the phone to the treasury dept, the person at the treasury department said I would have to mail them in, along with notarized forms, and and a death certificate, and the letters testamentary , yadda, yadda, yadda. I got a letter today with them returning the death certificate, and the letters testamentary , yet no check, nor the non-POD bonds that were supposed to be transfered to my name. If you want to give your beneficiaries alot of grief, buy US Savings Bonds. All of this hassle for three lousy percent interest! I can put the money into some high yielding blue chip stocks, for a better return, and they are likely to go up in value at the same time!