This is unfortunately more common than it should be, and you're right to be concerned about the lack of communication. Many CPAs do file automatic extensions as a protective measure, especially for clients with complex returns involving K-1s, but the professional standard should be to inform clients beforehand. The bigger issue here is the potential financial impact. Since you mentioned you paid your Q4 2023 estimated taxes late in April 2024, there's a good chance you might owe additional tax for 2023. If your CPA filed the extension without making an estimated payment and you end up owing money, you could face failure-to-pay penalties and interest from the original April 15 deadline. I'd recommend: 1) Contact your CPA immediately to clarify what they did and why, 2) Ask if they made any estimated payment with the extension, and 3) If not, calculate whether you owe additional tax and consider making a payment now to minimize penalties. This situation highlights why clear communication agreements with tax professionals are so important. You might want to establish upfront expectations about notifications for any filings made on your behalf.

I work as a tax preparer and want to address some of the concerns raised here. While it's true that many firms file automatic extensions for clients with complex returns (especially K-1 recipients), the lack of communication you experienced is definitely not acceptable professional practice. Here's what should have happened: Your CPA should have either 1) obtained written authorization to file extensions on your behalf as part of your engagement letter, or 2) contacted you before filing to explain why an extension was necessary and discuss any potential tax payment requirements. The fact that you found out by accident when trying to file your own extension suggests poor client communication protocols at that firm. This is particularly concerning because if you owe tax for 2023 and no estimated payment was made with the extension, you're now facing penalties and interest from April 15. I'd strongly recommend getting a copy of your engagement letter with this CPA to see what authorities you actually granted them. If extension filing wasn't explicitly covered, you may have grounds to hold them responsible for any penalties that result from their unauthorized filing. For immediate next steps: Check your 2023 tax liability estimate and consider making a payment ASAP if you think you'll owe money. The sooner you pay, the less penalty and interest will accumulate.

I went through something very similar after Hurricane Ian damaged my roof. A few things that might help based on my experience: First, you absolutely need to document everything now if you haven't already. Take photos of any remaining damage, keep ALL receipts from the roofing company, and try to get written estimates from contractors (even if you've already done the repairs). The IRS will want to see proof that the damage was specifically from the federally declared disaster. For the fair market value calculation, using your repair costs as a baseline is reasonable, but consider getting at least one professional estimate of what your home's value decrease was. Some insurance adjusters will do this for a fee even if you're not filing a claim, and it gives you more credible documentation. One thing that caught me off guard - make sure you're claiming this in the right tax year. Since it was a federally declared disaster, you can choose to claim it on last year's return (by amending) or this year's return. If your income was lower last year, that might give you a better deduction after the 10% AGI reduction. Also, don't forget about related expenses like temporary repairs, tarps, or cleanup costs - these can sometimes be included in your casualty loss calculation too.

Based on your situation, here are a few key points that might help with your Form 4684: Since you mentioned you've never filed a tax return before, you'll want to be extra careful with documentation. The IRS tends to scrutinize first-time filers more closely, especially for significant deductions like casualty losses. For the fair market value calculation, your $27k repair cost is actually a solid starting point. The IRS Publication 547 specifically mentions that repair costs can be used as evidence of decreased fair market value, as long as the repairs only restore the property to its pre-damage condition (which sounds like your case with the roof). One important thing others haven't mentioned - make sure you get a copy of the official FEMA disaster declaration for your area. You'll need the disaster declaration number for your Form 4684, and having this documentation helps establish that your loss qualifies for the special disaster provisions. Also, since your income is $110k, definitely run the numbers on claiming this loss on your 2023 return (amended) versus your 2024 return. If your 2023 income was lower, the 10% AGI threshold would be smaller, potentially giving you a larger deduction. Don't forget to keep detailed records of everything - the IRS has up to 3 years to audit casualty loss claims, and disaster-related deductions sometimes get extra scrutiny.

Anyone know if the OP should bring the actual 941 forms filled out or just the data? My sister had to deal with this and the revenue officer actually had her fill out the forms during the meeting to make sure they were done correctly.

I went through almost the exact same situation last year - made all my quarterly 941 payments through EFTPS but never filed the actual forms. The revenue officer meeting isn't as scary as it sounds, but definitely come prepared. Here's what worked for me: I brought completed 941 forms for all the missing quarters (used my QuickBooks payroll records to fill them out), copies of all my EFTPS payment confirmations, and a written explanation of why I thought payments were sufficient. The officer was actually pretty understanding since I had clearly paid everything on time. The penalties weren't terrible since you've already paid the taxes. I ended up with about $400-500 per quarter in late filing penalties, but I was able to get first-time penalty abatement for about half of them by showing my good payment history and explaining it was an honest mistake. My advice: Don't hire an attorney unless you discover other complications. Bring the completed forms, your payment records, and be honest about the mistake. The revenue officer's job is to get the forms filed and collect any penalties owed - they're not trying to destroy you financially. Good luck!

Don't forget to check which payment processor you're using for your taxes! They each charge different rates: Pay1040.com - 1.87% fee (min $2.50) PayUSAtax.com - 1.96% fee (min $2.55) ACI Payments - 1.98% fee (min $2.50) Made the mistake of not checking last year and used the most expensive one. That 0.11% difference adds up on a big tax bill!

Great thread! I'm in a similar situation this year. One thing I'd add is to make sure you factor in the opportunity cost of tying up your credit limits when doing these large tax payments. I learned this the hard way last year when I put $25k on my Amex Gold and then couldn't use it for regular spending while waiting for the payment to process. Had to use my backup cards which didn't have any bonuses running. Also, for anyone considering the Chase cards mentioned here - be aware of Chase's 5/24 rule if you've opened a lot of cards recently. I got denied for the Sapphire Reserve because I had opened 6 cards in the past 24 months, even though my credit score was excellent. One more tip: if you're planning to do this again next year, consider setting calendar reminders to apply for new cards in January/February so you have them ready by April. The application-to-approval process can take weeks, especially for business cards.

My sister is actually a CPA and I asked her about this. She said they have a standard practice of getting written permission from clients before filing extensions. She was pretty shocked your accountant did this without asking. One thing she mentioned - check if you signed any kind of engagement letter that might have given blanket authorization for extensions. Some accountants have this buried in their paperwork. If not, what he's doing is pretty unprofessional.

This is definitely not normal professional behavior. I've been doing my own taxes for years, but when I used an accountant, they always communicated major decisions like extensions beforehand. What really concerns me is that you've been owing significant amounts ($7,500 last year) and your accountant isn't helping you plan for this. A good tax professional should be proactive about estimated payments or adjusting withholdings to avoid these large year-end bills, especially when it's a recurring pattern. The communication issue is the biggest red flag though. Tax season is busy, but that doesn't excuse going radio silent or making unilateral decisions about your finances. You're paying for a service, and part of that service should be keeping you informed about what's happening with your return. I'd strongly recommend looking for a new accountant. When you interview potential replacements, ask specifically about their communication practices and how they handle extensions. A professional will have clear processes for both.