I haven't posted a rant for a while, so here is the current one, which may
actually prove useful to someone else.

It was recently brought to my attention that the United States Internal
Revenue Service went through its records for 1999 and noticed (among other
things I am sure) that while I gave a Maryland address on my federal taxes
that year I did not file a Maryland tax return. Therefore, it informed the
tax people in Baltimore, I must owe Maryland taxes (plus four years of
interest) on my income for that year.

Fortunately I discovered this before attempting to claim any type of
refund, which would have been munched by this little misapprehension of
theirs, and considering that the State of Maryland still owes me child
support it was "helping" me to collect back in 1993 or 94, it probably
would have been gone for good.

It seems that if you use an address in a given state the IRS program
assumes you lived in that state for the entire year, and be damned with
what it says in the "Maryland taxable income" "Washington taxable income"
and "West Virginia taxable income" fields of your W-2. (For example)

In my own case I did live in Maryland for a couple of months before moving
out to West Virginia in search of more living space. I filed my federal
taxes as I was leaving West Virginia for New Mexico, and gave an address in
Maryland belonging to a friend who owns her house and plans to be there for
the next twenty years or so, simply to ensure that I got the resulting
check. ::sigh:: 

Anyway, since they have insisted, I have had them send me the appropriate
forms, and will be mailing it all in whenever they get me a copy of my
W-2's. It seems that in reality I failed to claim a refund of the $157 in
MD State taxes that were withheld that year. BAD Dana, BAD!<g> 

This isn't really a whine, though. If they had stuck me for the several
thousand dollars they showed me as owing, THAT would have been a whine. 

The scary thing is, though, that although I talked to a number of offices
at the Internal Revenue Service, not one of them could tell me how much I
was supposed to owe the State of Maryland. (At one point I was considering
the path of inertia, assuming that I must owe the money if they said I did,
and letting them take it out of my next refund). As far as the IRS was
concerned, any refund to me tripped a flag and the money went into a black
box somewhere. Finally, a supervisor a couple of levels up in the Maryland
State Dept of Taxation confirmed for me that the offset was for MD tax on
my entire 1999 federal adjusted gross income, based on information provided
by the IRS. Plus interest. The same person then read off to me the numbers
on my federal W-2 that said otherwise, allowing me to calculate my taxes,
as I did not remember why (or if) I had failed to file MD taxes that year.

Talk about the right hand and the left. 

Moral of the story: This is apparently some sort of new federal data mining
project. If anyone moves into or out of a state during a tax year, they
should check for this, or potentially find themselves being charged way
more state tax than they actually owe...

Dana
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