Tax Question

[Ilmater]

So... my parents gave me $15k after my grandmother died. They wanted me to put it into a CD and use it as a downpayment on a home. Instead, I used it to pay off debt (which was the better option, according to both me and my financial advisor). However, my mom does my taxes, and now she's asking me to give her the interest from the CD to put on my taxes.

I plan on lying to her because I really don't want to mess with it, but my question is this:

If I tell her that I have like $350 in interest from this thing and she reports it, will the income tax come back from the IRS with an error? Will it tell her that I shouldn't have that income?


Please use the stickied tax thread at the top for tax questions
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[pyonir]

http://forums.anandtech.com/me...id=38&threadid=2135062

 

[mugs]

Maybe if you're going to lie to your mom about your finances, you shouldn't have her do your taxes. :Q

 

[Jadow]

WTF Momma does your taxes?

LOL

 

[imported_Lothar]

Why would you lie to your mom?

 

[mugs]

Originally posted by: Lothar
Why would you lie to your mom?

I'm going to go out on a limb and guess that he's asian? No offense intended.

 

[amdforever2]

The IRS already knows the truth because the tax form the bank sent to you, they also submitted to same info to the IRS.

Whether or not the IRS will audit you over such a small indiscretion, who knows, but why risk it?

 

[Slew Foot]

Pay off debt = buy new toys

 

[Ilmater]

In answer to your questions:

1) She's a partner in a CPA firm... it's what she does for a living. Why would I pay someone else?
2) I lie because my mom has no debt and never has. She has zero desire for material things and never spends a dime on herself. To her, debt is a sin worse than murder, and she can't comprehend it.

 

[Ilmater]

Originally posted by: mugs
I'm going to go out on a limb and guess that he's asian? No offense intended.

You would guess I'm Asian? What in the world would make you say that?

LOL! No, I'm Caucasian with German ancestry.

 

[Ilmater]

Originally posted by: amdforever2
The IRS already knows the truth because the tax form the bank sent to you, they also submitted to same info to the IRS.

Whether or not the IRS will audit you over such a small indiscretion, who knows, but why risk it?

No, I'm actually going to report MORE taxable income than I need to. I can't imagine they'd audit me for that, right?