I'm creating a Durable Power of Attorney, and I can choose whether to grant my Agent the power to deal with my taxes. My question is: does granting the Agent this power also make them responsible for my taxes? E.g., if I owed the IRS $100,000, would my Agent suddenly be responsible for paying the IRS $100,000 if I didn't have enough funds? Or if they made a decision that got me in trouble, would they be in trouble?
I don't expect legal advice, but I'd like to ask you not to share your opinion. I'm looking for something in between: anecdotes of your experiences.
Thanks for sharing!
FYI, here's the phrasing I'm currently planning to use, though this isn't set in stone:
In regards to taxes, the Principal authorizes the Agent to:
Prepare, sign, and file federal, state, local, and foreign income, gift, payroll, property, Federal Insurance Contributions Act, and other tax returns, claims for refunds, requests for extension of time, petitions regarding tax matters, and any other tax-related documents, including receipts, offers, waivers, consents, including consents and agreements under Internal Revenue Code Section 2032A, 26 U.S.C. Section 2032A, as amended, closing agreements, and any power of attorney required by the Internal Revenue Service or other taxing authority with respect to a tax year upon which the statute of limitations has not run and the following 25 tax years;
Pay taxes due, collect refunds, post bonds, receive confidential information, and contest deficiencies determined by the Internal Revenue Service or other taxing authority;
Exercise any election available to the Principal under federal, state, local, or foreign tax law; and
Act for the Principal in all tax matters for all periods before the Internal Revenue Service, or other taxing authority.
You SHOULD expect legal advice, and your SHOULD seek it from a lawyer. Doing anything else can lead to serious consequences.
Social media is not the place to request or trust legal advice. What I'm requesting here is people's experiences.
Yeah, which is why you shouldn't have posted to social media and gone straight to a lawyer.
Nah he should listen to strangers on the internet.
I beat all 3 Phoenix Wright games, and I'm really good at asking chatGPT.