I was happy for a few minutes and then....

[flatbutt]

Being stuck at home has me looking for stuff to do, especially now that we're in a cold cloudy weather pattern. I decided to clean out my small floor safe and in one corner I found an unlabeled envelope. "What is this?" says I with genuine interest.

I open the envelope to find a small number of series EE savings bonds. "woo-hoo!" is my reaction of course. I scan the issue dates and seeing that most were issued in 1988-89 I realize that they have, make that had matured. Yay found money, not a lot just maybe $1500 or so.

Then I realize that I didn't claim the interest in the year of maturation as required. and now must submit revised tax returns for those years .

Sigh, a first world problem to be sure, but I've waited thirty years for these suckers to come of age. 30 years and now I may need to pay a penalty? poop.

[masraum]

that sucks a hairy pimple covered butt!

It might almost be worth the hassle to just pretend they are still hidden in the back corner of that safe once you realized that all of the penalties and fees add up. Good luck!

[GH85Carrera]

Hey, it NEVER is a bad thing to "find" more money.

[Steve Carlton]

If the year you were supposed to report the interest was long ago enough, there's a statute of limitations. If it was a while ago and the IRS never sent you a demand, they probably never will. Disclaimer- my experience with this stuff is many years ago, when I used to prepare tax returns for my CPA dad.

[rockfan4]

After I settled my mother's estate, I found a EE bond in her name. It was a retirement gift. That has to be the cruelest retirement gift I can imagine - here's a bond, if you want the full value you're going to have to wait 30 years. Well, she didn't quite make it, 8 years short.

I suppose I'll have to transfer it to my name to cash it, I'm not sure it is worth the hassle. It matures November next year.

[svandamme]

just send em to me, IRS got nothing on me here in Belgium

[Seahawk]

Originally Posted by rockfan4

I found a EE bond in her name. It was a retirement gift. That has to be the cruelest retirement gift I can imagine - here's a bond, if you want the full value you're going to have to wait 30 years. Well, she didn't quite make it, 8 years short.

Once we are allowed to cross State lines again, I promise you I will drive to Wisconsin and hunt down the ninny that gifted the "Bond" retirement present to your Mother...

I guarantee the cheap SOB that thought the bond was a good idea is still alive: Cheap people with means are life span curve wreckers.

Let me know, let's saddle up the EE Posse.

[Tobra]

If you did not live in NJ, you could buy a sweet spoon with the proceeds

[GH85Carrera]

Originally Posted by Steve Carlton

So, they matured in 2018-2019? If you didn't claim the interest and are disallowed from getting it, I'd be surprised if you have to declare the income and pay tax on it.

Have you never heard the song the Taxman???

We got audited in our first full year of business. I spent a LOT of money, a entire ream of paper, and a couple of weeks time just getting all the receipts printed, and prepared for the audit. In the end the agent decided that we owed less than 20 bucks for one of my dumb errors. I was fully responsible, but they decided it was not worth the effort and cost to open the file, so they had some high level supervisor decide to just close the file for that year. After I had to buy a new color laser printer-copier-fax and an entire ream of paper to show our receipts.

[wilnj]

Originally Posted by Seahawk

Once we are allowed to cross State lines again, I promise you I will drive to Wisconsin and hunt down the ninny that gifted the "Bond" retirement present to your Mother...

I guarantee the cheap SOB that thought the bond was a good idea is still alive: Cheap people with means are life span curve wreckers.

Let me know, let's saddle up the EE Posse.

Cousin Eddie to the rescue.




Sent from my iPhone using Tapatalk

[wdfifteen]

Haven't you heard from the IRS? I would think by now their computers would have kicked out a form letter about your failure to include the 1099-INT in your 1988 return.

[wdfifteen]

Originally Posted by masraum

that sucks a hairy pimple covered butt!

For the love of God, Steve. Some of us eat while reading these forums! You have ruined my appetite for our tasty squid pie dinner.

[Steve Carlton]

Originally Posted by wdfifteen

Haven't you heard from the IRS? I would think by now their computers would have kicked out a form letter about your failure to include the 1099-INT in your 1988 return.

I did a little checking and it looks like you don't get a 1099-INT until after the bonds are redeemed, but you are expected to declare the interest when they mature, whether you cash them in or not. Chances are the penalties won't be much or anything. The tax will probably hurt a little more, the interest income on $1,500 of matured face value is what?

[fred cook]

My father passed away in 2001 and in the process of clearing out his house, my sister and I found some OLD $200 bonds that had set around long enough to be worth at least twice that amount. We divided up the bonds and each one of us just went to the bank and cashed them. Since they were inheritance $$$ and, 2 generations old at that, neither of us paid any taxes on the amount. When I went to cash them, all I needed was a copy of my grandmothers and fathers death certificates to show the line of possession. Good luck!

[flatbutt]

I heard back from my tax gal who said not to worry about it until I redeem them. These are series EE and apparently nothing happens until you cash them.