My sister got her notice because when I asked her in 2018 when they sold their house, “Did you get a 1099-S?” she said “No.” Well, the answer was actually yes. It was attached to the final ‘official’ copy of her closing statement and she didn’t really pay attention. She’s an artist so what can I say! 🙂 And I live across the country from her so I didn’t have her documents in hand.
So, the 1099-S (which was issued in her name and SSN only) bounced against her 2018 tax return (MFS) and viola!
I talked to the IRS this morning and it was positive. The entire call took 65 minutes and I think I was on hold for 55 minutes (thank goodness for earbuds). The ‘assister’ confirmed the fax was received which was good news. I asked if we should assume it would take 90-120 days to process and he said “possibly.” He also said he wished he had been the one I talked to initially because he probably could have resolved it immediately over the phone. And it would have been resolved because the facts are my sister and her husband each qualify for a $250,000 exemption.
He ragged a bit on other ‘assisters’ who make this specific issue a bigger deal than it is and aren’t as ‘up to speed’ or something like that. He’s right about that because the guy I initially spoke to said to submit, as part of the response, the home sale form that no longer exists.
So, I think everything is going to be fine but it might take a couple of months to get the final resolution. In fact, he said “Everything should be just fine.”