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    unclbill's Avatar
    unclbill Posts: 1, Reputation: 1
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    #1

    Jul 24, 2008, 12:27 PM
    Lump Sum Soc Sec Disability - I owe back taxes
    Hi, I'm glad I found this forum.

    I have about $60k coming to me for Social Security Disability retroactive payments.

    I owe IRS --- I asked for transcripts, and found I owe about $50K including penalties and interest. Will IRS and Ohio attach the lump sum? How about continuing monthly benefits?

    I owe Ohio taxes about $35K.

    I'm wondering if I'll get anything at all, or even enough to pay my SS attorney.

    Thanks!
    twinkiedooter's Avatar
    twinkiedooter Posts: 12,172, Reputation: 1054
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    #2

    Jul 24, 2008, 06:10 PM
    You could contact a good tax attorney and see if they can't work out some sort of a deal with your back taxes with the state and the IRS for a lowered amount so that you can get at least something from your settlement. The SS attorney will take his cut from whatever settlement you get regardless if you end up with 10 cents or less. Your monthly checks should not be affected if you clear up the back taxes to their satisfaction prior to the lump sum settlement. Afterwards is toooo late to do anything.
    JudyKayTee's Avatar
    JudyKayTee Posts: 46,503, Reputation: 4600
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    #3

    Jul 24, 2008, 06:57 PM
    Quote Originally Posted by twinkiedooter
    You could contact a good tax attorney and see if they can't work out some sort of a deal with your back taxes with the state and the IRS for a lowered amount so that you can get at least something from your settlement. The SS attorney will take his cut from whatever settlement you get regardless if you end up with 10 cents or less. Your monthly checks should not be affected if you clear up the back taxes to their satisfaction prior to the lump sum settlement. Afterwards is toooo late to do anything.


    Your SS Attorney gets paid first and in full and a percentage - I've never seen that not be part of the retainer agreement.
    RosieGirlz's Avatar
    RosieGirlz Posts: 1, Reputation: 1
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    #4

    Apr 7, 2013, 07:27 AM
    Re: Social Security/Disability-

    How do I calculate the fee beyong the 6,000 or the 25% cap. My attorney says a Equal Access Justice Act (EAJA) applies when "he wins" in 9th Circuit Court. My case was remanded on a technicality back to the District Court

    I will receive a back pay settlement amt and not the monthly benefits. My case is now considered a "Closed."
    JudyKayTee's Avatar
    JudyKayTee Posts: 46,503, Reputation: 4600
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    #5

    Apr 7, 2013, 07:43 AM
    What does the retainer agreement say?
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