My mother incurred a large IRS debt, when she transferred funds from an IRA to her bank , and did not put it into another IRA . I didn’t realize this until 2 years later when she got an IRS bill for 16,000!
I negotiated this down to 10k after writing many letters to the I RS on her behalf explaining that she did not know, and had the start of Alzheimer’s. Mom had to set up a payment plan, which was automatically deducted from her bank account, a minimum amount, being paid from her social security. I knew that with this low amount, she would probably not pay it off in her lifetime, but she could not pay that huge amount with her now facing large care bills coming up.
Now my mom has passed. And the bank froze her account, telling me my power of attorney ended in her death. So the IRS has now sent demand letters to my house.
Am I responsible for this? I did not yet respond to letters. Should I just mail them back saying deceased?