A couple of years ago I lost a receipt from my wife’s lottery win (>$600 and IRS is notified) and didn’t list it as income. The IRS sent a letter pointing out the error and I sent the additional tax. They sent another (form) letter thanking me for prompt payment and “forgiving” the interest, which starts accruing immediately. All very civilized. The takeaway is simple. Be honest and the IRS won’t be monsters.
A couple of years ago I lost a receipt from my wife’s lottery win (>$600 and IRS is notified) and didn’t list it as income. The IRS sent a letter pointing out the error and I sent the additional tax. They sent another (form) letter thanking me for prompt payment and “forgiving” the interest, which starts accruing immediately. All very civilized. The takeaway is simple. Be honest and the IRS won’t be monsters.