Jainen...hope you're still up!

[Cathy]

Glad to see you're still up.

? For you. My client, an ER doc came to me last Jan. Walking while leaning on her sister. The Doc had just been diagnosed with the most aggressive brain cancer there is. I went the next day for the biopsy as she's also a personal friend. 10 days later she was told she needed surgery ASAP. I talked to her sister who was the retired Director of Nurses at a major, high profile university and begged her to take her sister back home to her University Medical Center as I have little faith in our local docs and hospitals.

The Doc also got one of her friends who is an MD at MD Anderson to look at her MRI and he gave the same diagnosis as our local docs but he also encouraged her to go back he with her sister.

Sister's docs and hospital ran tests and said yes, it did appear to be that type of cancer, but since it was so aggressive, they wanted to wait a month or two to start treatment if the biopsy didn't make it spread and unoperable.

Fast forward to April of 2011. Doc had to quit her job and was in the process of filing for social security disability. The lady at the SS office told her it would not be a problem to have her approved for disability.

Doc out of work now for 3.5 months with no income and a hefty 4th quarter payment she hadn't sent in because of her Jan. 2011 diagnosis. I suggested and she did draw out enough from her Sep to fund her tax balance, her 2010 Sep and her withholding taxes for the withdrawal. There would be no penalty as she was disabled. And certainly a Doc who would undergo any type treatment on her brain wouldn't or shouldn't go back to work.

Fast forward again to end of Jume, 2011. Doc went back to sister's doc and hospital to begin treatment. Guess what now? Tumor is gone! Whether it was a divine intervention or the biopsy done in January shook up the immune system to take care of the tumor naturally, it's not there. After

Going through an extensive round of tests, Doc is back in the ER....a reduced schedule but is back. She will be watched very closely for several years.

That was the good news......do you think the SEP withdrawal because of disability will hold up for the elimination of the penalty?

Thanks for your opinion.

Cathy

[jainen]

>>Thanks for your opinion<<

My opinion is that it is an interesting story, but full of irrelevant stuff. You didn't actually explain why "Doc had to quit her job."

According to Pub 590, "You are considered disabled if you can furnish proof that you cannot do any substantial gainful activity because of your physical or mental condition. A physician must determine that your condition can be expected to result in death or to be of long, continued, and indefinite duration."

[Cathy]

Thanks,

If you found the story interesting, then I'm halfway home free with the 5329 being used for the Doc's disability.....the reason she left her employment. Who wants a Doc practicing medcine on them with a highly aggressive brain cancer and one who also has to be supported in order to stand up straight.

Lost my husband to lung cancer in 2010 which had spread to his bones and brain before we realized he was sick. Now I can look back and see instances where his judgement, etc had been failing for about a year before his dx. So I can completely why her Docs wouldn't let her work. I had the Code Sections already but didn't have the time to plan my defense when we get the CP2000 letter next year. Your quote from the Pub made me all warm and fuzzy inside in the interim.

I know....more irrelevant stuff!

Again, thanks!!!!!

Cathy

PS. I'm not really a moron....it's just this IPhone that makes it appear that way! :)

[jainen]

>>Your quote from the Pub made me all warm and fuzzy<<

That's even more interesting! But before I take advantage of your emotional swings, I will confess that I understood the quote to argue against your position.

It seems to me that she took time off from a very stressful job because she had financial problems as well as health concerns. Even you had "little faith" in the original diagnosis, and everyone agreed she needed better medical testing. Which called for no treatment at all, and shortly proved to be negative.

[Cathy]

>>emotional swings<<

Are you insinuating I have mood swings? You hit that nail square on the head!

Thanks....again...your different points of view are thought provoking. No "financial problems" as she always maxed out her SEP and made other good investments. But, there again, anyone with their income here one day and gone tomorrow and facing brain surgery, chemo and radiation to extend their life for less than a year could feel they have financial problems and want to minimize expenses....anyone, except a few billionaires I can think of.

My "little faith" was in regard to the level of care being offered by our local doctors and hospitals...not in the diagnosis. And before I tell you more irrelevant stuff, I'll sign off and get back to work.

Thanks again,

Cathy

[jainen]

>>No "financial problems"<<

Perhaps I misunderstood, but you did say she had to use SEP funds when she missed a "hefty" payment to IRS. Cash flow problems can really tear up your mind. I know the Social Security clerk was more kindly than me, but she was wrong. Doc did not qualify for permanent disability under the same definition the IRS uses.