[squiggs96]

You may be able to get the firm to pay for the fine and/or interest if you can prove they were negligent on filing your return. As for the $3,285, you are definitely on the hook for that. It was never your money in the first place, so you do not have a claim to it. It's not a fine or interest amount, so you shouldn't feel wronged. It's similar to if the bank put $4,000 in your bank account by accident, you spent it and then they realized their error and wanted it back. Whether the accountant was right or wrong, you are still ultimately responsible for your asessment. If you thought you were only supposed to get back $1,000, you probably should have waited for the notice of assessment before spending the excess amount. Yes I know it is easier to say that after the fact. Did you bring up this concern with the accountant at the time? Not criticizing, just wondering.

CA