All Activity

Finally, I managed to have a snappy, to me, response to "How do I contact a live person?" "There is no one here who is dead, so every message you get from us is from a live person." --- This was from someone who has sent a dozen or more messages, over the last 24 hours, all with a reply address which is not valid, so I doubt they will ever see my reply.

Wow! I've tried to call several times for a trust issue; letter response call number X and use ID number Y. No one has picked up, in an hour and a half, any time I've tried. Yesterday I got disconnected after 47 minutes; my shortest call yet. Very, very frustrating.

Not always! I've had a few over the years where no letter ever followed to explain discrepancies. The states tend to be worse about that than the IRS, but the IRS does it too. I'd call. Next week.

Call the IRS and ask them. I've had some weird letters come in from the IRS this year. One the IRS requested the client go to an IRS office and verify who they are before they issue a refund. Before the letter was received the refund had been deposited into their account. Another client received a letter that their overpayment couldn't be applied to 2024 but no check and no reason why. When I called the IRS they laughed and said it was applied forward.

Ask the IRS to search for your EIN by calling the Business & Specialty Tax Line at 800-829-4933. The hours of operation are 7:00 a.m. - 7:00 p.m. local time, Monday through Friday. An assistor will ask you for identifying information and provide the number to you over the telephone, as long as you are a person who is authorized to receive it. Examples of an authorized person include, but are not limited to, a sole proprietor, a partner in a partnership, a corporate officer, a trustee of a trust, or an executor of an estate. If that number can't give her the EIN, I'd call the PPL and ask their opinion of what you should do. If an EIN was issued, they have a record of it.

Florida's Sunshine laws make it easy for us (and crooks), company EIN's are public record. Convenient when I need a daycare tax i.d. number, but I don't what to say when the IRS says we are supposed to protect our EIN's.

When refunds do not match calculated amounts, correspondence will follow. Unfortunately for us, the money arrives before the explanation.

Thanks, I will forward this to her. However she told me that she called IRS (don't know what number) and was told that they could not verify her to tell her the EIN. Did she print out the webpage? Receive a confirmation letter? I've asked. Her problem. Record keeping is not her strength.

See attached link from the IRS https://www.irs.gov/businesses/small-businesses-self-employed/lost-or-misplaced-your-ein Your client will have to call

In 2021 client, a SMLLC, obtained an EIN online and emailed the number to me. I used it to submit 1099 forms in 2021, 2022, 2023. Client is now working to obtain a state license for this expanded business and the state cannot verify the number. Nor can IRS via a phone call. Client did not print out or save the confirmation information on screen so it is possible that the numbers are not correct. I've tried a few different options online to find this but, due to privacy concerns, have failed. If IRS cannot confirm, suggestions?

I made this post "tongue in cheek" However, I do think that in a few more years, many preparers will be using generative ai to answer their tax questions. That will be sad because the participation on this board may drop significantly

I found my own answer. IRC 671 and Reg §1.121-1(c)(3). Incidentally, I asked an attorney in my building if ‘Land Trust’ was a legal term or just a common phrase. He said it was just a common phrase.

Perhaps Perplexity.ai can answer your question

The benefit of the QBI is elusive indeed. At first glance, it sounds really great - a 20% reduction of profits available in addition to standard/itemized deductions. However, it has hoops to jump through. First of all, if there is EVER a loss, the loss must be applied IN FULL to the current benefit. However, if a positive result is ever squelched for any reason, the amount lost is NOT carried forward. Next, the 20% is applied to the taxable profit, or taxable income, WHICHEVER IS LESS. If any benefit is lost thereupon, it is lost forever. The 20% is a great thing for taxpayers with regular profits, and regular taxable incomes.

The loss on the 2022 F8995 line 16 gets carried forward to Line 3 on the 2023 F8995. The loss on line 16 of the 2023 F8995 gets carried forward to the 2024 F8995.

I have strained the muscles in the back of my neck. Of course, the loss was simply subtracted from other income on the 1040. This shortened tax season of eleven weeks as opposed to the former thirteen has been a strain and will oblige me to again reduce my client list again next season.

The loss on 8995 is NOT a deduction for FIT. It is strictly used to calculate QBI deduction. Any profit this year would need to be reduced by the 8995 loss before calculating any 199A deduction.

No, generally it is carried over on the NOL worksheet from the prior year. At the moment, I can't tell you exactly where it ends up on the Sch C.

A new client came in who has a small side business he operates. On his Form 8995 on line 16 he shows a small loss which can be carried forward according to the wording on the line. All of the clients I have with small side businesses rarely if ever post a loss. This client will post a profit for last year and in looking on Schedule C I find no line entry to post a retained loss from Form 8995. I assume I can simply place it among other expenses ?

Client got married in 2023 and filed joint return with new spouse. Fed refunded shorted by $25---processing fee?? Spouse made quarterly payments electronically under her SSN. All payments cleared the bank for the amount submitted. IRS transcript matched the return as filed showing refund $969 but only $944 was directly deposited in their bank. No correspondence from IRS. No outstanding balances on prior years accounts. What gives?? Spouses CO estimated payments also sent electronically under her SSN was refunded to her by check with cover letter stating "the direct deposit refund was converted to the enclosed paper check per our fraud prevention measurers". However, the refund requested per the return was $2295 and the refund check was only $407, the amount of the estimated tax payments. Assume the balance of the refund will eventually get direct deposited?? Have not seen the issues before. Any other ideas?

I dropped back to 1040 to do my 1065, 1120S and 1040, plus my fiancee's 1040. Still cheaper than paying someone to do all of those or messing with some other software. But then I added 8 or 9 simple paid returns that more than pay for the software.

Where is that $79 program for us tax practitioners ??? That is what I paid for it in 1991.

Interesting. I guess my client doesn't really have a land trust. He's putting his personal residence in this. I'll have to get his document before I can answer his tax question.

"Land trusts are not “trusts” in the legal sense. Some, in fact, refer to themselves by other names such as conservancies, foundations, or associations. Land trusts accept donations of properties, buy land, or help landowners establish legal restrictions that limit harmful use and development." You may need to ask more questions?

Is a land trust any different than another trust, just a trust holding land? Client is holding personal residence in a 'land trust'. He is asking questions about gain on sale when and if it happens. I'm thinking that if it's a revocable (grantor) trust, then it is treated as if he owns it and will get the gain exlusion.