Lee B Posted March 10, 2013 Report Share Posted March 10, 2013 A number of news stories have been appearing in the last 24 hours about taxpayers receiving letters from the IRS informing them that their education tax credits have been mishandled by H & R Block which will result in their refunds being delayed 6 to 8 weeks. Misery loves company. 1 Quote Link to comment Share on other sites More sharing options...
David1980 Posted March 10, 2013 Report Share Posted March 10, 2013 http://blogs.hrblock.com/2013/03/04/what-you-need-to-know-about-form-8863/ In previous years, H&R Block has transmitted a “Y” for Yes and a blank for No for questions 22-26 on Form 8863. The IRS no longer accepts this format leading these returns to be reviewed further, but without delaying the estimated 21-day refund cycle. Once we learned of this change, we worked to comply with the new IRS process and now are transmitting an “N” for a No answer. What I find the most interesting is that H&R block has been transmitting the answers for questions 22-26 on Form 8863 in previous years. 2 Quote Link to comment Share on other sites More sharing options...
joanmcq Posted March 10, 2013 Report Share Posted March 10, 2013 Might be a spin to make them look better. Maybe that's just what the software defaulted to. Quote Link to comment Share on other sites More sharing options...
jainen Posted March 10, 2013 Report Share Posted March 10, 2013 >>What I find the most interesting is that H&R block has been transmitting the answers for questions 22-26 on Form 8863 in previous years.<< Nice, David! Very fine! (In my experience, sarcasm doesn't come across very well on this forum, especially in March. So if you didn't get his joke, here's the link. http://www.irs.gov/pub/irs-prior/f8863--2011.pdf) 1 Quote Link to comment Share on other sites More sharing options...
Lee B Posted March 12, 2013 Author Report Share Posted March 12, 2013 According to a IRS spokesperson today, the number of affected returns is up to 600.000 Quote Link to comment Share on other sites More sharing options...
Elrod Posted March 12, 2013 Report Share Posted March 12, 2013 DANG..........I should of had them do mine....... Quote Link to comment Share on other sites More sharing options...
mrichman333 Posted March 13, 2013 Report Share Posted March 13, 2013 H & R Block is IMO is a big joke. A big money maker, but a joke. I have seen many of their clients. One told me the guy who did their return was their mailman. And yet they charge higher fees then the top CPA firm in the area. Do you think most of their customers know that people who are doing their tax returns are not really tax professionals? and that most have no formal education in taxes or accounting but are trained to use the company software and pump out returns? Quote Link to comment Share on other sites More sharing options...
Lion EA Posted March 13, 2013 Report Share Posted March 13, 2013 I started with H&R Block. Was required to take a 66 hour course and pass a test with 85% or better to be hired, then was required to take 24 credits (30?) each year to keep my certification. With HRB training, I passed all four parts to earn my EA in one sitting. I still refer to my HRB textbooks. By the way, we didn't touch a computer until after we were hired and they were training us; used a computer in some of the advanced classes, too. There were some beginners who were never going to get better, but there were some outstanding and intelligent preparers who chose to work only during the winters (other jobs or retired or...). I had a couple of great mentors at Block. Quote Link to comment Share on other sites More sharing options...
Guest Taxed Posted March 13, 2013 Report Share Posted March 13, 2013 I do agree that there are good and bad preparers in every business. But Lion's experience is somewhat rate these days. Years back (over a decade back), i took a few courses at HRB when they offered during the summer. One was depreciation and the other was business income. The teacher was great. She was an EA and knew her stuff. But last year i happened to go into one HRB with my friend who was going to get her taxes done there and I went along because she requested. The fellow was obviously out of his pond! Had to call a supervisor 3 times to do a Sch A with Ed. credits and 5695 form. Looked around ant it appeared that most of the preparers looked inexperienced. I believe they save the more experienced ones for business returns. Ask why I don't do her tax return. Long story, has to do with her husband! Quote Link to comment Share on other sites More sharing options...
David1980 Posted March 13, 2013 Report Share Posted March 13, 2013 H & R Block is IMO is a big joke. A big money maker, but a joke. I have seen many of their clients. One told me the guy who did their return was their mailman. And yet they charge higher fees then the top CPA firm in the area. Do you think most of their customers know that people who are doing their tax returns are not really tax professionals? and that most have no formal education in taxes or accounting but are trained to use the company software and pump out returns? Well, TurboTax / Intuit is trying to help get regular people to know their preparers aren't necessarily tax professionals, with their plumber commercial. That said, what exactly is a "tax professional"? Most people preparing taxes for money don't have a college degree in accounting. You could say there's the RTRP test, but of course you can't take that right now / it's not required due to the court case. I would guess most people on this very forum got into taxes without formal education. I myself started at HRB after taking their training class. I'm no CPA. Quote Link to comment Share on other sites More sharing options...
Lion EA Posted March 13, 2013 Report Share Posted March 13, 2013 That TT commercial has its own misleading direction. While trying to convince viewers that HRB preparers might have "no experience necessary" they fail to point out that TT preparers are themselves not experienced preparers! (Yes, TT users can ask an "expert," but HRB preparers have their own Hotline.) Quote Link to comment Share on other sites More sharing options...
mrichman333 Posted March 13, 2013 Report Share Posted March 13, 2013 Well, TurboTax / Intuit is trying to help get regular people to know their preparers aren't necessarily tax professionals, with their plumber commercial. That said, what exactly is a "tax professional"? Most people preparing taxes for money don't have a college degree in accounting. You could say there's the RTRP test, but of course you can't take that right now / it's not required due to the court case. I would guess most people on this very forum got into taxes without formal education. I myself started at HRB after taking their training class. I'm no CPA. That's just it. Of the dozens of former HRB customers I have done taxes for all of then thought the preparers at HRB were accountants with college degrees. Quote Link to comment Share on other sites More sharing options...
mrichman333 Posted March 13, 2013 Report Share Posted March 13, 2013 Didn't mean to insult anyone. I took a HRB class about 10 years ago, it was not like what anyone here described. Quote Link to comment Share on other sites More sharing options...
NECPA in NEBRASKA Posted March 13, 2013 Report Share Posted March 13, 2013 The plumber isn't even a plumber in the commercial, he is an actor from a bunch of shows that I have watched. I wonder if any of them are actually preparers or have really read all of the code. One of my customers actually asked me if I had read it like the girl on tv from HRB. I said sure, that's why I'm so far behind. Quote Link to comment Share on other sites More sharing options...
mrichman333 Posted March 14, 2013 Report Share Posted March 14, 2013 The real HRB preparers are nothing like the ones in the TV adds. And the get your "simple federal" return done free. What a bait and switch, I wonder how much they charge for the State return and efiling, or what they consider simple The plumber isn't even a plumber in the commercial, he is an actor from a bunch of shows that I have watched. I wonder if any of them are actually preparers or have really read all of the code. One of my customers actually asked me if I had read it like the girl on tv from HRB. I said sure, that's why I'm so far behind. Quote Link to comment Share on other sites More sharing options...
Lion EA Posted March 14, 2013 Report Share Posted March 14, 2013 Can't charge for e-filing. And, both TT and HRB do the free simple federal return thing (1040EZ only?) then charge for the state and more complex federal returns. Dueling ads! Quote Link to comment Share on other sites More sharing options...
joanmcq Posted March 14, 2013 Report Share Posted March 14, 2013 In CA, the state is $40. And any extra forms are extra. You qualify for the retirement credit? Regular price. Quote Link to comment Share on other sites More sharing options...
Lion EA Posted March 14, 2013 Report Share Posted March 14, 2013 EIC is probably extra, right? Quote Link to comment Share on other sites More sharing options...
mrichman333 Posted March 15, 2013 Report Share Posted March 15, 2013 1040EZ so if you have one W2 and one kid, you don't qualify because you need a 1040A? So lets say 40 for the state and how much for the 1040A? Quote Link to comment Share on other sites More sharing options...
joanmcq Posted March 15, 2013 Report Share Posted March 15, 2013 Don't know, but EIC is definitely extra. The deal is for a 1040ez. No state, no extra anything. I wonder what they'd charge if they brought a 1099-INT with $15 of interest. "Sorry, but that'll be $50 more if I include that. We could just leave it off". One of my clients tried going to Block for the deal. Just got married, so they had two W2s. THat was ok, but when they asked if they'd be better off filing MFS, THAT was going to be extra to check. And then twice paying for the state. They came back to me and paid $60. And I checked on MFS. for free. Quote Link to comment Share on other sites More sharing options...
mrichman333 Posted March 15, 2013 Report Share Posted March 15, 2013 Don't know, but EIC is definitely extra. The deal is for a 1040ez. No state, no extra anything. I wonder what they'd charge if they brought a 1099-INT with $15 of interest. "Sorry, but that'll be $50 more if I include that. We could just leave it off". One of my clients tried going to Block for the deal. Just got married, so they had two W2s. THat was ok, but when they asked if they'd be better off filing MFS, THAT was going to be extra to check. And then twice paying for the state. They came back to me and paid $60. And I checked on MFS. for free. I couldn't believe the prices I was seeing on HRB returns. HRB isn't the only culprit, I had an elderly couple come to me after having words with their cpa. All they had was SS, period. I told them they did not need to file because SS isn’t taxable unless ….. They couldn’t believe it, they told me this cpa was charging them $300 to file their return and he never told them they didn't need to file. What a theif Quote Link to comment Share on other sites More sharing options...
SFA Posted March 15, 2013 Report Share Posted March 15, 2013 About H&R Block--it is easy to pillory Block for the confusion over the completion of the Education Credit form. This year, all these changes were made last minute and rolled out at a time that we are on the firing line. The extra work to complete the due diligence on EIC, energy credits, education credits, the new forms associated with capital gains, et al. Every box must be perfectly checked. When I graduated from college with an accounting degree, I had no idea how to prepare and assemble a personal tax return. I learned the fundamentals from Block. This was in 1975 when we did returns by hand. No computers. Kids didn't even have social security numbers. Quote Link to comment Share on other sites More sharing options...
joanmcq Posted March 15, 2013 Report Share Posted March 15, 2013 Hey, new form, read the form. I have no sympathy. 1 Quote Link to comment Share on other sites More sharing options...
SFA Posted March 15, 2013 Report Share Posted March 15, 2013 OK Quote Link to comment Share on other sites More sharing options...
kcjenkins Posted March 16, 2013 Report Share Posted March 16, 2013 When I graduated from college with an accounting degree, I had no idea how to prepare and assemble a personal tax return. I learned the fundamentals from Block. This was in 1975 when we did returns by hand. No computers. Kids didn't even have social security numbers. You bring back a lot of memories. I could have written every word you wrote. Remember when you applied for a SSN when you got your first job? I started teaching Accounting at ASU in '75 and I made it a point in my Tax classes to introduce the students to some of the basic forms. Of course, back then there were a lot fewer forms, too. But I'd give them a Sch C, for example, to solve a problem on. I did not want them to be like me, having gotten an M.B.A. in Accounting without ever seeing a single tax form. 1 Quote Link to comment Share on other sites More sharing options...
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