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I got the renewal notice as well. If you use the full Pro bundle the price is relatively close to last year if you but it before May 31. It retails around 2900 plus dollars. With the discounts the bundle price is $2094.00. I knew there would be a price increase but this isn't as bad as I thought.

No, I have had to amend a 941 and it requires mailing. I hate that cause only God knows when and if it will get there. The first one I filed in October of 23, is floating around the world somewhere. The PO can not find it. Yes, it was sent certified with return receipt. I was left no choice but to resend the amendment and hold my breath that two amendments didn't hit the IRS. So far so good.

If I can add, I too have been using Verifyle for the last few years. The signature portion is approved through the IRS due to the 2 factor authentication. You do get and can print the certificate which I recommend to. I keep everything digital. Yes, a single email can be used for two people sharing the same email address. I highly recommend this program. The majority of my clients hated Drake portals. I now have at least 85% of them using Verifyle. There are some older folks who just can't seem to deal with any technology. One client suffers from some form of paralysis and can no longer use their hands well. I'm pretty sure Verifyle gives the option of choosing a digital signature or a handwriting signature so a mark can be made. As Margaret said, use workspaces. You have to use workspaces to multiple signatures. Workspaces also keeps thing organized. One thing I want to know is if there is a way to stop a client from becoming the host once I create their account. I have had clients do this which prevents any signing. I'd be happy to help getting someone started. It is easy and you'll love it. If I drop my NAEA membership, I would have no gripes about $9.00 per month. Drake portals has increased to $21.00 per month.

You are amazing! I still have not heard back from the client but will be sure to ascertain that the understanding followed this expectation - as I think it did. I just want to be sure. Thanks to all who chimed in! Always more to learn.

https://www.law.cornell.edu/uscode/text/26/2036 The value of the gross estate shall include the value of all property to the extent of any interest therein of which the decedent has at any time made a transfer (except in case of a bona fide sale for an adequate and full consideration in money or money’s worth), by trust or otherwise, under which he has retained for his life or for any period not ascertainable without reference to his death or for any period which does not in fact end before his death. Sounds to me like as long as they had the right to possess the house until they died, it is included in their estate and the kids get a step up in value. In other words, a de facto life estate should work. In instances where the owner of the property has deeded the property to others but did not retain a life estate in the deed, but nevertheless continued to live in the property as a life tenant, see IRC § 2036 which uses the word “retained” not “reserved”. It has been successfully argued in the past that a right can be retained without being reserved, and that the continued occupancy of the home after the transfer of title, without paying fair market rent, is evidence of an implicit agreement, understanding or assumption of the parties of the transaction. Estate of Linderme v. Commissioner, 52 T.C. 305 (1969)

The notice tells you who issued the 1099R. Have the client call them.

Just thought I would mention the possibility, since there are 4 different kinds of transcripts and the standard Tax Return Transcript only shows what was on the originally filed Form 1040.

I printed everything I could. Wage and income doesn't have it listed.

Perhaps you have a Tax Return Transcript instead of a Wage and Income Transcript?

So- I mentioned this in a response on another person's post. My client's refund was partially taken to pay for tax and penalty on a 2019 assessment. The TP had omitted income from withdrawal from an IRA retirement account. Per the CP notice, TP reported 0 and IRS shows 17000. However, the TP had not received a 1099R (that he's aware of). And the wage and income transcript does not list this income either. So how does the IRS come up with this? I asked the TP if he remembers taking a withdrawal and he thinks he did. Typical TP didn't know it was taxable and didn't think about it when tax time came and didn't think twice about not getting a 1099R. Do I have any leg to stand on with the transcript not showing a 1099R income? Meanwhile I have asked him to reach out to that bank and ask for a copy of the old 1099. So good luck with that, right?

I think I found it - FECWKST. Thank you very much!

Do you happen to know the worksheet number?

if you use the Foreign income worksheet instead of a 1099-R worksheet, should be able to e-file

i am trying to e-file a Form 1040 that has a foreign payer included on the 1099R worksheet. The payer does not have an EIN. Is there something that I can include in that field to allow the tax return to be e-filed?

The client's lawyer should stick to writing wills and trusts. Disagree...this is just as much a tax issue as choice of entity is to a business. How to make the most cost effective transfer of wealth considering the circumstance and wishes of the client is something we can and should do. Tom Longview, TX

This is a legal argument, not the bailiwick of the tax professional. Don't go there. While we aim to please and serve our clients, sometimes they ask too much of us.

The remainder interest is subject to gift tax and Form 709 should be filed. This from the instructions: "The value of all annuities, life estates, terms for years, remainders, or reversions is generally the present value on the date of the gift." Since this is a gift of a future interest, there is no annual exclusion.

Tom, your thinking is consistent with mine. The way the client's son was explaining it to me, the NJ lawyer was having an issue with putting it on her personal return Sch E. I wanted to check to see if I was missing something. In hindsight, the son may have misunderstood the difference between revocable and irrevocable. Thank you for your response.

After a bit more research, I found this on Cornell Law website: life estate A life estate is an interest in property that lasts only for the life of a specific person, usually the possessor of the estate. The owner of a life estate cannot leave the property to anyone in their will as their interest in the property will terminate at their death. The holder has full rights to possess and use the property, and may also transfer their interest during their lifetime. If the measuring life for the life estate is someone other than the possessor, the estate is considered a life estate pur autre vie. A life estate is created by a deed that gives the property to the person "for life" and identifies what should happen to it after that person dies. For example, a deed stating that land would go "to John Doe for life, then to Jane Doe" gives John a valid life estate, and Jane a remainder. John could use the land during his lifetime, and even sell his interest to a third party, but that third party would have to surrender the property to Jane upon John's death. So I'm wondering now and again about the deed. I'm reading this as though the mother (the possessor orignally) transferred the interest during her lifetime (gifted to daughter). But then it seems that the deed must state that the property is given to the person (mother) "for life." The client has not yet responded. I hope they used an estate or real estate attorney.

Why are you concerned about the rental use of the property? I don't think it is an issue. The trust is revocable, so the income while the grantor is alive will still go on Sch E on her personal return. When the grantor passes, the son will still get stepped up basis. He can then choose to keep it a rental or sell it as investment property. It seems to me that taking the property through probate is an unnecessary step (no matter how easy it is in the state) when you can just title it now in the trust and not have to take that step after the grantor passes. What am I missing that you are concerned about? Is there something else I should be considering? Tom Longview, TX

maybe file 8821's for all those clients and wait until they need representation (and that you want to represent them) for the 2848's? just a suggestion

Tom, the will states everything goes to revocable living trust through a rest, residual and remainder clause. Note the NJ property is actual a rental property. The trust document states son gets NJ Rental Property and daughter gets Florida home. The son and NJ lawyer were skeptical about titling the NJ Rental Property in the Trust as NJ is very easy to probate. Any concerns with or without retitling the property to the Trust? No real value associated with personal property. Agree with the IRAs and bank accounts, as most are joint accounts with the son paying all of the mother's bills, it was suggested to move one account into the Trust. Thank you for your response.

I'm currently on the phone with PPL for a reduction in a 2023 refund for a 2019 additional assessment. My client never got the CP letter since his wife is in the army and they move quite frequently. His address on record was/is his dads and apparently his dad didn't take notice of any IRS letters. I'm not sure if I will be able to do anything for him. Learned a lesson though - I'm getting 2848 for all my clients in the military so I can get the correspondence.

When you say son will get NJ home, is that per the will or the trust document? If the will states he gets the NJ home, then it goes through probate, but you said the will states everything goes to the trust? IF the NJ home is not in the trust, then the will controls and NJ home moves to the trust after going through probate, then gets titled to the trust and then distributed to the son as a beneficiary of the trust (if that is the way the trust is written). Seems very messy. I think the will is in the way as it relates to titled property. All the titled property (real estate) should go to the trust and is distributed per the terms of the trust after death of the grantor. The will can move the personal items of the decedent into the trust normally without probate unless there is a large amount of value associated with that personal property (Heirloom jewelry, expensive silver, artwork, etc) and if so these items should be listed as assets of the trust. IRAs should never, IMHO, be transferred to a trust. They should properly designate the beneficiary and move by operation of law to the designated beneficiary on death. Same with bank accounts and brokerage accounts that are supposed to go to an individual. TOD is a better option. If the trust is supposed to get the cash accounts, then title the account to the trust. Others may disagree, this is how I would advise the client based on your posted scenario. Tom Longview, TX

Thank you, ladies. And, duh, when all else fails, read the instructions! I did tell mom and daughter that I want to see her LTC contract to know what's covered (she talked as if it's NOT the per diem coverage, but need to read her contract).