Leaderboard

I have received my computer back from the IT professionals and they were able to recover all of my files intact as far as I can see. I am currently backing up and migrating all of the vital files to the NEW computer. The problems were: • found boot files were damaged and fixed them. • fixed boot directory, cleaned up Temp, registry, and startup files. Thanks to everyone for your help and this was a blessing.

Seems that you are all correct. Here is what I found in Pub. 51: Employee share paid by employer. If you would rather pay a household or agricultural employee's share of the social security and Medicare taxes without withholding them from his or her wages, you may do so. If you do not withhold the taxes, however, you must still pay them. Any employee social security and Medicare taxes that you pay is additional income to the employee. Include it in box 1 of the employee's Form W-2, but do not count it as social security and Medicare wages and do not include it in boxes 3 and 5. Also, do not count the additional income as wages for FUTA tax purposes. Different rules apply to employer payments of social security and Medicare taxes for non-household and non-agricultural employees. See section 7 of Publication 15-A. I will pass this along to my new client. If he resists, I will give him the phone number for H&R.

Except for the depreciable assets which begin depreciation when placed in service/business opened doors.

REMEMBER ------ the NSA has all the details of the conspiracy being planned here and THEY KNOW who you are!

Back when ATX was still ATX, there was actually a link to let you talk to the developer that was 'in charge' of a specific issue, and using that I was able to talk to the right 'ear' and get real results, fast. Once CCH bought them, that ended. It's a sad fact but realistic, that if ATX has 20,000 users, a few hundred is "too small a subset for us to be concerned about." So what we have to do is get more users to ask!

Doing it that way should still make him happy, since you do not count it as social security and Medicare wages and do not include it in boxes 3 and 5. So he's not paying double on the payroll taxes. And doing it right will not increase his audit risk.

You are not allowed to use another person's EFIN. Another ERO would have to be willing to transmit the returns for you with their name as the ERO and associated EFIN. They have to match. You would also have a disclosure problem if you transmit, or in any fashion, give clients' returns to another preparer to act as the ERO without a signed release from each client. Here's something from the IRS that might clarify: http://www.irs.gov/uac/Electronic-Return-Originator Electronic Return Originator An Electronic Return Originator (ERO) is the Authorized IRS e-file Provider that originates the electronic submission of a return to the IRS. The ERO is usually the first point of contact for most taxpayers filing a return using IRS e-file. The Origination of an Electronic Return Although an ERO may also engage in return preparation, that activity is separate and different from the origination of the electronic submission of the return to the IRS. An ERO originates the electronic submission of a return after the taxpayer authorizes the filing of the return via IRS e-file. An ERO must originate the electronic submission of only returns that the ERO either prepared or collected from a taxpayer. An ERO originates the electronic submission by either of the following: Electronically sending the return to a Transmitter that will transmit the return to the IRS Directly transmitting the return to the IRS Providing a return to an Intermediate Service Provider for processing prior to transmission to the IRS In originating the electronic submission of a return, the ERO has a variety of responsibilities, including, but not limited to the following: Timely originating the electronic submission of returns Submitting any required supporting paper documents to the IRS Providing copies to taxpayers Retaining records and making records available to the IRS Accepting returns only from taxpayers and Providers Having only one EFIN for the same firm for use at one location, unless the IRS issued more than one EFIN to the firm for the same location. For this purpose, the business entity is generally the entity that reports on its return the income derived from electronic filing. The IRS may issue more than one EFIN to accommodate a high volume of returns, or as it determines appropriate. An ERO must clearly display the firm’s “doing business as” name at all locations and sites including Web sites at which the ERO or a third party obtains information from taxpayers for electronic origination of returns by the ERO.

Exactly. I see M & N for retired NY Bell employees receiving free telephone service. Those codes are used when non-cash taxable compensation is paid, so FICA and Medicare cannot be withheld. If he knows so much, he can do it himself! The right way or the highway...

I see codes M & N typically used for taxable compensation from the cost of life insurance over $50K or other benefits provided to retired union folks that still have some benes provided by the union but that aren't receiving any compensation that is actually paid to them. I agree with the others that say to gross it up.

I do payroll processing. Personally the only way I would touch this would be by grossing up the wages for the FICA that should have been withheld. and then run the calculated grossed up wages thru the 943 and their W 2 s and pay both sides of the FICA. Otherwise walk away!

Then I don't think you have any choice but to gross up Box 1 to include the 4 and 6 amounts that the employer will pay on the employees behalf. (How badly do you want to keep this client?)

It's not true that same sex couples can no longer register as RDPs. My assistant just did this past November. But no, the IRS does not recognize them as married although CA does. So you'd still file two single (or single/HOH if applicable) federal returns under community property rules, and CA as either MFS or MFJ. There is quite a bit of litigation and requests for clarification going on regarding RDPs and civil unions. You could file a protective claim for the 2011 year as joint in case the rules change in the future. I did so for several of my married clients and the claims for 2008 & 2009 are just starting to be processed.

If you take care of my problem, I'll take care of yours!

The descriptions and pictures on this list made me laugh out loud when I think back about this past year on this forum. The list goes through to page two of this post: http://www.theapricity.com/forum/showthread.php?53850-The-Full-List-of-Internet-Forum-Personalities!-With-pictures!

I think I found myself in there. But I am not admitting to which one.

Stamps went up from .46 to .49 cents.

I just made 6% on my money that I invested in Forever Stamps last week. When was the last time you made 6%?

I just wish everyone would participate! It is easy to complain, but unless people submit the suggestions, I don't think they should be able to complain. The CAB meeting was to inform CCH/ATX of the feelings and concerns of their customers. Ours were 8 voices and we spoke very intently about many things. However, unless there are a substantial number of others that make suggestions, it will get no attention. Case in point, ATX2013 is not 64bit compatible. This means that the program can only access a little over 3GB of your RAM. It also is not capable of accessing all the capabilities of a 64bit processor. I have been pushing this "inequity" so hard that I was "rebuffed" for my intensity. I kept asking why the "recommended" hardware was 64bit yet the program was not capable of accessing the 64bit capability. I never did get an answer, and the 64bit question is "under review for possible future implementation." Voices of their customers will have far more weight if there are enough. Some of the major points we talked about at the CAB meeting had only received a few hundred suggestions from ATX users. ATX is stating they have 20,000 users, so a few hundred is "too small a subset for us to be concerned about." Point is: Make your suggestions known and make them known often.

I used to take it off, but it seems the last few years, it has not been that easy so I just leave it on. After all, I AM preparing the return.

I have Sch C clients who NEVER balance their checkbooks. I am certainly not going to take that extra work upon myself. They give me the numbers, they sign the engagement letter and the return. I think their bank account is their business. Their income and expenses are mine to the extent that they give it to me; however they arrived at it. I am talking about very long-term clients. I would not be that comfortable with a new client and would need to see P&L and or Balance Sheet.

Are you a CPA? Because that starts looking a lot like accounting, and at least in my state even accountants are wary of looking like an audit engagement which requires peer review and tons of liability. What would the bank statement show you anyway? You don't know whether it is an accurate view of his income and expenses. If YOU interpret it that way, YOU are responsible for your interpretation. Make HIM provide the numbers directly--use the organizer! For Schedule C, E, or F use his P&L or a less formal income and expense ledger. If you don't believe those, resolve it within the interview or decline the engagement. Please post some links into what you have been seeing about this supposed need to review a taxpayer's bank statements.

Dont buy into these scare tactics. Take the numbers the client gives you if they looks suspect question them but dont get tied up in the nonsense.

Is it even reasonable to ask to see the bank statements for a Sch C or F? After all, we aren't auditing the return, just preparing it from information the client gives us.

No. As your own link says, "the ruling does not apply to registered domestic partnerships," Some people expect that to change, but it will probably have to wait for a court case. Or your own clients could be the court case! Personally, I don't believe it will change. California law has always maintained a very big distinction between marriage, which in the past was only for heterosexuals, and RDP which included both same-sex and some opposite-sex couples. Now the limitation has been reversed, so either couple can get married but only certain opposite-sex couples can choose RDP. In fact, one of the purposes of RDP is to avoid certain third-party legal issues of marriage, especially in terms of pensions and support payments from a prior marriage. That's a distinction which remains as definite as male and female, so I don't think your clients will ever have any legal basis for their position that California RDP was equivalent to marriage in 2011.

my old Daisy bb gun could fire finishing nails dropped down the barrel, breaks the light and leaves nothing incrimination like a bullet or bb.

Do you now any 13 year olds with bb guns? If it is so high up, the owner will get tired of replacing it at some point. As I read this story, I just kept thinking "would I use a bb gun or a .22?". Tom Hollister, CA

So my neighbor tore down his little house at the back of the property and built a McMansion at the front of the property outside our master bedroom. I actually had to buy a bathroom shade for the first time since 1978. Then the new owner put in that very same terawatt floodlight pointed at our bedroom window. If it weren't mounted so high, I'd relocate it to his letter box. Plus his barky dog is out all the time barking. Yes, even at 2:50 a.m. in 22 degree weather and snow. Maybe the dog warden would relocate the dog AND the floodlight.

I once had an audit on an escort that deducted birth control and the agent accepted it.... That aside, I too do a few strippers since my old office shared a parking lot with a club and they would come in from my sign. [ah the benefits of having a store front office]. You aren't doing an audit so you don't need records other than what they tell you, get it in writing and educate them how the irs will do a lifestyle audit; what is their rent, their car payments, their child care, food, clothes etc. Most of mine would show a 20k-50k profit, especially the ones that were thinking of buying a condo etc. ps: I no longer am in the store front but its available if any one is interested, the good part is I never had to give a guy directions to my office. me "hey its across from the ******Trap" them "ok I know where that is"