Leaderboard

Client worked at GameStop last year. Sends me a shoe box full of receipts for video game purchases...He was told they were deductible as "Job Research". If that's the case, I will immediately get a job at my favorite bar.

I have a terrible cold and it's GREAT!!! Clients are pulling into the driveway and almost tossing envelopes of paperwork at me! I cannot believe how much more work I'm getting done without all those appointments

Message: Hey, Rita, we're gonna owe this year, just calling to see if you'll be able to get our return done by the deadline? I call her: Sure, I am only two weeks behind. We have six weeks to go. Client: Ok, so I’ll bring it in, in say, three weeks or so? A) Does she think it takes longer if they owe? 2) I get a smiley for B. And you already know what B is so I'm just gonna stop talking now.

Oooh! Great idea -- client comes in, don't shake hands, instead say "I think I'm not contagious any longer" and let the assumptions fly. Along with them, right out the door. Use only as needed. Best part is it's all TRUE! Not even a white lie.

2106 then move to Sch. A. Not likely that he itemizes, so put them on the 2106 and the A and charge for both. "They are deducted. See the amounts right here..."

I grabbed stacks of docs from new clients tonight! And tossed back the pages of 'instructions' and other useless crap. I have no qualms about that kind of stuff now. Lol.

Had a client call yesterday with a couple of bank reconciliation questions. She said, "I do not know how you do this all of the time. It would drive me nuts". I responded with, "Being somewhat nuts is a pre-requisite to being in this business." I will cite Rita's post as an example. A) Does she........ (Wouldn't the next bullet point be B ) and not 2).

ISTG I cannot believe it! No, wait.... yes I do!

I toss it in the waste basket right in front of them. Nobody says a word! My husband then incinerates it.

Ah, Spring! When the post-it notes flutter in the breeze like butterflies

Also, there is no need to file form 8832 in any event since a MMLLC defaults to partnership treatment.

Had some that started out that way, but I broke them fast. "Give it all to me, if you read them out or hand them over one at a time, my fee doubles." That always worked for me. And the ones with the legal pad, I just took it from them and went and made them copies. I kept the originals in my file. I did give them back the rest of the pad.

Once I had some clients who had first gone to someone who listed both the husband and the wife as Head of Household on two separate returns. They came to me because they suspected this wasn't right

I have not related that information to ANY of my clients. That way, on April 15, when I get that last minute call, I can pretend to have a special connection to get their return filed timely, but "there will be a substantial extra charge" to do so. Then I can be a hero.

I am a little slow apparently. I just realized that in addition to the three extra days at the end since we go to April 18, this is leap year so we really have a tax season that is 4 days longer than normal. Help!!!!

Okay never mind I found where the input was to adjust the 1099R amount that is not taxable. I am use OLT software and found the entry at the very bottom of the 1099R input. Entering the amount there removes the 5329 and additional penalty as well.

I will try and remember to have my office manager get me a copy for you on Monday. if I forget, feel free to remind me.

Yeah - but I am more meek than you. Fortunately I can count on one hand the number of clients that do these things now. One of the reader's asked me just last week if he really had to fill the organizer out or if we could just do it like we always do. We agreed that he would let me copy his pages and he would not read them to me. Another one called this year for an appointment (to read to me) and my secretary told him to just drop off his stuff. We'll see if that flew or the if client flew. Either way - I win.

Haha, thanks for the reminder about Bingo. My mom won $2.75 playing bingo during her stay at the rehab facility, $0.25 at a time. Guess I better add a note to her file so I remember to report that on her 2016 return.

I just yelled out - SOMEONE'S GOING TO GET WHACKED!!!!!! For about the third time this year I have strained to read the numbers on a poor quality copy or fax of the W-2 or 1099 or 1098 only to find the original in much better clarity deeper in the pile of stuff. WWWWHHHHHYYYYYYYY!!!!!!!!!!!!!!!!!!!!!!!!!!!!

The absolute worst. Reading to me. I'm glad they can't read the thought bubble.

I hear you. But I will take the stickers any day over the meeting wherein they come in with a folder and taking out one piece at a time while saying, "this is my W-2", pause, pause, shuffle, shuffle, "this is the interest on my savings account, I think it is a 1099"............ Or the guy who comes in with his legal pad to give me his rental property information. He reads every line off of his sheets while I write it on mine. How cost effective is that for a use of my time? I have offered to copy his papers on the copier - no way Jose!

Sticker on the W-2: "W-2" Sticker on the 1099-SSA: "1099" Sticker on the 1099-R: "1099" Sticker on the 1099-DIV: "Interest" Sticker on the property tax: "Property tax" Sticker on the stack of donations I gotta add up: "Only if we itemize" Well, if you don't know, and I have to go thru this stack, you do. Last but not least, sticker on the outside of the envelope everything is in: "2015 Tax Envelope"

I have the same problem... I charge too little. I run my business as a hobby and that's why I don't care if people walk out. I have a full time job, so I never consider I have a business to run. The big companies make a lot of money in three months because they are running a business, maybe we need to learn from them. Big companies make money from Clients and employees because they pay them little.

>>>>>>The 5498 does not substantiate the date of the deposit<<<<<<< I respectfully disagree. The form 5498 that I am currently looking at indicates the time period the contribution was made which is the same time period the withdrawal occurred which is well within the 60 day window. The receipt of the contribution also reflects the same dates. So, I feel comfortable that I have this well covered. However, you and I both know anything can happen with the IRS. I do appreciate your input and it appears my client has all of the documents you mention. Thanks Jack

It's OK -- Daylight Savings Time starts March 13th so we lose an hour early, too. Whimper.

I have one client that has the broker set up a secure log-in for me to retrieve the documents AND a csv file. It actually works pretty well - the log in expires in 60 days or so, and I can only retrieve the information that is set up for me to retrieve. I get electronic copies, and I can import the csv file into the return instead of typing all of the entries for his sales (and he has a lot.) This method I like. Using their password and logging in as them - I won't do.

WOW. You are overthinking this. Claim the credit. If you are going to get into their shorts with that much detail, you have to back out. She has earnings, her husband has earnings, child care was paid, claim the credit. Rich

Look at it this way: maybe they are both only able to work because they have some time at home alone to keep them sane!

There are no exceptions for a foreigner working here on a visa and leaving the country that takes an early withdraw the funds to avoid the 10% penalty. He would have to meet one of the exceptions listed for anyone else. Two ideas that help him to minimize the overall tax impact are: Roll it into an IRA and then take a series of distributions each year over the longer of 5 years or the number of years to age 59 1/2. It won't give him that large payout though, if that is what he wants. This option would avoid the penalty and may allow the distributions to be taxed at a lower rate. Wait to take the distribution until after he stops working here and is back in Germany so that the distribution is his only source of U.S. income. Taking it in a year while still working in the U.S. and adding the distribution to his other income, it may be taxed at a higher rate than if he waits until the distribution is taxed in a year by itself. With this option, he would still pay the early withdraw penalty.

I saw this post earlier and have thought about it. You need to look at the Articles of Organization for the LLC and see whether H is the only member, or if W is also listed. If H is the only member of the LLC, then Sch C is correct. He cannot elect to be taxed as a partnership unless there is another member legally added to the LLC. If H and W are listed as members of the LLC, then you can amend 2014 to remove Sch C and report on form 1065. If they are both active in the business, I don't think the tax will change. That's my two cents, and I'm giving you a bump

Roll it into an IRA?

is it the 19th of April yet????

KC I have not used ATX since the CCH takeover. However, I will tell you I had to install the 2007 year and I do miss the smoothness and all of the features of the old software. I have spoken with one the ATX representatives this year and am seriously thinking of going back. This year is seems as though folks aren't having as much difficulty as before. I always used MAX and wonder if it is still relatively the same.

Not sure where you are talking about. But thanks anyway. I guess I have been brooding over this return too long. Trying every trick I know to reduce the taxable amount due.

I just got off the phone with the IRS. I called the Practitioner Priority Line and, surprisingly, got a fairly quick response. She tried to be helpful and I was on hold twice while she researched but the only thing she could suggest was what I had concluded from your responses: file a 1041. Of course, her only expertise was IRAs so couldn't be of any help with a 1041. I have only done a couple before but think I can muddle through! Thanks for all your input.

I thought that one would touch a nerve or too !

I've been there for a long time. Been where?

I didn't make it to March; I'm already there!

Yes, I do think you should be able to deduct your fire hall bingo losses as a donation to the fire dept, but the IRS disagrees! Unrelated: Client with a $13 state refund this year ($200 last year): Boy, the state is really cutting back on its refunds. Me: [after several seconds of stunned silence] You should probably check your withholdings so you don't owe for 2016.

I've gotten this down to a handful of clients (in large part thanks to my very convincing staff), and I make those who still want to come give me an itemized litany bring me lunch or a latte. I've received both this week! Somehow, it makes it much easier to sit through.

Is he separating from service after 55 years of age?

And don't you wish you had a nickel for every time you heard, "I think it's all there." And, "If it's not, let me know."

Sometimes I break the ice and say 'let me see that' and then reach for the whole stack, then say something like 'I see, looks like everything's here, anything new or different from last year?'

$25 plus 1.5% interest. Your invoice must state this in order to collect [in NY]. Usually when I send the late fee I always get a check dated 2-3 days before that for the initial amount. I am ok with that, I provide personal service, and like my clients or I don't keep them. the late fee is just a kick in the butt to get me my money. If the client pays it, I keep it of course, but I never really expect to collect it.

No sticker on their copy of your invoice for last year? "Exorbitant Fee for Tax Prep"

I hit folks with a late fee if they are chronically late. Yes, 1.5%/month. Basically once I start getting annoyed at repeated promises of payment without payment showing up.

Exactly. And anyone who has their old tax return on any size floppy is probably out of luck if they need to print a copy for any reason. That is one thing about a paper copy. It may be old school, but you do not need any equipment to read it, except maybe eyeglasses, if you're old, like me !

I signed up for a 14 day free trial. Seems to work well and my clients are adapting okay. Right now I'm inclined to sign up after the trial ends.