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I bought a new three pack of bralets & new socks. And some shirts online. So I can hold off laundry for a few more days.

Compared to us on this board, you're one of us! But, then, they don't let me go out into the outside world much during tax season to compare with the general population.

That was profound. I have no idea why, but I know it was. It needed to be said. I think.

Well, I'll start the conversation for her. I don't see how the $100K would cause her to owe, other than maybe a little bit of state tax. After all, they "already withheld the taxes" on the Federal.

The sun is shining here in AZ. Sometimes I'll walk a client out to his car and have to blink blindly for a moment or two. Like a mole person.

I think it should be felony to send our clients letters February - May. DIYers should get them, but not our clients.

Well. Tom. I'm glad you asked. Of course I said yes.

Last year I wore my lucky tee shirt every day for 2 weeks running without washing it. I slept in it and then just pulled on some jeans in the morning. I'm a rebel sometimes. A smelly and wrinkled rebel.

And of course the letters arrive and everyone calls me in a panic during one of the busiest weeks of the tax season.

That's something that that is found in all good research/reference materials. I know that RIA, CCH and The Tax Book have sections or online links to a state section that covers this. Taxman, I assume you are a current user of The Tax Book since you've posted on that forum during this season.

I look at the amounts. I do have a list of states and their requirements. If the amounts get in 100s, I'll check the list. I run it by the client. Client makes the call for me to prepare or not.

I prepare nonresident state tax returns when the amount of income requires it and bill accordingly. It takes a lot less time to check each state's filing requirement than it does to prepare a tax return. Would I prepare and bill for a return that was under the filing requirement just to plump up a fee? No. I might tack on a few bucks for the time it takes me to look up the filing requirement.

The more important question is, is she adopting? (raises his hand and waves it wildly...) I do not know if there is a timeframe or not. I would refrain from claiming it until it WAS used for improvements. Lots of things can happen.

You did not say what you answered when he asked that question? Or should we just leave that be? Tom Newark, CA

I have THREE clients all getting letters now demanding money instantly. ALL submitted installment agreements that were accepted but were never put in place. While we are working with the IRS to figure out why not, they get levy notices?!?! One I get - falls through cracks. Two is obnoxious and annoying. THREE is utter incompetence? Enemy action? Time to call legis-vermin?

Here is a free source........... https://ct.wolterskluwer.com/resource-center/guides/corporation-handbook Table of Contents Forms of Business Organizations Nature and Characteristics of a Corporation Formation of Corporations Corporate Finance Shareholders Directors and Officers Changes in Corporate Structure Tax and Reporting Requirements Foreign Corporations Going Public; Federal Securities Laws

Just enough to keep life interesting!

I love you, too, and you're not all that abnormal.

I love you, Rita!

Thanks, Ladies, for the input. He may fit the fourth employee type. It's a marketing company. I'm giving him the rules, and if he's been wrongly classified, they can correct their docs or get it right next time. I think that's all the responsibility I have here. I know I've spent more time thinking about it than I had. This is why I'm a derelict laundress. Why do I worry so much?

I do know it's pretty specific occupations. But, even if one of those (insurance agent, for instance?) I don't know if being an S-corp shareholder/employee trumps statutory employee. Are you an NATP member? This might be a good use of your annual free question with cites.

That is exactly what I was wondering, too. The S-Corp has hired a professional that appears to be more successful than me at billing at least, and I hope he has asked this question, too. I'm printing the article at the link I posted and giving it to client.

I do not know what your guy does, but if he owns 34% of the S-Corp, how can he "not have a substantial investment in the equipment and property used to perform the service"? I have absolutely no experience - just wondering.

Yes, I believe you'll have to paper file. Yes, what a pain.

Thank you Marilyn. I've got beneficiary's attorney telling me to just take the deduction. Now my client is telling me she is not actually on the mortgage but will be. She just made this very easy for me. And on the season goes.

Thanks for the reminder. I MUST do some laundry later.

Yes, a 1041 needs to be produced every year that assets are in the trust from here on out. Even after the spouse dies, the trust could go on for years. I do 1041's for about 10 different trusts where the child is the recipient but they only get the income every year - the interesting thing is that some of those children are in their 60's now. You have to do a 1041 because they are no longer her assets - they are the assets of the trust.

Almost all my clients email or text if it's short. This is how well trained: today I got a text form a client I had emailed last night "got time to chat?" Sometimes it's easier to clarify by phone, so I said yes.

Lion, you respond to clients checking on your progress? For those clients calling because "I just want to know how if my return is done," we have trained our receptionist to ask if we called them yet. When the answer is no, she is supposed to tell them that we will call them when it is. This does save us time from responding to some ridiculous phone calls. (Doesn't mean they don't call again though.) If you have a solo office, I would simply hit "delete." Yesterday I got a call from a gal who moved out of state and sent her stuff to me. I had both emailed and left a voice message that I was missing her IRA distribution 1099R. I answered her call thinking she had some information for me. Nah, she said she would look for the form but just wanted to know if she was getting anything back "so far." Me: I can't possibly tell until I see how much you took out of your IRA and how much tax was withheld. Got the form today and the distribution was in excess of $100k (10% withheld, no state). This is the same client who had moved to one state in 2014 and moved to a different state in January 2015. and told me, "I don't have to pay taxes (in new state that she lived in for 11 months), right? Did the return and she not only owes federal big time but BOTH states. Can't wait to see how long that phone call takes. I've been watching it and have come to the unscientific conclusion that between one-third and half of the calls and emails I get are unnecessary. In August I can put up with it, but certainly not now. How do we make clients realize that they are not our only client, that they can't get an immediate response to nonsense communications, that their communications ARE nonsense and time-consuming and that if they would just leave us alone we could get their returns done? And when people text, they do expect an instant response. Never in a million years would I call a client from my personal cell because then they would have my number and I'd never get away from it. We need to train our clients to respect our time better. Anyone done it successfully?