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Restore QB from the end of the year being audited. No entries for years after. Then, close out all prior years. In order for anyone to see the prior years info, they will need the associated password. The agent will only be able to see the year in question information. If your client does not have backups for the end of each year in his archives, he is SOL. If he does not have backups, THAT is not your issue. After you close all prior years, create an accountant copy. Then create a .qbm backup file to give to the auditor. This copy will not be able to be modified.

THANK you, AB! Yours is the first/only mention I've seen of this survey, which I'm overjoyed to spout off with. I hope I did a service by answering the survey's request for "one new feature you'd like" with the following: "Virtually EVERY request in the "2015 Enhancements" section of the ATX Community Discussion Center should be included going forward or even retroactively."

I'm not a QB expert, but starting with about version 2012, QB has an option to carve out one or more years for this very reason, so you can give the IRS auditor the QB file for the year(s) he requested but no more. The IRS bought a bunch of QB licenses and trained some of their auditors in QB.

The suspended losses are released at the disposition of the asset. ATX handles this really well. Just proceed with the disposition as normal and it will flow through to the 1040 properly. Tom Newark, CA

I'd be afraid the IRS would send both the extension and the check back if you used an extension form. Honestly, I'd have the client come in and use IRS Direct Pay. It will save them penalties and interest because it will post sooner.

Same thing in CT. They scan the bottom of the checks, and the scanners don't read the "pay to" line, just the account and routing numbers. So they get to cash a check made out to "US Treasury." Now if I tried to cash a check made out to Abby or Gail, how far do you think I'd get? I think my boss is right: the clients are getting stupider. The preparer who dealt with Schirallicpa's client likely chose a paper extension because a payment was being made and s/he didn't have the bank info to electronically pay (or the client didn't have the money in the account at the moment). Client gets the vouchers, instructions clearly highlighted in yellow, and stuffs the wrong check in the wrong envelope. I had a client who actually discarded my envelopes, made checks out to the US and state, and hand-addressed two envelopes to the state, which happily cashed them both. Didn't realize what happened until he got an IRS notice, I asked for copies of the front and back of the US Treasury check, and there it was: deposited to the state. He initially blamed me for the mistake, backed off and apologized, and is now my new best friend. I try to make a habit of never blaming a prior preparer until I know both sides of the story. Just today I responded to an IRS notice for a client whose preparer she had for decades left all the stock sales off the return (but included the interest and dividends, so I know they had the 1099). I just said that at the height of tax season when most of us haven't had sleep or food for days, stuff happens.

She should claim innocent spouse, I bet she didn't have a clue what kind of monkey business he was involved in.

Turn off automatic windows updates and do them manually when you are bored (or leaving for lunch). Too many times I've been leaving for a meeting or trying to avoid rush hour traffic on Friday afternoon and my laptop went into update mode. Now I do a manual monthly update when I go to lunch and I know what's being updated.

Looks like the one on the right is sorry she ever listened to him. A common mistake made by many.

Just took the ATX survey and exactly zero of the listed enhancements were things I cared about. It seems ATX is focused in the wrong direction(s). The deadline to take the survey is tomorrow, Friday 5/20.

We use SUMo to check for updates on other software and have Flash, Java and most other programs checking for updates automatically. We don't wifi anything in our office. The thought of data being broadcast into the ether makes me nervous. We don't even allow wireless keyboards for the same reason. An IT guy I used to work with would drive around to various offices and connect to their open wifi, then go inside and show the owners how vulnerable their private data was. He got a lot of work that way.

I don't install ANY updates (of any kind) between January 2nd and April 15th. On principle. Then I have all kinds of fun installing a zillion of them. Yes, I know, I should install the "critical" updates. But then I have to wade through the growing backlog of "you haven't installed THIS one yet!" messages.

I would use the extension vouchers, but I don't think it would make a bit of difference. Who knows? Maybe the one who handles it hasn't slept all week and says, "Eh, automatic extension granted. Let me get back to Rita's new client asking me to resend notices cause he left them in Scotland and has been trying to get her to give him advice without a notice." I am joking, of course, but I don't see how it would matter what you send with the check as long as the tax year is clear.

I got an email to renew ATX and I have never purchased ATX. I did use it when I was employed by another tax preparer.

That's why they're switching them to real time and releasing them as soon as they're available. I just don't want to updating every week instead of once a month, but security updates are important. We do a lot of work online.

Yes, some of the IRS numbers answer into the evening, and many people stop calling by 5 p.m. or earlier thinking the IRS keeps normal office hours. Some of the more specialized numbers close by 5 p.m. But, I've had good luck in the evening. Also, early morning as I'm on the east coast (but I'm not a morning person).

Bet their fine was peanuts!

Suggestion: Try around 8AM or late afternoon and avoid Mondays and Fridays. I have made hundreds of calls to the IRS and this seems to work best. Even though they weren't on the 1040 number, the results should be about the same.

I agree with Jack. We have some in the back drawer that are 3 years old. Just waiting. We do the work and then one day they wake up and say "this is the day". Or they get a letter from the IRS or State and they have to do something. They show up, we get paid. I show no judgement. But forget about it. They don't care. No telling what's going on in their life right now. I had one last month that I've been sitting on for 2 1/2 years. I did 3 years for the client and then he dropped off the face of the earth. He calls pays me $1200. I thank him. And everyone is happy. The problem is we care, they don't. Remember it's only business.

My grown kids who make little in PA coal country had to send in copies of their 1095 forms (why? it was Medicaid. Doesn't the IRS have access to those?) and were finally told that they will receive an explanation 31 May of why their refund is being reduced by $500. Had a baby prematurely in November, so a refund for 2015. And, my first filer of the season, a little old man with SS and a tiny pension who's had the same amount w/h from SS for years and years just received his refund. I don't have any returns with less income than those two. Why doesn't the IRS chase people with huge refunds or big changes from year to year or SE income or the thieves that stole my SSN last year?!

I'm with you. If I have a refund, I made a major planning mistake during the year

If you're going to mail them anything, mail them a bill.

It's idiotic. To efile you either need a new PIN (which is worthless) or you must give last years AGI and PIN. Why not require last years AGI? Any tax software could roll that forward (even Turbo Tax) and if you have last years return you have it to enter manually. If they wanted to get rid of the fake return fraud, it would be exceptionally easy but they choose not to for a reason.

Even if do our due diligence on EITC, we are not 100% sure if the client is telling the truth.

Here's the sign I prefer if my office. It covers all sorts of situations. OfficeSign.pdf Although with some clients I occasionally I want to pull this one out:

What they really should do is do away with EITC totally. The article does not mention the millions (maybe billions) of EITC fraud that does not involve identity theft. I'm sure I'm not the only one who has had the client who wants to use his brother, sister, grandchild, or other relative to claim EITC because the parent already has enough qualifying children to claim the maximum EITC. Or the bogus Schedule C income or "lets not claim that expense" to increase the EITC. I throw these people out of my office but I'm sure they just keep on shopping until they find someone who will do it or learn how answer the questions "correctly". If the government wants to help these working poor, find a way to do it that does not involve the tax system and is easier to verify.

Until America is cured of the addiction of the IRS savings account and demanding very fast refunds, the scammers will always have the upper hand. To stop the scammers, force everyone to wait for refunds till June or July, giving the IRS time to data match. Of course, all the financially irresponsible Americans (probably 80%+) will scream loud and long about discrimination and a new "war on the poor."

Can you text or email or snail mail a note? I can't get over the people who won't check voicemail. I'd say your guy has gotten the message, but just in case, I'd try another method of reaching him. Then, I'd just wait on him to pick up. It's your only chance of getting paid, and we do this to earn money, after all. There are two kinds of people, and he's in the second group. They experience zero anxiety about stuff we think about at 4:00 in the morning.

I had a client whose identity was stolen in 2014. He actually received a letter from IRS re 2015 refund being held BEFORE his legitimate tax return was even filed. So, they are making attempts to stop fraudulent returns. On the other hand; all IRS agents I have spoken to; agree that the PIN system is broken and no longer of any use. When I actually filed this particular client, using the PIN, it was rejected. Had to contact Identity Theft Dept and go through all the hoops again. Good side is: Thief never got the refund.

From this IRS page: And then below that are the rules that define "disability".

If the older brother is totally and permanently disabled, age doesn't matter.

I have at least a dozen on my screens right now. If you want to make sure they're backed up the path is: C:\Users\[your name]\AppData\Roaming\Microsoft\Sticky Notes

John, the notes aren't within the program. The sticky note might be on top while the program is open, close the program and the note is still there on the desktop. When other programs are running, clicking the sticky note icon on the taskbar will toggle it to the top, clicking the icon again will hide it. Iirc, they remain on the desktop after shutdown and restart; the user must delete them.