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This is for @RitaB

Crying.

@RitaB and @rfassett -- OK you two... any minute now, you're going to start splitting infinitives in addition to ending sentences with prepositions. Then comes bad punctuation ("Let's eat Grandma!" -punctuation saves lives). Enough already!

It's rare, but when a situation arises where my gut feeling is that a new client is taking advantage of my good nature I will not take them on because it's an indication of what the future will be. These clients can be exhaustive in wasting your time. You know where these people are coming from. And you like to tell them where to go to. I hope I used the prepositions in the right context, I want to be correct knowing the people I'm here with.

Where is this thread headed to?

Methinks you should be called out just because of!

You said the amount is very small. Is the potential savings of S/E tax, penalties, and interest on that amount worth what you will charge them for doing the work? If not, maybe leaving things as they are is the better choice, even more so if the daughter has any expectations of ever doing any more work for the company involved.

I disagree, there is no age limit for a self employed person. I agree that the preparer had no choice but to file subject to SE tax as 1099 was issued for earned income although as she did work/labor it should probably have been filed on 1040-Sch-C. If your niece wants to contest the status (for employee) I believe there is an IRS form 8919 and SS-8, for procedure of doing that with an amended tax return. Search IRS for "Misclassified Workers to File New Social Security Tax Form".

Don't be out calling me.

This business of ending a sentence with a preposition is an error up with which we should not put.

Nailed it !

Well, Terry is the one saying it's very small, but yeah, everybody that tells me, "I really didn't make anything on that," really made something on that. Same as "but they held out the tax already". Uh, they held out SOME tax, not THE tax.

I love when my clients tell me "the amount is very small". To me, 10 cents is a very small amount, but for you it might be a few thousand of dollars. I always tell my clients, give me the amount and you save the adjectives.

To these type of clients, I ask them to drop off the documentation and to pay half of my fees, then I will call them if I have questions and I will call them when their taxes is ready to be reviewed and signed. When they ask me "how do I do this on TT?" I ask, "what is that?.... I use another software package so I have no idea about TT. You can call their support hot line and they will be able to help you".

I am in the business of preparing taxes. I would be happy to prepare their tax return, and not feel obliged to give them a "soundbyte" over the phone, which this customer thinks would be adequate. There are numerous elections which come with depreciation -- and an IRS publication which is a half-inch thick. Don't tell me you are going to use TT and expect me to advise you. The advertisements for TT are everywhere, and tries to make the listener believe they can spend a lousy 40 bucks and be as smart as a CPA.

Me too, but I give them the Tax Classification Report which shows 2016 depreciation, and even assets which have been disposed of. (Sorry I ended a sentence with a preposition, need more coffee.) I would charge extra for Detail Report that shows 2017 depreciation since I know he's not coming back unless he gets called out on his errors, which is unlikely, let's be honest here. I'm not sure if ATX prints 2018 and subsequent years. If I had to do it manually, it would be worth an awful lot more.

Did I say the right thing? Yesterday someone called to see if can I prepare their 2016, they have prepared their return using TT in the past but were stuck when it can to depreciation. The person didn't understand how it work, the benefit, how to set it up in TT etc..., they asked if I prepared their 2016 and if I can give them a depreciation report so they can use it for future years, I responded by saying if you are just looking for someone to explain depreciation and give the tools to prepared it yourself next year then I will not be interested in preparing your tax return. They said that was not their intentions but then there is the gut feeling.

The IRS has 10 years to collect any debt from tax payers when returns are filed. I have heard some tax attorneys to suggest to people not to make payments when 10 years are around the corner because after 10 years the statue of limitations kicks in and the debt is gone. So if your client will receive a huge refund this year and the statue of limitations for a debt will expire in August, since you are busy, you will put them on extension and file in October, correct?

I certainly understand your response, and it is not wrong. You have the right to run your business any way you see fit. I can see a time coming when I might do the same thing you did. I might also do it now if the person seemed unsavory, for lack of a better word. None of us were there. You did fine.

You didn't get the "talking chickens" question? I just got a lame question that year on how many cats (zero) we had.

A daily question I receive, from employers wanting to know how to pay a "1099 employee" using our payroll software. My stock answer is there is no such thing as a 1099 employee (I do not mention the rare exceptions, since I would rarely even recommend them). I send a link to 20 questions type sheet, and a short inclusion of things such as setting hours, does the person have other clients, a business license, can they send someone else - dressed in shorts and flip flops arriving and leaving at will, etc. Some press the issue, wanting to argue it is them who sets the status. Some get mad for trying to share helpful, and possibly money saving knowledge. Some complain that "other" payroll software allows tracking people and entities who are not having taxes withheld. On the other hand, in my youth I worked for cash, even at a job where I got hurt, and accepted the responsibility for my actions. As I wised up, I realize how foolish it was. Hopefully the 17 year old learns before I did.

TT is a commercial product that makes the ignorant public feel as if they can be a do-it-yourselfer. Any lay taxpayer who feels they can work with TT products - isn't worth my time wasting trying to teach them how to use it. Have them "Ask the Box" as the advertisement used to say.

I would have taken the client. I give all of my clients with depreciation a depreciation report with the return. If they feel so motivated to try it alone - I will be more than happy to help them straighten it out when they screw it up - at highly inflated rates. Now - if your prospective was interested in being schooled in the intricacies of depreciation - that I would not do. I do not operate a school.

You just lost 95% to the bottom line. You already have the software, the knowledge, the time, the paper, the internet access, the toner... and so and so. So almost all of what you were going to charge was going to your bottom line. You take this type of client and give them their depreciation report and they will come back next year because they will not learn how to do it because even if they understand the principle, they will not know how to input the information. In my mind, all my new clients are not coming back next year and I accept them, otherwise, I would not be in business. Comprende compadre?

Another scam going around is a call from someone claiming to be a Federal judge who is telling the recipient that they failed to show up for jury duty and a fine is being levied against them. The victim is told they have a short window of time to pay the fine or else they will be put in jail, the fine will double, etc. It's amazing that people would think a Federal judge is going to call them directly and that paying with a prepaid Visa is a normal practice for paying a fine.

I have my 1977 tax return and it doesn't look a think like that. hehehe