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Unreimb'd expenses paid by an S corp shareholder/employee would be reported on Sch A as employee business expenses. If this is the case, it is better to suggest that the S corp set up an accountable plan to reimburse for those out-of-pocket expenses, and those expenses need to meet the "ordinary and necessary" criteria.

Perhaps this should be a separate topic ? The SEC announced today that they recently discovered that their database containing sensitive corporate information which could have used to generate insider trading profits was hacked back in 2016. So here we all are being bounced around like ping pong balls in a game we can't see by unknown players waiting for our number to come up like a reverse lottery. Any thoughts that we as individuals have control are sadly probably delusional .

Actually, I read a story about the creation of the site. The site was deliberately created by a software engineer the day the news of the hack was first announced. He then inserted the link to his fake site into Equifax's tweet as an object lesson of how easy it is hack a company like Equifax. According to the creator, the fake site was just a dummy, which didn't collect or save any information. Very funny, I really needed a chuckle at that moment !

Don't let her fool you! Our Judy is *amazing* and her knowledge is extensive.

In one of the Equifax's latest missteps, on Monday night the company sent out a tweet with what was supposed to be a link to their page where people could sign up for the free year of credit monitoring. Instead of sending out the correct page, it tweeted a link to a phishing site.

One of the executives who sold his stock and then had the audacity to claim he knew nothing was the Equifax CFO. #*#*#*#*

Equifax had an earlier breach in March, and according to the Wall St Journal the top executives sold tons of stock then too. This one was only announced to "customers," i.e., certain financial institutions that use their reports, not to the public. It's beginning to look like the SEC is the one who is going to nail them, and then consumers will get much of the fines. The class action lawyers will have to stand in line. Joining a class action now is premature in my opinion. Equifax still isn't sure (or isn't identifying) the consumers whose data were stolen. Eventually they will have to send letters to all those millions of people. (USPS should have a banner year.) Their website that supposedly informs you if you are among the victims isn't functional--people have gone in three different times and gotten different answers. Some have entered random letters for their name and all zeros for the SS#s and learned they were hacked. As of today none of us really knows if we are among the injured.

Bart, I agree that is usually what happens, although I did receive $ 4,900 from a class action lawsuit against Charles Schwab.

Whether it's waived or not, I wouldn't be counting on ever receiving anything substantial from them in a class action lawsuit (not sure about individual lawsuits). I used to play the market quite a bit and over the years was involved in several class action suits (American Express, Red Hat, eMachines, Amazon (no, I didn't keep that last one-I knew it would never get past $34). Anyway, those things are a lawyer's dream - they typically sue the companies for $25-50-100 million; name 2 to 5 people as "token plaintiffs," and pay them about $5K each. A very small portion goes to the actual injured parties (you), and the lawyers keep the remaining lion's share (many millions). One (filing against American Express, I think) even gouged with the stipulation that they (the lawyers) were also to receive a minimum of $2.5M for "mailing and handling" with the reservation that they must be reimbursed if such cost exceeded that amout and noting that they "expected it would." While I don't remember my check amounts received exactly, I believe they ranged from about $5 to $75 each.

Just got off the phone with my long time ATX Sales Rep, where he told me that staff has repeatedly asked ATX top management to communicate with ATX users with a detailed response addressing all the problems that users had during this past tax season and specifically what is going to be done to fix those problems. According to my long time Sales Rep, "Nothing has happened." Which is exactly why I decided not to renew with ATX !

Personally, I would just correct it going forward.

Sometimes it is just a joint venture between two Schedule Cs. And, sometimes if potential clients don't know what business entity they are and don't know where there finances stand and have no plan at all, it might be a hobby! With realtors, it's location, location, location. With tax preparers, it's question, question, question. Keep asking questions.

Equifax has made it clear in print on their site that you do NOT waive your right to sue. I still think the're sleazeballs, but the public outcry or states attorneys general or both made them remove the waiver and state their new offer.

I usually work with clients when they bring in all their tax information EXCEPT those pesky K-1s that might not arrive until after 15 September. It was good to get a handle on the entity they worked for sooner rather than later, especially that time since it turned out they work for a C-corporation. That way I knew to ask for W-2s, told them what they would receive/not receive from that company, let them know the low value of unreimbursed employee expenses ($0 in their case of high AGIs), and talk to them about fringe benefits. By the way, they still call themselves partners; some things you can't change.

Many partnership agreements are verbal, and that is okay with IRS If this one is, get something from the partnership stating that all partners are responsible for their own mileage, cell or whatever. Be careful if this physician also works elsewhere. You'll have to pro-rate expenses like license renewals, malpractice insurance, board memberships, medical journals, etc. I usually do it by income at each work site.

Ask all your clients who receive K-1s from a partnership to give you a copy of their partnership agreement. You can learn some interesting things! (I had some guys who called themselves partners, but it was a C-corp!)