Leaderboard

I'd make sure the computer you buy still has a CD reader. There are still a few CD users kicking around, and I have found it was worth having that included as an extra. A lot of the new PCs don't have it and you tend to not think of it. And I agree to get the business windows version too. I've always had luck with Dell

I am amazed at the stuff Judy finds on the IRS website. I looked there and found nada relating to my question. I am in awe of her skill. Tom Modesto, CA

Yes indeed. I have learned that sending them in by fax is highly dependent on WHEN. Sending them after hours or over the weekends is useless; the machines run out of paper, memory, or both. Likewise, before 10 or 11AM on Monday or post-holiday - they haven't been re-loaded with paper yet. 11AM or later, and before 4PM, on weekdays that are not holidays. And just hope your fax re-dials often enough to get through the busy signals. Sigh.

I don't think you have given enough info to answer your question. However, I don't think you can call it a theft loss, it sounds more like a bad debt. If so, the question becomes whether it is bad dept from business (write off 100% as ordinary loss) or personal (treated as short term capital loss). Section 166 basically says that a business debt is one created or acquired in connection with a taxpayers business,: or incurred within a trade or business. It depends on facts and circumstances as case law tells us. For example, there was a case where a CPA incurred a business debt when he loaned money to a start up business with the expectation of providing professional services to the business. So in the case of your client, if he can show it was connected to a trade or business he gets a free pass to write it off as an ordinary loss. However, there is another possible twist since you mentioned a partnership. There are cases where the courts have treated loans as a capital contribution in exchange for a percentage of profits. If that was the case, then the loss becomes deductible under section 165. So then the question is whether the house flipping venture was going to be treated as a business or an investment in determining whether an ordinary loss or capital loss was incurred.

Seriously, I hate searching on the IRS site and can't find directly because it brings up about 40 pages of unsorted stuff. I have better luck with Google, and this time it was "OIC and installment plan" and looked for the best link. It just happened to be the IRS site this time. It looked like a pretty good page of info too. Hope it helps..

Anything to "clearly" explain the QBI deduction? HA HA HA! "It seems rather complex." Understatement of the century. "Simplifying" it? You jest! Clear and simple are not adjectives that will ever explain the QBI, and complex doesn't do it justice. I took a 4-hour course on it, learned more in an update seminar, and read a lot. The one clear takeaway I can offer is that almost no one will get to deduct 20% of their net profit. There is a limitation that applies to everyone: You can deduct the LOWER of 20% of your net profit or 20% of your TAXABLE income (ignoring here the other limits imposed by AGI or type of business). For taxpayers whose business is pretty much their only income, their taxable income is certain to be less than their profit. For example, you are self-employed as a tax professional and have $100k profit. You adjust that by one-half of SE tax, self-employed health insurance, and maybe contributions to a retirement plan, and then subtract your standard deduction. Your taxable income is now $50k. Your QBI deduction is limited to .2 X $50k = $10k, not the 20% $20k you were dreaming of. The only people I can imagine that will get the full 20% of net profit are those who have W2 jobs and a little side business.

The contract to sell my business was signed today. The buyer takes over on January 1st. I finish the bookkeeping and tax returns dealing with 2018. Did someone say "PARTY".

I have several elderly in this same situation that I visit at their homes, lifelong friends too so I am willing to help in this way. They have adult children that drop off or send scanned documents, ask my questions by telephone, and then I make one trip for delivery of the product and getting the e-file authorizations signed. It gives me a little break out of the office to deliver, and I try to combine the trip with something else to lessen the burden of being out of the office just for them.

I send my semi-retired hubby to make the return trip. He knows nothing about taxes, but knows where to get signatures with my flags. Perhaps you can find someone who works inexpensively to deliver the tax folders and get the signatures. You could even use the same person to do your pick-ups, and then you deal via telephone.

Margaret, I would go to the homes of my two elderly home bound clients , pick up their info, take it back to my office, prepare the returns, then deliver back to the client In a week or so. My ATX is stand alone too.

The fastest way I know is to have it in hand and call the agent or number listed on whatever notice with the issue. The agent will have a fax number s/he can access to talk with you immediately. It then follows regular processing but at least you could begin a conversation. Typically when I need it and use this method I promise myself to get a POA for every client some number of years but never get around to it.

I heard someone refer to the TCJA as the "Full Time Employment Accountant's Act". There will def be a need for people to seek out professional help this tax season which could potentially lead to more fees.

The Bradford letter has a QBI calculator. You have to subscribe to the letter, but there is a 7 day trial period in which you can try it out. https://bradfordtaxinstitute.com/info/TRL_Home_Page.aspx

Glad I'm not a betting man because just got an email from ATX with installation codes for both Max and Payroll Compliance, Payroll platform is safe for now.

Answer #5 from the first section of this IRS page: https://www.irs.gov/businesses/small-businesses-self-employed/offer-in-compromise-faqs

If you aren't playing video games, doing intensive graphic design type work or mining for crypto currency, you probably don't need a high end computer. Client bought a new VERY high end computer - he only uses his computer to log into Aol via Firefox. I tried to explain that it was over kill but he insisted he needed the best.

Wonderful, that means the old platform Payroll was on is finished. Let's hope this goes smoothly.

According to my sales rep at ATX, Payroll will be integrated in the MAX program this year. Tom Modesto, CA