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I have a key to open my office door. I have a code to disable the alarm system. I have a windows password. I have encryption on all of my drives. I have an ATX password. But, somehow, the IRS thinks I now need 2FA to keep my tax software "safe"? If I was trying to steal a tax preparer's data, I would search for all the PDFs on their computer that are most likely not password protected and just copy those. Why would I want to log in to their tax software? This is like airport security, where taking your shoes off supposed to make you safer, but it's complete .

And this: CONFIDENTIALITY AGREEMENT This Confidentiality Agreement (this "Agreement") is made effective as of _____________, between NAME/ADDRESS, and NAME/ADDRESS. In this Agreement, the party who owns the Confidential Information will be referred to as "NAME1", and the party to whom the Confidential Information will be disclosed will be referred to as "NAME2". NAME1 is engaged in the business of Financial Advising, Accounting, and the Practice of Law. NAME2 is engaged in a contractual service relationship with NAME1. Information will be disclosed to the Recipient during the time he is providing service, either directly or contractually, with NAME1, in order to facilitate his work with said company. NAME1 has requested that NAME2 will protect the confidential material and information which may be disclosed by NAME1. Therefore, the parties agree as follows: I. CONFIDENTIAL INFORMATION. The term "Confidential Information" means any information or material which is proprietary to NAME1, whether or not owned or developed by NAME1, which is not generally known other than by NAME1, and which NAME2 may obtain through any direct or indirect contact with NAME1. A. Confidential Information includes without limitation: - business records and plans - financial statements - customer lists and records, including customer identification numbers and financial information - trade secrets - technical information - client financial plans; client legal documents - pricing structure for fees - computer programs and listings - copyrights and other intellectual property - any information pertaining to the operation or clientele of NAME1, or other proprietary information. II. PROTECTION OF CONFIDENTIAL INFORMATION. NAME2 understands and acknowledges that the Confidential Information has been developed or obtained by NAME1 by the investment of significant time, effort and expense, and that the Confidential Information is a valuable, special and unique asset of NAME1 which provides NAME1 with a significant competitive advantage, and needs to be protected from improper disclosure. NAME2 further understands that in the ordinary course of business, NAME1 comes into possession of client information of a personal and sensitive nature, and that disclosure of this information could negatively affect both NAME1 and the clients of NAME1. NAME2 understands that it is his legal and ethical responsibility to protect the privacy, confidentiality, and security of all customer information, including business, financial, personal, and tax information relation to clients of NAME1. In consideration for the disclosure of the Confidential Information, NAME2 agrees to hold in confidence and to not disclose the Confidential Information to any person or entity without the prior written consent of NAME1. NAME2 further understands that any disclosure of confidential information related to clients violates both securities law and the ethical code developed by the American Bar Association. In addition, NAME2 agrees that: i. No Copying/Modifying. NAME2 will not copy or modify any Confidential Information without the prior written consent of NAME1. ii. Unauthorized Disclosure of Information. If it appears that NAME2 has disclosed (or has threatened to disclose) Confidential Information in violation of this Agreement, NAME1 shall be entitled to an injunction to restrain NAME2 from disclosing, in whole or in part, the Confidential Information. NAME1 shall not be prohibited by this provision from pursuing other remedies, including a claim for losses and damages. III. RETURN OF CONFIDENTIAL INFORMATION. Upon the written request of NAME1, NAME2 shall return to NAME1 all written materials containing the Confidential Information. NAME2 shall also deliver to NAME1 written statements signed by NAME2 certifying that all materials have been returned within five (5) days of receipt of the request. Upon request, NAME2 shall also deliver to NAME1 written certification that all electronic files of any type retained by NAME2 and containing information provided by or related to NAME1 has been destroyed. IV. RELATIONSHIP OF PARTIES. Neither party has an obligation under this Agreement to continue any type of relationship, employment or contractual, with the other party, or commercially offer any products using or incorporating the Confidential Information. This Agreement does not create any agency, partnership, or joint venture. VI. LIMITED LICENSE TO USE. NAME2 shall not acquire any intellectual property rights under this Agreement except the limited right to use set out above. NAME2 acknowledges that, as between NAME1 and NAME2, the Confidential Information and all related copyrights and other intellectual property rights, are (and at all times will be) the property of NAME1, even if suggestions, comments, and/or ideas made by NAME2 are incorporated into the Confidential Information or related materials during the period of this Agreement. VII. GENERAL PROVISIONS. This Agreement sets forth the entire understanding of the parties regarding confidentiality. Any amendments must be in writing and signed by both parties. This Agreement shall be construed under the laws of the State of ________. This Agreement shall not be assignable by either party, and neither party may delegate its duties under this Agreement, without the prior written consent of the other party. The confidentiality provisions of this Agreement shall remain in full force and effect after the effective date of this Agreement. Information Owner: NAME1 By: _______________________________ NAME1 Recipient: NAME2 By: _______________________________ NAME2

I received the following from someone or some company or maybe even my E&O: COMPUTER REPAIR NONDISCLOSURE AGREEMENT Agreement made this _____day of ____________, between _____________________(the “Repair Person”) and _____________________________________ WHEREAS, ____________________________(the Company) stores and maintains records and data of a highly sensitive and confidential nature, the disclosure of which to unauthorized persons or entities is prohibited by law (the “Confidential Information”); and WHEREAS, the Repair Person will be performing repair and maintenance services on or in connection of the computer or computer system owned by the Company, and in connection therewith could have the ability and opportunity to view and obtain access to Confidential Information. NOW, THEREFORE, it is agreed as follows: 1. The Repair Person shall not directly or indirectly copy, reproduce, remove, alter, delete, modify, edit, transfer, transmit, divulge, or disclose Confidential Information in whole or in part. 2. The Repair Person shall treat all of the Company’s records, data, and information, including but not limited to Confidential Information, which it has the opportunity to view or access, in a strictly confidential manner. 3. The Repair Person shall indemnify, defend, and hold the Company harmless from and against any claim or action related to or arising out of any unauthorized access to or disclosure of Confidential Information by or on behalf of the Repair Person. 4. The parties have executed this Agreement as of the day and year first above written. THE REPAIR PERSON The Company By: By: Title: Title: Owner/Accountant

Agree with FDNY on adding in basis of land. They'll have the recapture of depreciation, and that recapture is not eligible for exclusion. There are additional rules that apply to rentals converted to personal residence to determine the periods of unqualified and qualified use to determine the amount of sec 121 exclusion allowed, but unfortunately for your client, the recapture of depreciation already exceeds the entire gain on the property so there won't be any gain that is able to be excluded. If you want to see how the calc for unqualified/qualified use is applied to the sec 121 exclusion, here is a pretty good explanation with an example: https://www.merriman.com/wealth-preservation/planning-on-moving-back-into-your-rental-in-the-future-read-this-first/

Thanks for posting that. I'm a committed Drake user, not at the office today, and was wondering how it works in Drake. I frequently get logged off when I turn to do something else and then find myself signing back in, but it isn't a problem. And I like the idea of another level of security. I'll probably set it up on Monday.

I'm using Drake and Microsoft Authenticator to generate the code. Don't have to wait for a text, open the app on my phone and the code is there. Drake also does not require the MFA code to log back in unless you have been inactive for quite awhile (not sure how long, but it's at least an hour), you only have to enter the password. I thought it was going to be a hassle, but found it doesn't take more than a couple extra seconds to log in.

I'd like to see a thief put my micro shredded chips back together to steal information because they aren't small enough according to the IRS directive.

Any expenses for the property that are incurred while the property is held by the trust are the trust's expenses. The only other expense I can think of would that you haven't mentioned is depreciation, insurance, utilities, mortgage interest (if any) and yes the repairs.

I am in NC and yes on the NC return. Judy hit it right on the money and agree with both Judy and FDNY on adding the land component to basis.

There should be a land component added to the basis. There would be a Sale of personal residence exemption but of course the depreciation is taken into account. Yes on NC return for any reportable amount and the fact that they may have received a 1099S at the closing that NC knows about. I had exactly same scenario, only I heard house soon after got wiped out in hurricane after all my work.

The constant timing out and logging back in is so d@mned annoying, and like Roberts said, a short phone call is all it takes to be logged out. In the past I've used the software's timer feature to tally the total time on the return including while I may have been working in Excel, so I would leave the return open at the same time. Now I have to make sure that I wasn't logged out at some point.

A lot of software is online these days. No way does ATX want to text me a code every time I enter my password to log in. Besides, the IRS is way behind the times, as usual. 2FA has already been spoofed so a hacker can intercept these texts.