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I always print EVERTTHING to PDF first and then send to the printer. I often find things missing or pages I didn't want to print, plus it gives me a copy of everything that leaves my office, that I can refer to or email/fax as needed.

The way that I read the article, the first Sch C would be eligible for QBi while the second sch C would be from an SSTB and would not be eligible if the income in total is above the thresholds. That was not really clearly stated in the article, but was implied when it referred to that income as SSTB income. This is just an article and not something that can be relied on even thought the source is reputable. I agree with CBSLEE - good luck!

Idle Property Continue to claim a deduction for depreciation on property used in your rental activity even if it is temporarily idle (not in use). For example, if you must make repairs after a tenant moves out, you still depreciate the rental property during the time it isn’t available for rent. Of course, the follow up question is, how long is temporary. And I doubt the code spells it out, and makes it a 'facts & circumstances' situation (i.e., gray area). (You'll have to scroll up a bit, when you click that line. Those IRS links always seem to be off by a bit.)

What happens when one unit is not available for rent while you repair the other after an abusive tenant? Do you have to take both sides out of depreciation? Why not treat all eight units as separate columns on Sch E with their own income, expenses, and depreciation? If you do sell a duplex down the road, you'd combine the two rental units in that duplex to arrive at your cost basis and allowed or allowable depreciation.

First, I would allocate the total price between Land and Bldgs. Then I would divide the the Land total by 4 and the Bldg total by 4.

OK, I feel complete now! It's a wrap! Thank you!

It was my understanding that it is all justified in the W2, and the taxpayer is hammered with ordinary income. I believe (and pray I am validated here) that there is nothing else I need to do. If a 1099B is issued for these stocks however, the amount in Box 12, code V, has already been taxed as ordinary income, so that amount is then bumped into the basis of the stocks "sold."

The rule is the same for estates and trusts. The beni's are not allowed the deduction until the final year of the trust or estate. Then it goes into the big bucket of "Excess deductions on termination of an estate or trust", which could have been deductible in the past only as a 2% misc itemized deduction...so under current tax code no deduction what so ever. See Reg § 1.642(h)-2. for details.

There is a gun range in Reno that allows you to shoot machine guns....fully automatic frikken machine guns...for as long as your credit card can take. This was simply an awesome birthday gift. One more item off the bucket list. Tom Modesto, CA

The thing I detest is " I have a quick question". What the heck is a "quick question?" Does it mean it only needs a short answer, a one word answer, or what? Many the question has ro be reponded to with your own questions to clarify what the asker wants and other "quick questions" have required detailed explanations. I find it comes from people who know they are intruding on your time and using "quick" somehow softens the intrusion.

I may be wrong, but I would start up where you left off, in order to keep track of depreciation for purpose of calculating exclusion of gain on future sale of this home.

That is what usually happens, that the spread in option's increase in value from award to exercise is considered additional compensation taxed at ordinary rates, and that is reflected in the W-2 wages and reported with code "V". The basis and proceeds are usually virtually the same, possibly with a small loss on 8949/Sch D for the transaction costs/fees or possibly one day's change in price if exercised one day and the sale not finalized until the following day. It is usually simultaneous. I do have one client that works for SAP, Inc that has had two years where he swore no 1099B would be issued, and I made him call the broker to make absolutely sure of this. I was sure that he was wrong, and I still don't know why there was no 1099B, but there wasn't. Still can't explain it!

You don't have to take rentals off of depreciation for extended repairs. They are still 'in service' as a rental.

a duplex has a joint wall on the same tax lot. In my area we can't split for a sale. Maybe it depends on counties and states. Yes it is two separate home but still joined.

I look them up, Pacun! In recent years, I've had Restricted Stock Units, luckily from a retiree in the finance dept. of her Fortune 500 (more like 50 or 10) company so we wade through them together. In fact, we did a pro forma last fall when she was required to deal with a couple of tranches due to her retirement. She also has Stock Performance Units. Long gone are my non-qualified stock options with code V making the computations just plug in the numbers. And, I haven't had any ISOs in a long time, either. I used to have NQSOs myself from HRB when I worked for them and an ESOP my ex had that I had to deal with after the divorce, both events decades ago. Start with articles in our trade magazines, such as TaxPro Journal to get the lingo down. Work your way up to the Code. IRS Pubs include a pub for many types of stock options with examples. Always ask for ALL the paperwork/correspondence from the employer. Your client probably received a summary copy of the stock plan, correspondence when the first "event" happened, and lots more paperwork when anything showed up in payroll. You may find that the company walked its employees through the timeline of transactions, including examples.

The $ 895 should have been reported on a W - 2, not a 1099, therefore her income should be reported on Schedule C, subject to SE tax. The fact that she did this once doesn't change the character of the work.

Can you share how you deal with each scenario?

Why can't you sell 1/2 of a duplex. Isn't a duplex one structure with two separate and distinct homes?

HBD, BDog!! Have a great, relaxing time! Cheers!

My take is that the second Schedule C may not be elgible for QBI. On this point it got pretty deep in the weeds. Glad I don't have a client in the situation. Good Luck !

Maybe don't answer your phone while driving, Bulldog Tom. Pretend you are in the loo. trusting you don't answer there. I don't know how he did it but my brother's cell replies with "I can't answer now, I'm driving," if he is. And my husband never uses the phone handsfree or otherwise while driving. I almost never answer, just take note of the number (all too often spam) and, if a text message, I might have it read to me but I never reply. Be safe. Enjoy your birthday weekend! Then get back to work like the rest of us

Yes, they can have as many SEPs, IRAs, or ROTHs at different brokerages as they want. Hopefully they know not to go over contribution limit. Happy birthday and don’t think about this stuff the rest of the day, that would make my birthday complete.

Yes, changing brokerage firms for the SEP is allowed. The employer would be adopting the SEP plan of that new broker by filling out a new 5305-SEP as part of the setup, provide the employees with the required documentation, and must set up an IRA for each eligible employee. You weren't asking about having 2 running at the same time, right? Or changing mid-year? SEP-IRAs are considered defined contribution plans, so make sure that the employer stays under the contribution limit allowed for all defined contribution plans in aggregate.

Like cbslee, I would treat this as property that's been idle and put back into service, meaning to put it back into active status and use the same basis and accumulated depreciation. To do otherwise would risk losing track of the depreciation already taken that will be subject to recapture when the property is disposed of.

In many places the $1 is required to trigger the recording of the transfer. Like if you give your old car to your kid, DMV puts $1 sales price in order to transfer the title ($0 would imply the car was junked).

In short, yes and yes.