Leaderboard

I am so fed up with quickbooks and their stupid passwords. Then if you click on forget password and enter you license, it says that it still can't change password because you have recently changed the password. Unbelievable. I HATE QUICKBOOKS

Vanguard actually warns people that their 1099R will show the full distribution and that they should make a copy of the check (which is sent to the taxpayer but made out to the charity).

Charge for each W2G and input each of them. Count them all and label them accordingly. One of my clients brought 27 of them and I labeled them 1/27, 2/27, 3/27, 4/24.... 27/27. My client lost a lot of money and blamed it on his friend. Am I wrong to assume that he also lost one of the W2G and will blame it on me when the IRS sends him a letter?

Never mind. I figured it out. I was putting the EIN in the Service Provider/Acct No. box instead of FEIN above it! So used to it being there on a 1099R, I guess. How stupid. I discovered this when I read another post on this Forum about single-clicking on the error. I had been double-clicking and it was taking me to an unrelated worksheet!

The Sch A instructions say only what's listed can be deducted and it doesn't mention excess expenses from a trust or estate. It says to see pub 529.

There may be a place within the program to tell it to not carry that amount to line 16, because I think the instructions for 1041 still say this is a deduction and to enter it. Back in 2018 the IRS came out with notice 2018-61 that tried to address the issue to which the AICPA wrote a letter requesting that IRS and Treasury issue regulations as additional guidance. To date, as far as I am aware, the IRS and Treasury have not responded or issued any further guidance. Tom, I was thinking of you too as I respond to this topic. Sorry to not be able to provide more definitive answers. https://www.aicpa.org/content/dam/aicpa/advocacy/tax/downloadabledocuments/20181031-comment-letter-on-notice-2018-61.pdf https://www.irs.gov/pub/irs-drop/n-18-61.pdf https://www.law.cornell.edu/cfr/text/26/1.642(h)-2

What about situations where divorced parents split the dependency by year? I was under the impression the parent that the child lived with during the year could still claim HOH but not claim the child as the dependent that year since the other parent was. Maybe we're referring to the same thing but just saying it differently and you actually mean qualifying person instead of dependent?

I would check the 1098 -T they got the previous year. If that amount was included on that, you can use the portion that was for 2019 tuition when claiming this year's credit... provided they didn't use that money to claim AOTC last year.

That is correct, they retain their character as capital losses but only pass through in the final year of the trust or estate. The NOLs go into the excess deductions bucket in the final year and are currently not allowed under TCJA.

My understanding from reading the IRS instructions is that as long as the check is payable to the charity, it can be sent to the client for delivery to the charity. But I agree with what has been said.