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Please consider donating to support this site like I did again today. I looked back and found that we have almost 20 full pages of new topics in General Chat and another 5 in the new Covid-19 section since the beginning of 2020. That's a lot of discussion and help that members have shared that wouldn't be possible without our ongoing financial support to Eric for hosting and maintaining this site. @Eric, this wouldn't be possible without you. Thank you for another great year here!

The ONE client we've had that did this, called to warn us ahead of time. We had her send the paperwork at the time, put it in her file - along with an explanatory letter while the details were fresh in all our minds, and had it there waiting WHEN the letter came. Ba-dum-cha off went the letter and documentation copies, problem solved in five minutes. Because we pre-planned for it.

Thank you for the reminder Judy.

I had a client once whose daughter did a manual rollover and prepared her own return for that year. Guess who she got a letter from? Fortunately she was able to come up with all the paper work and the rollover could be show to have happened within the allotted time.

Greg, since the client took control of the funds, the issuer has no choice but to use Code 7. I believe you'll need to enter an explanation within the 1099-R entry. There's a tab down at the bottom named "Rollover Explanation." I had to use it twice on 2019 returns. I entered detailed information regarding dates and names of both investment companies involved. I also keep copies of the proof that my client deposited the funds within the 60 days, because I figure odds are good that they'll get a letter despite the explanation.

on the 1099 input page there is a box for rollover and it will print on the front of the 1040 "rollover"

Yes. US citizens owe tax and a tax return on WORLDWIDE income. You can exclude income from taxation (but not reporting on a return), or take a credit for tax paid to another jurisdiction, or even sometimes as a deduction on Sch A. Which works best depends on what they qualify for, how much money is involved, and other factors - but no double dipping! The webinar Margaret mentioned may be a big help. You can also read the instructions for Form 2555 (foreign earned income exclusion), and/or Form 1116 (foreign tax credit) to see if those help you.

Made donation today. Appreciate this website.

The 1099 received was to the LLC. The bank is going to add the LLC to the mortgage as the DBA. They are going to help them with doing the deeds.

That sound right if the property is held outside of the partnership. Any 1099's received?

The IRS will go with substance over form, so I don't think it cares. I wonder about the banks though. I've had several clients who quit claimed their mortgaged homes to their kids. One would think the lender banks would care very much if the home was given away. I guess the parents never told the bank and as long as they continued to pay the mortgage no one was the wiser.

I was going to have my very, very part-time employee help me box up old files when she was due to come just before everything shut down. I'd bought a bunch of bankers boxes. But, even though this was before the stay-at-home suggestions and even though I have a home office so knew how it would be cleaned, before and after, I was uncomfortable having anyone come into my home. And, she was relieved when I postponed her work. (I paid her.) So, I'd been piling current files on top of my file cabinets as I used/referred to the files, because the cabinets were too stuffed and I expected to box up the no longer needed files way back in March. I'm continuing to pile files for current clients on top, in alphabetical order, but tall piles that I'm afraid will slide to the floor and spill their contents! When I get through 2019 returns, I'll box up the old folders to empty out my file cabinets and refile my current clients. Current files are mostly thin folders; although, many long-term clients still have paper I've not scanned. I have two small, matching wooden cabinets (sturdy and attractive, but bought at a good price on Craig's list) and refuse to add more paper than they can hold. I'm looking forward to that shredding truck!

I purge my old paper files every year, but I never felt comfortable "sending them off to the shredder." I always have them come to the office and shred on site in the truck with the TV while I watch them transfer into confetti. Found a good one who charges $10 per (10-ream-size) box of papers. And its a lot in one box. No minimum.

OMG...if it was a snake it would have bit me...looked at that screen for hours and did not notice that!

Mine is done automatically each year as a direct debit. I'm happy to donate.

Thank you, Ron. Tom is correct that you'll have to click the donate link, and as you follow through the choices of amount and single donation or recurring, add that to the cart and proceed to checkout. At that point you'll have the choice to pay either by credit card or by mailling a check. Choose "mail a check" and the system will give you the name and address for making your donation.

Thanks Tom. I'm not sending millions, but if several of us send small amounts it should help some.

I think this may be just what you need: https://www.webcaster4.com/Webcast/Page/1148/34796 Tax Obligations of U.S. Individuals Living and Working Abroad. A key phrase is 'worldwide income'. This webinar will cover the following: 2 hours free CPE!  Specify the U.S. income tax obligations of U.S. citizens and resident aliens abroad.  List the requirements for claiming the foreign earned income exclusion.  Summarize the U.S. employment tax obligations of U.S. citizens and resident aliens abroad.  Plus a live Q & A

Done and set up for annual so I don't forget.

I wholeheartedly agree. I make a donation every year and the benefits that I receive being a member of this community far exceeds the dollars that I donate!

I go into the ATX server backup folder and delete many GBs of Payers backups and Companies backups. I've already done an interim cleanup a few weeks ago and Payers had almost 5,000 backups! I've asked ATX to fix this but it's never been done. Just leave the last 5 backups, because you'll have hundreds more soon enough! FYI: When you delete the older backups, the ones that are left are the highest numbers, and ATX will start numbering them at 1 again. So go back into that folder in a few weeks and delete those high numbered ones, after checking that you have at least several lower numbered backups.

Sounds like a soap opera! Or a romance novel.

Files are digital and I just haven't deleted them all yet. Good thought, though, and I have to say it's hard to document and follow a policy for just me. I do have the security policy but guess I had best get a record retention policy in place before I retire in 2 years. Abby, I recall when the drive space was measured in MB so 25 GB seems a lot to me. I think the majority is program files like QB, Adobe Pro, the Microsoft suite and 4 years of ATX which seem to take up more and more space with every iteration. My entire client file is 22.7 GB. I suppose pruning would make a difference.

Every time I consider deleting all returns older than 7 years, I remember those (admittedly few) times I needed those older returns to see energy credits, education credits or various state credits or deductions that have limits, or ??? ... and so I don't delete. But I should probably delete all returns older than 15 years, at least.