Leaderboard

Nice of the spouse to help, likely because of (now un)common sense instead of worrying about "no good deed goes unpunished". Keep in mind it is clear the new client does not keep records well, so make sure you have built in a fee to act as their "file cabinet".

An old friend brought his practice to ours a season before he retired. The preparer copies of returns were exactly like this, with other returns, P&Ls, etc printed on the backside. We finally realized that like many old timers, he didn't want to waste paper so printed his copy on the back of other returns that had a change after printing or statements he no longer needed. Chances are your clients were given his preparer copy with their file after he died. Do what the others suggest--copy the appropriate side and shred the whole thing. It is beyond your responsibility or ability to track down all of his former clients.

I use CCH's eSign. The license is free; you pay per signature. (And, if you want to use it for un-verified signatures, such as an engagement letter, there's a smaller fee. I haven't done that, though.) I've been happy with it. Even my older clients and those with few electronics have been able to use it. It's based on the AssureSign platform that a lot of my clients used for mortgages and other financial services.

Thank you, ALL. I pounded out a couple of less-complex returns over the weekend (going against my FIFO policy). It helped me feel motivated and productive! I'm down to five that are complex, at least 3-4 days each, which usually includes running the numbers for and explaining a option or two and discussing while they reach a decision and, maybe, digging up more information (me &/or them). So, that feels much more doable, now. And, a day for a long-time biz client in early October who would usually wait for bookkeeping until after 15 October but has been away on biz and is anxious. And, still going up the learning curve on ClassMarker software to ready tests and corresponding CE certificates before 15 October for NY/CT-ATP's FIVE courses (pre-pandemic it was an all-day seminar). So, it will be tight. If I can keep hubby out of my office, it'll work! And, two long-time clients who haven't dropped off, who are always late, sometimes November, so they know what happens. One is a retired teacher, so I can squeeze her in if she drops off her information. Thank you all for being my safety net.

Wow! We had a lot of wind and gusts, but nothing like what you had. As far as helping out.... you know where to find me. Anything I can do. I have four or five returns (total) left, a couple of amended returns, and ongoing work. At least three of my five will go past deadline, because I know these clients and they won't get me data in time (I'm not their mommy, can't make them, and refuse to worry about them).

I have long said "common sense isn't very" and it was and is true.

Late response, but I've successful with certified copies, I had a client go to the Consulate and photocopy the records on their stationary and it has worked for the longest.

I spoke with the clients and it appears Sara is correct. They couldn't find their originals and the previous preparer's wife did not know how to print out another copy, so she just pulled copies out of the file cabinet to give them.

If you, or any other readers, want a better understanding of how to handle distributions, you might start with this article from The Tax Advisor entitled "Determining the Taxability of S Corporation Distributions: Part I": https://www.thetaxadviser.com/issues/2014/jan/nitti-jan2014.html and this follow-up article published the next month, Part II, that deals with S corps with accumulated E&P: https://www.thetaxadviser.com/issues/2014/feb/nitti-feb2014.html

I know, Gail. This is a great board. Catherine helped me out one year when my son got married 1 October with little warning. And, Jack has helped me with those pesky OH local returns. I thought I was on-track this year. But I'm on the education committee for the NY/CT Association of Tax Professionals that decided in August to have self-study courses from September through January, so I had to learn new testing/grading/certificates software this month. It's always something.

Perhaps I misunderstood. I thought that ILLMAS set everything up on his desktop version of QB, and charged them for that. Then they decided, against his advice, to go with QB Online and do their own payroll. I assumed they would be setting that up themselves. If he has do the work over again on the version they purchased, of course he will charge again. It is new work. BUT if they are setting it up themselves, I am not sure he can charge them even though he more than likely gave them a break, however slight, for setting it up because he thought it was an ongoing revenue generator. And LIon, anyone on here would help you if we really thought that you needed our help.

I would copy just your (new) client's info and shred the rest. I would not give back the return as is. Lynn

I wish that I had received this offer. It would be worth it for me. I am going to try my sales person. Thanks, Bonnie

You will use their Conversion Tool. It's pretty simple, biggest problem will be with your depreciation. You will need to check it carefully. My problem wasn't with the figures but if you have both Schedule C and Schedule E you will have to link them, also if you have more than one Schedule C or more than one Rental Property, you will have to assign numbers. But like mentioned, there are several of us using it and will be more than happy to assist, Drake also has great customer support!

Thanx, Catherine. Yeah, ProSystem fx. The October seminar will be FIVE classes; glad we had only a 2 CE class for September, 10 questions, certificate, figure out how the ClassMarker software works for the first time, and deal with all the emails re I can't find my certificate (it's in the email in your junk folder). Course will get posted 19 October, but they want to have a few members test it sooner. I said I will NOT start on the tests until 16 October. I filed only one tax return between 24 August and 15 September while I was learning the ClassMarker software. Really set my schedule back! Well, that and no internet/phone/TV for eleven days when Isaias' winds ripped all the wires out of our house.

Lion - I'll help you with your tax returns if you wish .

You set them up on your QBDT, right? And, they now want to run their own payroll on QBO. Unless you can transfer from your QBDT to their QBO in less than a few minutes (I might consider up to 30 minutes FOR AN ONGOING CLIENT) charge them for it. At the very least, I would charge a new client and MAYBE offer them a discount on their 2020 tax preparation in 2021. Or, do what large companies do and give them free setup, but NOT NOW, deducted from their 3rd invoice or 12th invoice or something like that. You could be spending your time on another new client who's not so needy. Or preparing tax returns for me through 15 October, and I'll pay!

It was actually not that hard after I fiddled around with it. Actually, I duplicated the return and fiddled in that one until I had it right. I prepared the 8824 first, then went to fixed assets, disposition tab, type exchange. Once I completed the disposition a new asset was created, but I was able to edit the activity. Everything flowed smoothly through to the Sch. E. It is pretty slick. Reminds me why I stick with ATX. This was one of those transactions I don't do very often, so I needed a quiet time to play with it. Tom Modesto, CA

Have them send Form 14039. There you can check that you don't know if anyone filed taxes for you but that you are a victim. Then explain the circumstances. I did this for one client who was involved in a big data breach and hadn't yet experienced adverse consequences but was worried. He was given an IP PIN. The same for another client who had his cell phone shut off when someone bought a new one with his account info.

I did recommend for them to call the IRS and to explain what happened (actually happened today) and see if they qualified for a PIN.

Because your client has not yet had a confirmed case of theft, he or she will only be eligible if a resident of one of the designated areas listed on this IRS page: https://www.irs.gov/identity-theft-fraud-scams/get-an-identity-protection-pin If eligible, I'd encourage him or her to apply since he/she did fall for the phishing scam and gave out the SSN.

Yes, I agree with Dan that if the client still has the same route with a reduction of several customers, then I'd say company bought back those several customers for the $30K. My answer would be different if this was not substantially the same route though. I'd prorate the cost, amortization, and remaining basis saying that what was bought back was 30/130 or ~23.08% of the route and report that against the $30K proceeds so that the client would report ~ $21, 460 of gain (30K - 8540 of basis). What I wouldn't do is frontload an entire $30K of basis against this sale and report -0- gain.

You are correct, the TCJA limited like kind exchanges, which is what a trade-in is, to real property only.

If you're talking about a like-kind exchange, isn't that for real estate only? TCJA?

Both the Sch C individual as transferor and the S Corp as transferee will each attach statements. https://www.law.cornell.edu/cfr/text/26/1.351-3 Shareholder receiving stock must file statement with return for the year of the transfer under Treas. Reg. §1.351-3(a) Corporation must file a statement with its return for the year of the transfer under Treas. Reg. § 1.351-3(b) Both must maintain permanent records to determine subsequent gain or loss