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Tell them in no uncertain terms that IF you agree to keep them (uncertain at this time) that they are going on extension and you won't touch a thing until June. They are to get the prior returns and/or full information from the prior accountant and NOT contact you until the information is in their hands. Or they go elsewhere now. Pick one. You have thirty seconds. Twenty-nine. Twenty-eight. I have NO time any more for jackasses who expect me to pull a hat out of a rabbit.

Looks like you called this one. That's today's IRS guidance, per TW. If there's a PTC repayment (an amount on line 29) then discard Form 8962. Yay, more files out the door!!

I had one in this kind of situation where the prior accountant said that the 4562 was 'all he had'. Now I know he's lying. Ended up reconstructing depreciation from the beginning. And this was first rented about 15 years prior to when I took over. Luckily the client is really OCD (diagnosed) and had all the records of what was done over the years. Got depreciation to within about $30 and figured that was pretty damn good. Oh and I disclosed what I did.

Most importantly, best to you and your husband Judy. I hope his recovery goes smoothly the rest of the way. As for clients like the one you described, they ultimately pay the price for the AGITA (Italian word for stomach acid) for the issues they cause. My fees tend to go up significantly for those type of people. If they leave next year, no problem at all. If they come back next year, well my fee doesn't go down any.

Judy - CONGRATULATIONS on finding out before that return went out with your name as preparer, that the clients were lying scum who do not deserve your time or expertise. They would only taint you by association. Anything you said to them was most likely far more mild than they deserved to hear (after all, they sent you more after, right?). My prayers for a full and speedy recovery for your husband. And strength for you, to stand by and help him. Take a nap, put the phone on silent, and make a vow to fire any/all PITA clients this year. (We're real close with two back-to-back; I think we're going to try the jack-up-the-fees trick and see if we can drive them away, though.) I really liked the way @Lion EA put it - Q6 2020. Wow, is that a perfect term for this craziness, or what?

This only gets resolved between your new client and the previous accountant. Without a magic wand how do you fix this? I have a prospective new business client where they and the previous accountant aren't talking. I have the prior years tax return with the necessary information but the prior accountants work quality is questionable. What's really bothering me is the new prospective client isn't making any real effort to assist me with the transition. They have signed the necessary authorization forms and they have informed the previous accountant that I am taking over. Unfortunately now the previous accountant is so mad at my client that are providing the absolute minimum of assistance. So now I find myself in a position where my new client expects me to fix everything. I am seriously considering having a"heart to heart" talk with my new client and telling them to shape up go elsewhere.

The other side of a client getting a notice is that you get to be the hero by solving it quickly and easily, usually at no charge but sometimes there is a charge. Clients remember the panic and how we rescued them and made the big bad IRS go away. Then they send us referrals.

Just the other day, I had this discussion with a 19 year old college student who has at least 6 K-1s from PTPs! i asked: "Why are you investing in PTPs!?!" He had no idea what I meant. He thinks he is making money... I told him to warn his dad that the charge for his return would no longer be the "nominal add on" for a dependent's return.

I have used MAX for several years now, after many years of using Total Tax Office. I always felt the advanced calculations should be part of the program regardless as to what version you have. With that said, they have the luxury of offering it for an additional fee and that's exactly what they've done. I purchased the $499 package for this year. I still have to intervene and and make selections within the advanced calc screens. It's not something you can simply allow to flow through the return without checking to make sure its correct (like you need to do with any other aspect of the program.) It's a nice option but I'm not sure it's worth the additional $499.

Well done, Judy. Life is too short for have this kind of people in your hair. Best wishes for your husband's speedy recovery.

Well, Abby might have a better outlook than me, but I'd rather chew off my right arm than have a client get a letter. It's so much more trouble to me than doing a return. First the panic call. Calm down, and bring me the letter. Then the drop off and the 15 minutes to explain how I got this. Then 20 minutes catching up and telling them how Uncle Fred is doing, and hearing about their dog that has an infection. Then, oh yeah, 35 minute conversation for their quick question because they talked taxes with their hairdresser. I fix the problem. Eight months later IRS sends a letter saying, "We got your response, but we lost it..."

Local colleague did that some years ago for a non-profit corporation (some association, not a charity). Took her for-EVER and of course they did not appreciate her work or her bill, even though she told them "this must be done" and they agreed. Hope your client appreciated all your hard work!

Let's ALL move to TN! @RitaBjust had a heart attack.....

Yeah working abroad making approx. $30k per year. Perfect for investing in partnerships.

Being in VA and not that far away maybe we need a 3 day PARTY. I have been debating with myself if its time to go. 44 years

And the parents will blame YOU for not filing the return now.

Thank you, all, for the support and well wishes for my husband. Today's emails were some whining about being so upset, asked me to provide a copy of the *missing* 1099R that wife sent to me via email yesterday, and asked for a referral. Not ever happening! Then a bunch of garbage about the daughter forming an LLC and taking over the business, and more BS that I don't care about. Then late this afternoon a blank email with a bank statement from last summer attached. Why, to prove expenses were legit and not made up? My focus was on the deposit column that had deposits from many sources including Venmo, Shopify, Paypal, none of which she disclosed to me previously, plus some from Square that were part of the 1099K. I thought I was clear last night. Guess not, so my reply today was: "As of last night, I terminated our relationship. Please do not send me any more data or documents."

Is there no balance sheet financials they may have received during the year? ask for several years of back tax returns you may find one in prior years.

All IRS knows is $80K proceeds. File the return to establish basis, or else kid will get a CP2000 and bill.

Best to you and yours Judy! I may just let one go myself. Another result of how the manipulation of withholding starting with 2020 has someone blaming me for the employee not having enough withheld... An employee who was claiming M/0 prior to 2020 wanted to add 250 in FWH, and submitted a new W4. The FWH only went up ~130 because of the new W4 (the new W4 is similar to M/3 the "old" way). My customer is furious, and cannot understand why "I" have altered the withholding incorrectly. I have tried rewording the situation via several messages this morning, but I am out of ideas and patience, so the next message will be a refund notice.

I think Gail's on to something. This tax season with all that we've gone through now into 6Q2020 it's a wonder we haven't seen a tax office on the 11 pm news with police leading a preparer into a squad car! Maybe that's only because a lot of tax preparation is still virtual. And, this is a virtual safe place, outlet, with people who understand. I'm glad we have this place for our education and for our mental health. Thank you, Judy, for saving us all from what we really want to do right now!

I realize the big strike against these clients is the lies, but I am also not impressed by clients who blame me because they did not include all the information with their taxes. I am too old and too tired for this nonsense. And if my husband were that ill, I would probably have not reacted at all well. You might all be seeing this on the evening news. Hang in there Judy. We are all praying for your husband's health, and for you!

I had one this year that did something with related corporations and I had to file 2 926s. TP doesn't make a lot of money. I have no idea why she is investing in these things.

Good way to describe it! I'm going to borrow that, Abby.

Yeah those things can explode in your face. I had one high roller with a bunch she finally sold. She had large cap loss carryovers and sold most of these at a loss, BUT the ordinary income portion that goes on 4797 was about 40k, so she had to pay tax on that. It was partly offset by deducting the suspended PTP losses on E2, but she still paid tax on the sales. I had one of these once and it seemed like they were sending me my principal back since the K1's kept showing losses. Never again. I tell my clients that the reason they're being invited into the partnership is because the business is so risky the banks won't lend them the money.

When I print a return I get an error message that the software has encountered an unexpected error and has to close. Anyone have a fix? I have to reboot my computer to even get back into ATX. And then there’s no guarantee it will not immediately happen again. It’s infuriating.

Yeah, cause, you know, I can see them getting denied on the marketplace for failure to file the 8962, and trotting right into our offices later.

So, now I have to wait for guidance from CA. We have our own CA ACA form with its own calculations and it interplays with the 8962. I have a client who owes APTC for Fed but is due additional CA PTC. CA is driving me nuts this year. Texas, Nevada or Tennessee are looking better and better to me all the time. Tom Modesto, CA

But, charge the client for that form!!

This only happens if on an earlier return, before being automatic, you manually subtracted the UCE on Sch 1 L 8, so it's there twice. It will double the amount on NY. What a crazy year, one for the books.

Because some well-commissioned "investment" advisor told her it was perfect for someone in her situation (whatever that situation is).

I think I'd recalculate the gain from the start until 12/31/20, using the corrected profit %, then subtract the amount of gain already reported in earlier years, and "force" the gain on the 2020 return to be the amount needed to make the cumulative gain correct. A "catch up," if you will. Then leave yourself a note to change the profit % on the 2021 return.

If they added these advanced calculations into the base software and increased the price, everyone would complain. With ATX Advantage, or now it seems you can buy just the advanced calculations without going all the way to Advantage, this allows consumers choice. Those who don't need them can get their software for less. Those who do want them pay more. Seems like a good approach to me. This is not an uncommon approach in the software industry. I upgraded to Advantage a few years ago and it is an important tool for my business.

Ha! But something just doesn’t seem right. A tax season with all kinds of ups and downs and no program updates makes me a little suspicious. At least the form updates seem to be keeping up, I hope.

Colorado is usually a rolling conformity state. However, they have decided that UI excluded on Federal will be added back to Colorado. I guess the unemployed are like tax preparers and don't have much of a lobby.

What a day, I hope you charge them big time. All the best to you and your husband for a speedy recovery.

Yes, it's meltdown time. Add your personal stress with your husband's illness and kaBOOM. Thinking of you and praying for your husband's health to improve.

I hear you, I had one in Feb who blew up at me for something that the next day proved to be their fault. Hope your husband finishes his recovery more easily.

Hi Ms. Judy, I felt so sad for you by going through this while your husband was not feeling well. Dont force yourself, we dont owe them anything, you are doing them a huge favor to take them, so they dont entitle to stress you out just because they paid you. Take care yourself and your husband first. Wish you feel better.

We all wish the best for you and your husband

My birthday is in June, if you want to come hang out with me and delay that getting sober nonsense!

Judy, another and another deep breath. Family first so hoping your husband's recovery is back on track now. And good riddance to bad rubbish. When I think of all the super nice clients I am lucky to have, I know that having clients that lie simply is not worth the money or mental energy it takes to even try to keep them in compliance. They don't want to so I don't want them. If needed, keep venting here. It's a safe place and we all so appreciate all you do.

Ugh, I have been wading through a Montana return. Part year, and I'm getting an error message that I need to enter info I already entered. BTW, I believe you need to remove an adjustment for the $10,200 of unemployment on MT returns. Anyways, this couple divorced in 2019 & can't get the stimulus payments straight. It went to a joint account because they filed joint in 2018 and hadn't filed 2019 when the first stimulus went out. Arrrgh!

Yep, they show their true colors sometimes, and it's not happy rainbow colors. Out the door is where they belong! Hope they took a lot of your stress with them. And, prayers for your husband and for you and for his whole medical team. Thank you for all you do, Judy, to keep the rest of us functioning during this never-ending tax season with ever-changing tax laws.

I don't know what to say. Been there....feel for you....wish I could send you some chocolate. Tom Modesto, CA

And we may not be out of the woods for not having to file Amended returns for the UCE. As per the IRS Newsroom Notification today: https://www.irs.gov/newsroom/irs-to-recalculate-taxes-on-unemployment-benefits-refunds-to-start-in-may For example, the IRS can adjust returns for those taxpayers who claimed the Earned Income Tax Credit (EITC) and, because the exclusion changed the income level, may now be eligible for an increase in the EITC amount which may result in a larger refund. However, taxpayers would have to file an amended return if they did not originally claim the EITC or other credits but now are eligible because the exclusion changed their income.

You are so right.... and none of us needs that. I'll just wait. Trying like everyone else to push these out of here. My Birthday is at the end of April and I'm celebrating big this year, as you know. I'm not sticking around for the May 17 deadline. Heck, I won't be sober till June....

Nope, it won't fly by zeroing out the PTC. We will have to wait for the update... or delete the 8962. I wonder how much trouble that will cause, @Abby Normal?

Generally, I either see the error immediately after posting, or not at all until someone comments on it. So changing from 5 to 15 minutes would not really help me. I am just really grateful to have this board, and that it is so easy to use, and the Judy does such a great job moderating. Yay Team!

Bob, it sounds like you have had a rough time in recent years. I hope you can find a way to step back from the things that are causing you aggravation and move to a place where you can find a little peace and calm.