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WASHINGTON — The Internal Revenue Service today announced important changes to help taxpayers comply with revisions to the Individual Taxpayer Identification Number (ITIN) program made under a new law. The changes require some taxpayers to renew their ITINs beginning in October. The new law will mean ITINs that have not been used on a federal tax return at least once in the last three years will no longer be valid for use on a tax return unless renewed by the taxpayer. In addition, ITINs issued prior to 2013 that have been used on a federal tax return in the last three years will need to be renewed starting this fall, and the IRS is putting in place a rolling renewal schedule, described below, to assist taxpayers. MORE: https://www.irs.gov/uac/irs-works-to-help-taxpayers-affected-by-itin-changes-renewals-begin-in-october

Hi Jack - I say what you said:. They are residents of MO. They visited CO and were not residents when the unofficiated ceremony took place. Based on the description of events, I vote that they cannot legally file a joint tax return.

After contact with the IRS they said it "fell through the crack" and would now be issued. lol

These situations are always tough, because when a client really needs the money and they don't realize they could lose nearly half of the withdrawal due to Fed & St taxes and penalty it is really depressing to them when we tell them the reality. The sales people should tell them what could happen, and to be sure they have plenty of money in reserve, especially in the early years of the contract when mostly interest is paid out. But I am sure it may only be mentioned briefly or not at all, why jeopardize a sale and a larger commission. Those are the people who need Rita's special hug.

Ain't that the truth! We can't save our clients from themselves, sigh. If only they would learn to ask FIRST. Maybe we should send RitaB to hug them all...

Thanks to all. 1099r shows all taxable and a code 1d in box 7. I looked at the statement that the TP brought in last night. Annunity earned about twice as much as being taxable. My understanding with the help from everyone tp is in no mans land and no place to run and hide. If only he had waited about 4 more months. Oh well can't undo what he already did. Any way thanks to all who helped as differed annunities have their own set of rules.

I disagree I use PPL on a weekly basis and have found it to be of great use. They usually answer with in two minutes and try very hard to answer questions. I always have a signed 2848 on file or ready to fax.

Off to a doctor's appointment, so no cites for you. But, I always heard it was trade date. With my aging clientele, I'll be interested in the answer, too. (Not that I'm getting any older, though.)

But she has very long arms from wearing pink furry handcuffs, don't you know.

If losses were deducted, she must have had debt basis at the time. Was there any debt relief at dissolution? If the other partners didn't ask her to put in cash to bring her capital account up to zero, then I'd say she probably does have a 12k capital gain.

Agree with both --- however --- given it is August --- CO is beautiful state to be married in --- even with a three week waiting (/s) they will make the time table. With their apparent reasoning to "have the situation - their way" regardless of government rules, they might be a "client - of poor recourse". Save headaches and let them do what they want --- but with someone else fighting the future IRS notices, etc..

If they want to file MFJ for next year, tell 'em to take a quickie trip to Vegas instead of CO.

Good information. Thanks for sharing, Elrod.

I would not ask too many questions of Rita. She has this really large back yard....

That was just a general statement for illustrative purposes. Any resemblance to actual persons, living or dead, is strictly coincidental.

Is pink your preferred color, or does it matter when you are blindfolded?

The W-2 mistake could be a blessing in disguise. If all the back pay is reported in the year paid, it could push the client into a higher tax bracket(s) and either reduce any refund , or increase tax due. It could be that the corrected W-2's and subsequent amended returns might be beneficial. It could be an interesting problem.

If you can call what is available, "in use." Be prepared for a disappointing experience. Much less helpful than two years ago.

I looked briefly, then thought about it some - you use the price on for the trade date, not the price on the order date or the price on the settlement date. It's gotta be trade date. After all, the market was closed for business when he made the request. That price and that date are not options after the close of business.