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PTIN User Fee. The IRS issued final regulations relating to the imposition of certain user fees on tax return preparers (T.D. 9781; TAXDAY, 2016/08/10, I.1). The final regulations, which affect individuals who apply for or renew a PTIN, reduce the user fee from $50 to $33 .

With 401ks, if you're still working and contributing to the same 401k, you can skip the RMDs until you stop working. If you have old 401ks hanging around, you have to take those RMDs. Five percent owners have to begin RMDs, although they can still contribute. Are 403b rules different? I'm sure they are, because this whole area is so #%@ complicated with different mandates for plans that are essentially the same thing. In your case, though, the client is not contributing to her old plan so must begin RMDs. She may not want to wait until April 1 following the year she turned 70 1/2. She will be required to take two distributions that year, one by April 1 and the next by Dec 31 (the RMD for that year). This might bump up her tax bracket, raise her Medicare premiums, reduce allowable deductions, etc. I agree with Pacun that she should take the distribution and put the max into a Roth.

Probate is another reason people set up trusts. In CA for example, probate is long & expensive if assets are over a ridiculously low sum, I think it's $50,000. Trust assets pass outside of probate, so they make sense, in CA at least.

Neither link works for me. Here's the JOA article. I can't remember what I paid last year and I can't look it up right now, but it seems like a sweet gig to earn $17 per transaction to process $33 payments.

The user fee is reduced to $33 but when added to the fee from the third party vendor who collects the fee, we pay $50. So from my point of view, I am not sure it really changed.

Summer isn't ready to wane around here! 90s at the coolest; humidity meets or exceeds the temperatures.

Maybe none of you will have this trouble, and it's a first for me. This is a company that's been in existence for a long time before computerized databases existed at the IRS. They'll celebrate their 100 year anniversary next year, my client purchased it and formed the C corp in 1946, and I've been their accountant for close to 35 years. Ok, that might be longer than the age of some of our members, and now I feel really old.

403(b) plans can have a different RMD requirements if they received pre-1987 contributions, and how the plan accounted for those. Please see the last question and answer at the bottom of this IRS page. Do you have the notice from the plan administrator that may describe an option to defer that may be available to your client? Also, here's a link to Pub 571 - Tax Sheltered Annuity Plans ((403(b ) plans) For Employees of Public Schools and Certain Tax-Exempt Organizations

The RMD if it is from a 403B which the OP stated, can be accumulated until April 1st following the year of retirement. You need to be careful and check to see if the plan has any specific requirements. The article I posted is pretty straight forward, but be sure the requirements of the plan are followed as the penalties for missing a RMD are substantial.