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You need the FEC WKST to input wage (or pension) from a foreign company with no U.S.-style EIN. On W-2 there's a dropdown up top to channel wages to Form 2555 when it's a U.S.-based employer. There can be "transit days" encompassing a few hours that don't ruin PPT.

Quite a lot of the new 1040 doesn't make sense the way we are used to looking at it. DO NOT try to change things to make it make sense. The pension/IRA line is just one of the line that don't 'compute' in the way we are used to thinking of them.

Yes, Judy and Catherine, I was less than explicit. I meant the earnings was subject to the penalty unless an exception applied. I just did one of these last month. I did say to use 5329 for clarity even when I am not.

add FECWKST form to ATX If you use f2555, you have to allocate any days TP was in the US working (meeting clients, adding training, conferences, etc..) on F2555, tab Earned Inc Allocation If you use F2555ez, you have to calc your own alloc and insert the # on page 2 of F2555 line 17

The AOC is only refundable if the student is 25 or older generally. See the instructions partway down the page at this link: Also, how many years has the AOC been claimed, because there is a limit of 4 regardless of who claimed. Maybe I'm not understanding the question. https://www.irs.gov/instructions/i8863

And you can print them all by checking the Notes Report box in the Client Documents section of the print dialog.

Because the taxpayer is only 48 years old (under 59 1/2), the earnings withdrawn will be considered as income and subject to income taxes and a 10% penalty tax. The 10% penalty may be waived if you meet one of the exceptions.

form 8606 part III will show the distribution. enter the basis on line 22 the taxable $2,000 will go on 5329 subject to 10% penalty

If an exception doesn't apply (over 59 1/2, disabled, first time homebuyer, etc.) penalty applies even if 5 years has passed since first deposit otherwise not a qualified distribution. See Form 5329. I think.

keep in mind that it is not reported on the 2018 return If you had included the non-deductible contribution on the 8606 for 2017, you want to remove it Guess you should amend the 2017 8606 to correct it and include the statement that the 2017 contribution was recharacterized . There is a page for the explanation. see tab at the bottom of the 8606. AND in response to the people who are complaining that the 8606 is not working... you just have to make sure you have the correct boxes checked on the 1099R and the top part of the 8606. IF it dosn't look correct, look for another box to check. My stumbling block was always when they have a traditional IRA with a basis and an inherited one- to keep the inherited one out of the calculation. Finally figured it out: for the inherited one: check inherited and do not check IRA.

You can add a note to any field with Ctrl+T. Or use right-click menu or Edit menu.