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About jklcpa

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  1. If this is helpful, here are the rules that govern non-IRS POAs and what IRS requires in order for them to be acceptable, and how to perfect a non-IRS POA. It comes from Pub 947 but has the code sec cite of when the person with authority may sign a return and those requirements: Processing a non-IRS power of attorney. The IRS has a centralized computer database system called the CAF system. This system contains information on the authority of taxpayer representatives. Generally, when you submit a power of attorney document to the IRS, it is processed for inc
  2. Max W makes a good point. Taxman, whatever filing is done, I hope you will give us a followup post of how this plays out with the returns and if the husband is ever found.
  3. Delete the pdf and close the return. Rescan the document and name it something different, and make sure to close it. Reattach the pdf with the new name, calculate the return, recreate the e-file and try again. https://support.cch.com/kb/solution.aspx/e-file-Rejection-X0000-029-A-binary-attachment-submitted-in-the-PDF-format-must-begin-with-the-file-header-PDF
  4. My last thought, maybe-because my head isn't working well at the moment, is if an MFJ return is filed and signed by wife on behalf of husband using her authority of the POA, I wouldn't attach any further statement about the husband being missing. In other words, don't give the IRS any more of a reason or anything else to question. Give them nothing more than the required information. If IRS will accept that POA, then no further explanation should be needed. Sorry if I'm rambling.
  5. The short answer you are looking for is this: if MFS and BOTH PARTIES AGREE, then the overpayment carryforward may be split in any manner they choose, and the IRS will accept that allocation. This is done by each filing a return claiming their agreed-upon share of the carryover. Absent both filing or If they can't agree, then the IRS will allocate based on a formula that divides based on each person's proportional share. Cite is reg sec 1.6015(b)-1(b) Also, the IRS may still question and reject that POA even though it includes "tax returns" because IRS wants its POAs to include the very
  6. You might want to read this older article in its entirety about filing MFS: http://archives.cpajournal.com/1996/1096/features/Married.htm For those that don't like links, I'll include the entire last section here:
  7. I don't think it's so much that he wants it transmitted with the return but that it should be generated with each shareholder's K-1. At least that's how I interpreted the issue.
  8. I don't use ATX any more, so maybe someone else here will chime in. Sorry I can't be more help, and welcome to our forum. I googled and found this that may help you find the footnote editor. It's for Axcess, CCH's program with more features, but ATX should have a place for the preparer to enter statements and footnotes that can be applied globally: https://download.cchaxcess.com/pfxbrowserhelp/TaxHelp/Content/Tax Returns/TR_UsingFootnotes.htm
  9. I would put it on Sch E again. Unless it is more than a nominal amount of land basis to allocate, I probably wouldn't worry about that. I knew you weren't questioning it being taxable. That part of my reply was to grandmabee's "14-day" statement. As someone pointed out last year, your client may lack adequate insurance coverage for people using the property as other than personal guests.
  10. Either should be recorded in the corporate minutes and the stock records for any changes of ownership, shares retired, redeemed, held in treasury, etc. Lawyer will do this and will draw up papers for either one of the transactions. I'll assume that your state will require that documentation for proof of the change in ownership for any sort of licensing such as gaming or liquor licensing.
  11. Assuming a C corporation - If the company buys back the stock, then that would be reported by the individual like any other stock sale via schedule D/8949. The corporation would have balance sheet entries for the cash outlay of the repurchase and a debit to Treasury Stock for those shares. If the individual wishes to gift the stock to the other shareholder(s), there is no entry on the corporation books other than the transfer of ownership in the questions pertaining to ownership and the area of officer comp where percentage of ownership is shown. The gift would require Form 70
  12. Two topics on exact same question, so this one is being locked. The other topic where ongoing answers may be posted is here:
  13. That rule is a special provision of 280A that defines rental of a residence, so with this being rental of only the yard, I'm not sure that would be applicable with the facts presented. There's definitely a profit motive, so I'd say that it is reportable. Max W, does this client advertise this in any way, and if it is the same client as last year, how aggressive is he with this? Could it be construed as a business at this point? Is there any access to the home or other facilities at all? How does one host a party of any duration without having bathroom available? Anything else ava
  14. Is it this one from last year? How did you handle it then?
  15. Always easier when it isn't my client and being pressured to complete the return.
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