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Rich, ATX has always had the ability to customize the return manager. I had columns set up similar to what you've described for return tracking, and ATX also allows the user to delete any of the predefined columns too. With the return manager open, click on the "Options" menu at the top and choose "Customize Fields". A box will open with columns currently displayed with check marks. It should be self-explanatory. In that same box, scroll down to the bottom and you'll see where you can add more columns and name them anything you wish. ATX also allows the columns to be rearranged in a different order also. Sorry for the slight hijack, Jack.

The amount in box 8 can be taxable and treated like a sale or redemption of the owner's stock if the amount received exceeds the basis, and then it is taxed as a capital gain on Schedule D. What happened to the owner's stock?

It would depend on the language of the agreement, I suppose. I didn't look up to provide you links, if the payment is truly for property damages, it would reduce the basis in the property, and if that payment exceeds the basis, then the basis in the water lines & pipes would be reduced to zero and the excess would be taxable income. Any part that is a punitive damage and not specific to the property damage would be taxable. You should do research of property damage awards and settlements to document your handling for your files. Are you the preparer of the partnership return?

The increase in shareholder loan and APIC doesn't affect the AAA at all, they only affect the shareholder's basis. To be sure that I'm completely in balance, I always opened the "Options" tab in the 1120S form of ATX and checked the box to force completion of the balance sheet and M-1 so that I could view it on the screen, do my final review, sometimes would print pg 4 of the 1120S for my file, and then uncheck the box before filing. Unless you are keeping the books on the tax basis of accounting and not GAAP, it is entirely possible, and not even unusual, to have a different AAA for tax than AAA per books because of temporary timing differences. Those are the same as for C corps (tax vs book deprec, bad debts, acc'd shareholder distribs, sec 263 inventory adjustments, accr'd shareholder salaries, accr'd vacation pay, cap lease amort and interest, rent adjustment under sec 267, and accumulated timing diffs from prior years that haven't yet reversed. Permanent differences arising from nontaxable income and nondeductible expenses are on Sch K and flow through to M-1 and M-2, and these do not cause differences in the AAA and retained earnings. Joan, I think you are missing that ATX does have a worksheet to record the timing differences, if any, because ATX does allow for this. If you click on a line in the balance sheet on pg 4 it takes you to the balance sheet input. On that screen, you will note that the ending retained earnings line is white and doesn't allow for input, but it has an arrow that will "jump" to another worksheet where these timing differences can be entered. I hope this helps, and I hope you are really in balance at this point, but your statements about the change in shareholder loan and APIC have me wondering.

>>the suffering uninformed<< Yes, hopefully with the range of testers across a variety of configurations, ATX will receive very useful feedback that will enable them to put out a stable product, and that the testers will be able to give enough details to satisfy skeptical, wary customers without breaking the nondisclosure terms that were agreed to. Welcome to the "unofficial" forum, Jerry.

Catherine's story sounds pretty bad. I'll tell a quick story of how it could be thought that I'd made mistakes like that if another preparer were to follow me on one particular client. This is one of my largest business clients, C corp, a retailer with multiple store locations, larger # of vendors, uses QuickBooks and has a full time bookkeeper. Bookkeeper is pretty good and calls me when she doesn't know how to post. This client gets a review financial statement because of large line of credit with the bank. One thing bookkeeper & QuickBooks did that threw prior year numbers out of whack for a/p, retained earnings, several cost of sales accounts, and net income was the way she was entering vendor credits issued many months after year-end. Some of the company's vendors allow very generous terms where payments are spread over 6 months or more, and company always has purchases from these vendors just before their year end because of a large trade show held shortly before that date. The vendor credits occurred after I've completed my work and issued the statement and tax return, and the credits offset a portion of the unpaid balance on invoices for purchases prior to the year end I'd completed. The bookkeeper entered the invoice number to be offset and QuickBooks put that credit in the prior year because I believe that QB defaulted to the original invoice date when the original invoice number was used to enter the credit. A year went by and I arrived to start the next year's review work. I pulled my hair out to find why the opening retained earnings in the company's general ledger no longer tied to the ending retained earnings in my workpapers for the prior year. Bookkeeper and I have resolved this, but once in a while something like this occurs in QuickBooks where a date might be input wrong when entering. If another preparer had picked up this job and printed reports from the company's system, it would have definitely looked like I issued the report and tax return using incorrect figures. I love the flexibility that QuickBooks allows, and in the right hands it can be a wonderful tool. Used incorrectly, or by someone inexperienced or not paying attention, it can create a lot of headaches.

Catherine's idea is about what I'd do too. I hate the plugs, but nothing else you can do short of amending. Hopefully, the errors don't include this person deducting losses that shouldn't have been allowed due to basis limitations. At least the balance sheet isn't required. If I had this, once I had all the returns and trial balances for the prior years, I'd go back and prepare a basis worksheet for each year too.

I did some brief reading and I think the COD is IRD that should be considered in determining whether an estate income tax return is required to be filed. I'd send that 1099-C on to the attorney handling the estate filings.

Re the NOL - No the widow can't carry it forward. It can only be used by the person who sustained the loss and must have enough income on their own to offset it in a carryback or carryforward year when marital status changes, including death. Check pub 536. I'm not sure about the COD. I'd have to research that because of the specific rules related to COD, but it seems like that would also be IRD, but I don't know.

You'll need those back year returns to pin down what is going on with that AAA. I know that you already know this, but for those others reading here, the AAA could be negative if from prior year losses, but distributions can only take it down to zero and can't create negative AAA. Sorry that none of my ideas helped. Is this a calendar year return that you are trying to complete by the extended deadline on the 16th?

It just gets worse and worse. I think what's been uncovered so far is just the tip of the iceberg.

Here are just a couple of quick thoughts that came to mind - Was this an S corp since inception? If not, the corp could have C corp earnings that aren't AAA. Are the books and balance sheet on tax basis also, or are they GAAP? Timing differences between book and tax? I was also going to say distributions in excess of AAA in earlier years that could have reduced R.E. but would only reduce AAA to zero, but then R.E. would be lower than AAA. Is last year's ending balance sheet actually in balance? TT could have been trying to automatically balance the balance sheet through a plug to R.E. Find out which figure matches last year's trial balance. Is everything being reported properly on Sch K and the reconciliation of AAA in M-2. With ATX in prior years I seem to recall some items from Sch K weren't automatically flowing to the M-2 and had to be entered on the M-2 itself separately. IIRC, these were adjustment type items like nontaxable income, nondeductible expenses and distributions that would affect M-2, lines 3, 5 & 7. ATX would arrive at an AAA figure and put that on the line for retained earnings on the balance sheet causing it to be out of balance. Is your balance sheet in balance? Can this client also provide a trial balance for each of these earlier years so you can pin this down?

Wow, that must have been a scare for everyone. I'm glad you are on the mend and continue on with no lasting effects.

Congratulations on being chosen, Jack. I know you will be thorough in your testing and won't hold back in voicing your opinion and concerns, and that is what is needed. It's a shame that so many of this forum's users are absent during this time of the year and probably won't see this. Is there a reason why you prefer the PMs and to not see suggestions posted here other than for expediency or to contain the emotions? Even though I'm not a current user, I'd kind of like to see suggested enhancements, and I might consider ATX again in future if the problems are worked out. It was an awesome program.

Form 4684 and Pub 547. You didn't say what the adjusted basis of the stolen property was or what type of entity this is. If this is an individual and is personal use property, use page 1 of 4684, income producing property (a rental) would be reported on page 2.

John brought back another memory for me. The firm I mentioned in my post above was a small firm where we prepared in pencil and photocopied. Thank goodness I missed those carbon days! I worked at a very large firm as a co-op during college that had every return prepared by pencil and then typed out, and this was after the copiers were on the scene. I think there were about 50 people that worked there, and they had typing and math checking departments (as well as separate depts. for tax, audit, bookkeeping). This firm liked the typed look better, and believe me that firm had the fanciest Xerox copier out. It took up one whole side of an office and would collate something like either 50 or 100 sets at a time. Boy was that thing noisy!

Jack, I agree with you on that in general. Personally, I don't post anything anywhere on the internet that I wouldn't announce to the public, no matter what privacy settings are selected. But there is something to complain about when a site violates its own privacy policy that was made in settlement with the FTC. People sign up with a certain understanding and expectation, and then what is happening is something different than was agreed to, free or not. If the policy is something different or has changed, it's simple enough for a site to post a revision and let users decide.

Yep, I remember those days too. I didn't have the pleasure of carbon paper, but I prepared many returns in pencil that were then photocopied and assembled.

You said users should "demand instant refund of all subscriptions fees and charges paid for using their social media site." It's free. I only skimmed the two posts and I took yours literally. Gee, sorry if I caused you to bang your head. [/sarcasm] *rolls eyes*

What kind of fees does Facebook have? I thought it was free for individuals.

I don't feel so bad now after all. Summer school for us!

I would have failed with a 70% - 26 correct and 11 wrong. Ugh! In general, the world geography and a couple of the explorers were where I missed the most.

customer appeasing attitudes - that is something new.

I just checked and other than having to change my password I am able to log in successfully and access the discussion board. I'm surprised because I received a refund and am no longer an official user. Maybe that will end with this calendar year.

I only suggested those ringtones or dogs because others mentioned those as an option, but I don't ever use those. We know the people that routinely call for free advice, and I do one of two things to limit the time on the phone, both of which are truths. If the caller asks if I am busy or can spare time for a question, I'll start off by saying that I have only a couple minutes to spare and that puts the caller on notice from the start that I'll keep the conversation short. If the person doesn't ask that or the conversation is getting on in length, I simply say that I need to get back to the project I was working on to meet a deadline.