jklcpa

ATX used to have more flexibility, some of that was taken away this year. I was a longtime user since almost the beginning, it had worked very well in past years, and it was a good fit for my small practice. That being said, I can't consider using it again unless CCH changes their refund policy since I did receive a refund from them. Their current policy says that I can't ever request and receive another one. What if that future program is defective or doesn't work for me? I won't throw money away. Drake worked well for me this year. It was faster in almost every respect and handled my multistate returns better than ATX ever has. It might not be for everyone though, and that's why we have choices that should be evaluated each year. None of us knows what the future of any of these programs will be as technology changes and as programs are rewritten. I like JohnH's policy of having a program in reserve.

Jack, I thought it obvious to be a rhetorical question and not to be taken seriously. I sincerely feel bad for those of you that stuck it out with ATX and for the emotional toll and financial damage that it has caused. For those of you that had success using ATX, well...congratulations to you, but I think you are in a small minority of ATX users.

Yes, Drake efile servers had intermittant problems that the company said were mostly resolved by 11pm. Drake has contacted the IRS to make sure that the extensions will be accepted as timely received if efiled on the 16th or mailed in by paper. They issued as broadcast of sincere apology and also said that any users whose clients are assessed a late penalty because of this should forward that to the company to take care of. Do you think CCH or ATX would have done that?

I'm not sure that that information is actually transmitted. I think it is only used to get to the proper level of standard deduction with the entry in box 39, test age limits for eic, etc. My state of DE has additional benes for those over ages 60 and 65. Is the client close to your age? When I have this situation, if I've had to estimate a DOB to continue on with the prep, I've always marked the input field as "estimated", and now in Drake as "flagged for review". Drake has a nifty checkbox on the notes page to hold the return so it can't be efiled until the note is resolved.

For those of you still hard at work in your offices that might not follow a news feed, there were 2 explosions at the Boston Marathon, a third controlled explosion by the police and a 4th device found. Two dead, six in critical condition, 2 dozen or more others injured. I'm sure those numbers will rise as the full scope of this tragedy is revealed.

So for those of you whose states allow itemizing when the federal is using the standard deduction, do your states have their own itemized schedule or does it use the federal? Delaware isn't really a pain because it starts with the federal and makes a couple of modifications. Also, both ATX and Drake do properly calculate and report the itemized deductions on the DE return, it's only that the federal Schedule A doesn't transmit with the state e-file. The first year I was efiling I didn't realize the A wasn't being sent and one client got a notice to send in the Sch A after the season was over.

I have to check each of those because Delaware is a state that allows itemized deductions when the federal uses the standard. It is a pain because when this occurs, I have to submit the returns separately and tell the program to force the itemized on the federal so that Sch A will transmit with the state, all the while being careful not to submit the federal that way. Any other way and Delaware doesn't receive the Sch A even though the return has the itemized deductions on it.

Before many of you disappear for the season, I'd like to hear your recommendations for a good scanner. I don't have a lot of space to put more equipment, so I think a flatbed is out. Is there an advantage to one type over the other? I don't think I'd ever go totally paperless. I like to have a printed copy of return, but I would save a lot of time and paper if I could store the client's source documents electronically.

I try to not let Spring totally pass me by even though I have weed beds, not flower beds. If it's a nice day I'll walk outside with a client when they leave, and I have frequent breaks to take the dogs out for their potty time. I now have chickadees nesting in a box on my front porch and a gorgeous weeping cherry tree in front of my office window that is beautiful. Too bad most of my clients are too early in the year to see it. Two dogwoods will show their blossoms in a couple of weeks and just in time for my birthday. They do makes me sad though because they were a gift from my parents, and my dad is no longer with us. Those dogwoods were his idea.

I think she is OK because she withdrew the excess contribution and earnings before the due date. See instructions for Form 8889 under "Excess contributions you make". If the taxpayer makes excess contributions, withdraws them, and doesn't claim the excess as part of the deduction for HSA, then no penalty is the way I read that. Or, if she takes the deduction that includes the excess and then shows the distribution (I think line 17 of the 8889), that would flow to 1040, line 21 as other income. IF she is 65, she meets one of the exceptions to the penalty and the 8889 includes a checkbox to show that an exception to the penalty is met. BTW, the penalty for excess distributions is 20%, not 10%.

I'm sitting with my feet up and having a Dove bar. I have 2 projections to do tomorrow for 1st quarter estimates, and one last extension...if I can get an answer from this last client! I'll have a total of 4 on extension, all of which are 99.9% done and waiting on one small entry on each.

You don't need a signature if no money is being electronically withdrawn from the taxpayer's account.

I'm sorry. It is hard when we build relationships with our clients over a long career. Most of the people I service are more than just clients to me. I've had 3 recent losses. First was husband of an elderly couple that I've known since college. He died of Alzheimers and in his younger days was brilliant, and to see his mind go and the body waste away was simply awful. Second was a husband that fought melanoma for about 10 years that had finally spread to most of his organs, spine and brain. I delivered their return on a Tuesday in March. He was in a hospital bed in their living room and passed 4 days later on that following Saturday. He was in his early 60s. Third was a friend of my husband's that had dermaschlerosis that affected her lungs as opposed to her skin being affected. She was in her mid 60s and chose not to be on a ventilator and basically died from lack of oxygen.

That is crazy and you are right, the system does stink. I have an elderly woman and her daughter as clients. I have known them my entire life and went through school with the daughter since kindergarten. The daughter didn't graduate HS because sometime around the age of puberty she deveoped severe schizophenia, paranoia, and other mental challenges. She can function (sort of) if she remembers to take her meds. She found a job that paid a small amount but it became almost more disabling than just living with the mental challenges she faces daily. No way she could live on the little bit she earned and she could not continue working. She's now 53 and still lives with mom who is in her 80s and in poor health. Mom fought hard to get the daughter qualfied for disability benefits, and even now sometimes she has to go through some process to have the drugs reinstated as being necessary. The amount of disability is very small, nothing she could live on, and no one has an answer to what will happen to her when mom passes away. She has a brother that won't be stepping up to that plate. It all makes me very sad.

No! Rejected? What was the cause for *all* to be rejected? ETA - I typed too soon. I just checked and that final PA return was just ACK'ed as *accepted*.

I was just going to post about this. I have one remaining from PA, filed on the 10th. I figured the delay was because it's a PA resident with TP and SP both working in DE with the credits. Plus the states couldn't pick up returns or send ACKS through with the MeF being down for a period of time yesterday. That's been resolved and I received DE ACKs, so it's a definitely a holdup with PA.

^ Until this year, it was a bunny hop for me.

Yes, I had a couple that filed separate returns one year and the wife filed her return first through some free service claiming the standard deduction. Husband came to me with Sch A deductions. House is in only his name alone with the mortgage and r.e. taxes that are paid out of a checking account with his name only, and funded solely by him. Wife did not want to listen when I told her to file an amended return. She did get the letter from the IRS. I've been preparing a joint return ever since.

Nothing is showing up on line 10 of the form 1116? Have you filled in the other information on page 1 in the deductions section? ATX isn't the easiest program to use for the 1116, but I seem to remember that the program would allow the full credit in the current year but wouldn't have the information to really calculate it correctly including those carryovers if this deduction section isn't completed.

If a person has a HDHP and is not enrolled in Medicare, then it is possible for that person to continue to contribute to an HSA. Starting with the month that the person is enrolled in Medicare is when the person becomes ineligible.

Don't forget the mileage for her to drive to the post office to mail the package. Ha ha!

Well said, Ron.

That was my reaction too. With up to 6 people on payroll and if they are paid weekly, plus the deposits and filings? That's a lot of work for the little you are charging!

They are lifelong Delaware residents, never ever were NC residents. Back in the mid '80s they purchased a lot in NC and built a vacation house. Because of some financial difficulties, they decided to turn the vacation home into a rental last year. This rental income is the only NC income they have, and the gross rental is below the filing threshold. I'm only concerned that if they split up in a future year, or decide to file separately in future, that they *might* have high enough rental income to require a NC return and that NC would then see that the home was rented in prior years because of the date placed in service and depreciation taken. That is really my concern whether or not to file this 2012 return. The property is being managed for them by a realty company. Would NC have received copies of the 1099miscs that were filed?

You are not alone. I have at least 3 of these little old ladies. One is a new client and a recent widow, her husband died in Jan 2013 and she'd never had to deal with any of the financies. What a struggle it was to get all of the information. She has no children and no relatives that live close by. When she finally came for the appointment, she brought a 5 inch stack of bank statements from a variety of banks all mixed together with the 1099s. The 1099s from SSA were missing. She found them later in an end table drawer after she requested duplicates from SSA. Then she didn't want to spend the cost of the first class stamp to mail me the 2 forms! The topper was when she said she'd like her original documents returned to her in their envelopes. Arrrrrgh! She's a nice lady and I think she will ultimately be a good client, but she surely did test my patience.