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About Pacun

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  1. enter that 2019 EI amount in box 6a of form 8812.
  2. I think I miss read the post... is "last year" 2019? If you already dealt with the 1099C, you don't have to do anything else this year.
  3. The money received is not taxable but he never paid the debt to bank of america. The 1099C is taxable.
  4. To qualify for the exclusion they have to own and have lived in house for two years in the past 5 years. You have entered less than 2 years.
  5. Client filed early and her unemployment was taxed by MD. It is my understanding that MD said that they were going to adjust automatically and people were going to receive the extra refund automatically. Client called MD and was told to amend. This will be very interesting because as soon as you open the return, the numbers will change and there will be no way to open the form the way you sent it. A lot of overriding will have to be done and then we will have to amend the return. Have you heard that MD is requiring amendments because of unemployment if refund has been issued? Any
  6. I am surprised the experts on Embassies have not commented on this. Schedule C and no deductions is the way of doing it.
  7. about 10 years ago, I started filing Schedule C for a person that worked for the monetary fund. The person showed me all the letters from the employer and they showed that her salary was X and that she was getting X*1.13 or something like that because the employee was responsible for all taxes. (This situation is common in DC). One year, she attended a training and we took $3K deduction on Schedule C, the IRS sent her a letter and said "Any expenses need to be reported on 2106". So that's why I said schedule C with NO EXPENSES whatsoever. This extra money are given to US citizens and to
  8. Maybe not. But I know the end result. I will find a way for this person to file as HH, not pay SE taxes, and to get $1400 refund. And as mentioned by someone else... we learn something new every day. If we wait to be master on something before we dive in, we would not have filed our first 100 returns because among those 100 returns the we filed a long time ago, there were a couple that were above out head.
  9. File Schedule C and SE with NO DEDUCTIONS whatsoever. What they have not shown you is the other letter where the embassy tells them: "We are going to pay you 100K for your services but we are going to give $113,650 because embassies don't withhold any tax money for the US." All embassies, the monetary fund, the world bank, etc. do that.
  10. Interest or other income will cause the loss of some EIC. So it will not make any difference if reclassified. I can only imagine how much that person received in child support that year in order to earn 9K in interest.
  11. EIC is not in play here. I need to enter earned income in a way that is not SE taxed and is able to be considered for addition child tax credit. I will try Form 2555 and see what happens. I expect this person to get $1,400 refund.
  12. Title should read: How to report earned income WITHOUT paying SE
  13. US citizen living in SPAIN sin 2018, earned $18K in spain. I want to report HH because she has a child and I want to get additional child tax credit. If I use ex-line 21 and enter 18K, no additional child tax credit. Thank you in advance.
  14. Sometimes I just think like a tax payer. I hear things from my stylist like "the IRS has a lot trailers full with unopened mail" and I don't bother to find out what's happening to the individual return. In my case, the IRS website had nothing listed for 2019 and I kept telling the client that the IRS had not opened her package and I pretended to be savvy by saying that the IRS had a bunch trailers with mail and that her package was in there since there was nothing on the website. It is easy to send the client away when you have not prepared their 2019 return which is the case with this client.
  15. Not only that, one of them might even qualify for EIC or extra EIC. 1 HH plus 1 Single standard deduction is much better than 1 MFJ. If one of them file with the two children, they will get also stimulus for the extra one child on the return which $500 plus $600 and since they have not filed yet, maybe they already got stimulus 3 and the parent with the two children will get an extra $1400. Not only that, if next year the parent with no children in 2020 claims the two children next year, that parent will get another $1400. Regarding amendments... I am always busy. In this case,
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