Pacun

I will only say this: Onedrive is more secured than your computer.

Yes, after my May meeting with him, he went on line and paid. I will call the practitioners hot line to see if they can help.

Since you are coming back to ATX, don't get the package advertised on the website. Call them and tell them you are switching and what deals they can give you. I bet you they will give you lower prices and they might lock it for 5 years. There a few flavors of MAX and some of them include only 3 states but you should go for the bigger package which includes, all states and DC, etc. free efiling for current year, payroll and other less important pieces.

I prepared 2022 taxes and I said to taxpayer: You owe, $2,800. I can have the IRS take that money from your bank account on April 10. He said, I won't have that much but I will have $1,500. I said make sure that that amount is in the account that day. In may, he requested and appointment because the IRS sent him a letter stating that the account had NSF when the IRS tried to collect the $1,500 portion of the debt. He told me that he had proof that the bank paid that amount and he wanted to show me. I met with him on a Saturday. He showed me the letter and he showed me the bank statement. In one line, the bank had a payment for $1,500 to IRS and the very next line had a credit for $1,500 showing the NSF rejection. I told him that there was no money in the bank to pay the IRS and that's why he got the NSF letter. At the same time, I said, the total debt is more than $2,800 so pay that amount as soon as you can. He went on line and paid $1,500 not the total amount due. By the way, checking his bank account balances for two months, he only had about $500 max. How did he expect the bank to pay $1,500 if at not point the bank had more than $500. A couple of weeks later, he got a bill from the IRS for $3,200. He texted me again and said what was the exact amount he owed because I never told him he owed more than $3K. He also sent me a picture of a payment for $1,500 that he made. I checked the payment and I noticed he made a mistake by selecting tax year 2021. He wants an appointment with me but there is not much that I can do, except telling to pay the IRS the full amount and deal with the $1,500 later. How can I help him to get his money transferred from year to year? That doesn't seem to be a simple task that a person on the other side of the phone will be able to make, correct?

As much as some people hate the IRS, we need to follow their policy. Everything in the 1040 is false until you prove it correct. We need to change our mentality and assume everything is fake until proven it is correct. The lawyer should have assumed that everything was false and verify every case mentioned in his AI report. NFT and block technology will help us in that regard. Embrace AI, NFT and block technology and we should be OK.

My question would be a nice task for chatGPT since the rules have been here for a while. I will see if others reply to my post.

I think you still have to give a 1099-NEC to the contractor who makes improvements to your house if you want to take a deduction or tax break... even in your primary residence.

Tax payer will be 59 and a half years old on October 30, 2023. He withdrew $100K from his current employer 401k plan on January 2nd 2023. Will he have to pay $10K penalty on that withdrawal? He used that money for vacations. I think I have read that you have the whole calendar year when you are becoming 59.5 years old to withdraw without penalty but it doesn't sound right.

See below

You don't need to hack it... you just need to command it to do what you want. Right now it has some parameters that limit what it can do but soon it will be able to modify or avoid those parameters and do whatever it wants. A photographer won a huge prize because he took a picture... when he was presented with the prize or before, he said that it was not a picture, but rather an image created by ChatGPT and relinquished to the prize. ChatGPT was also used to create a video with the movements and voice of Jerome Powell cursing and making jokes. I thought the video was real, but then again... I am not an expert.

Yes chatGPT is behind 2 years or more. That's because its creators wanted to put a leash on it. They don't want that monster to have access to all the information without having 100% certainty that it will perform as wished. As you know, Microsoft and Google are competing with OpenAI and one of the three will unleash their version with current information just to have an advantage. Without a leash, AI will do wonders and a lot of jobs will be "lost". As for the tax prep business, personal touches work with old people, younger people just want to know how much they will pay or receive. Most of them site in front of me intrigued with their phones. When I ask for their bank account and routing number, they get it in 5 seconds from their phones. When those old people are no longer our clients, we will have a different type of clients. I do feel that chatGPT could easily replace us because that monster is like having 10 preparers working on a return, especially if the client has prepared its organizer. I wonder how long it will take to chatGPT to write a program such as ATX. I also wonder when the IRS will have chatGPT or its variation testing and approving tax preparation software in the near future (10 years).

AI will change many things including how we do our taxes. I believe the IRS will have an AI workforce working day and night on many tasks. I do believe that in the near future tax season will last only a week. When CBDC is implemented and people are forced to use it everywhere, your tax return will be prepared each time you spend or receive money. Similar to the way a W2 can be calculated each time an employee receives a paycheck. I use koinly.com to have schedule D prepared and it takes minutes to do everything (without AI). As long as I have provided access to koinly before I make the purchases, the calculations are correct. In the near future, AI will replace Turbotax and we will not have young people as our clients. How long do you think that will take? 5 years? 10 years? 15 years?

Yes, AI will have the same issues we had... we didn't not prepare the perfect return when we prepared our first returns. Even after many years of practice, I have noticed that I have not prepared the perfect return in many cases. I do believe times are changing and are changing fast and there is no way to compete with computers in certain areas. Wait for the tokenization or NFTization in alliance with AI to become popular using the lightning network and blockchain technology. The future is here but it is in beta.

You should be able to survive for the next tax season next year with Windows 10 but you should: 1.- Back up your data 2.- Run all windows critical updates now that tax season is over

Just out of curiosity, what operating system are you using right now? Sorry to have that simple question before suggesting to move to windows 11 or not.

I installed Windows 11 a couple of months after it came out and I have had no issues but, I use my computer for business not for cool things. I have never had any problems with ATX not even when people were having a lot of issues.

I bet you it will pass on the second try as many of you did.... maybe 3rd or 4th.

What will be the correction? I guess one 1099-R with 0. Now which one was reduced to Zero? Will the IRS be able to zero in to the correct corrected 1099-R?

I would file both.

If you only glance, you would think everything will stay the same... only affecting SE, but in some cases, this event will put people outside of EIC (too much income), Make then return ACA premium advaces since the extra income will force them out of the 400%, etc.

Move to windows 11. I moved a couple of ATX packages ago and I have had no issues.

How much is "almost no federal income"? I would run the numbers and see how much she would have to pay to MA and then decide.

That's a good idea. I usually don't like to attach anything to the returns so I might have to manually make the corrections. Is the line by line a requirement on the 1040X? How about your software, does it allow you to type 300 words of explanation in one field?

I have about 10 returns to amend (Thank God for the extra dinero I will charge for the amendments... no mia culpa). All returns will have the same situation and what will change is ONLY amount received ($10,000, $12,000 or $17,500) and the refund amount. It will be nice if I could copy and paste this paragraph but I have to chop it so that it fits each line. Some sentences are hard to understand because of the chopping but I have to follow the line limitations on 1040X. Needless to say that I have to copy and paste 5 times. This is my explanation on 1040X. PROGRAM COORDINATOR WRONGLY SENT FORM 1099-NEC FOR $10,000. LATER, A CORRECTED 1099-NEC WAS ISSUED FOR THE AMOUNT OF 0 DOLLARS. 1099-NEC WAS ORIGINALLY REPORTED ON SCHEDULE C WITH SE TAXES. A 1099-MISC WAS ISSUED FOR $10,000 AND IT IS NOW REPORTED ON THIS 1040X AS OTHER INCOME. AS A RESULT, LINES 1, 3, 5 CHANGED AND SO DID THE TAX LIABILITY. PLEASE ISSUE MY REFUND FOR $1,107 AT YOUR EARLIEST CONVENIENCE. I would be nice if I could just copy and paste everything at once. It is very interesting the each of my clients will owe state taxes and it is very interesting how I will have to explain that schedule C has two federal tax breaks that were originally transferred to the state but now we have to add them back and pay taxes to the state. For the federal, people don't mind that those two tax breaks are gone because they are getting a refund. At simple sight, I would think that the only thing affected in this situation is the collection back of SE taxes because income stays the same. I was wrong. I had a client that I got an error stating during amending... you are checking earned income credit on form 8867 and no earned income is claimed. I carefully checked the return and of course, the message was correct. I was no longer claiming earned income credit because my client's income had risen.