fmaderjr

I get an error message saying I must select one of the 2 for E-File. I'd like to select the NJ1040, but for the life of me I can't figure out how to do it. Any help would be greatly appreciated.

Thank you. Researching the tracing rules confirms you are correct. I'm embarrassed to say I had forgotten the term "tracing rules" so my searches weren't turning up any results.

A Client refinanced his duplex (50% rental) when he only owed about $5000 and took out a new $115,000 loan. All of this money was used to buy a new 100% rental property. We don't want a schedule A deduction (his itemized without this interest are about $5000 below the standard deduction). I know you can make an election to have home mortgage interest treated as rental interest if it was used to buy the rental property, but only 1/2 of this loan was secured by a residence. What about the other 1/2 of the interest that is secured by the rental portion of the duplex? It can't be deducted on that schedule E because it was not used to buy anything for the duplex. Can I just deduct it on the Schedule E for the new rental because it was spent to buy that property or is there some election I can make to allow me to do it? I can't find any info at all on this issue no matter no matter how much I seach. Any thoughts would be greatly appreciated!

Thanks. I made the only change that looked like it might work in the customized master forms letter. Won't know for quite a while if it worked. I can't make the change in the letters of returns that I'm waiting for the e-file authorizations forms because saving the letter will require creating th e-file again and then the numbers won't match the ones in the authorization forms I mailed out.

I want my client letters to stay the way I wrote them. I write that the returns will be E-Filed, but once they are accepted ATX changes the letters to say that they were successfully E-Filed. I wish there was a way I could stop that from happening, but I tend to doubt it.

The Trust was established in Pa. so I guess she has to file the Pa. 41. It was confusing to me because the beneficiary will owe no Pa. taxes on the trust income. It's all dividends & interest and he's a Nonresident. Thanks for you help.

A former client who lived in Pa. set up a testamentary trust for a beneficiary who lives in Indiana. All the income is interest & dividends, which Pa. considers nontaxable to a non-resident. My client has died & the trust is now in effect. The Trustee has asked me about what state Trust Income tax return must be filed. Since it has no Pa. taxable income, my feeling is that a Pa. Income tax return for the trust is not necessary, but one for Indiana is. I really don't deal much with Trust returns, so I could really use an answer from someone who deals with this stuff regularly. I went to high school with the trustee & would like to help her out.

I believe that the $35,987 is his total contributions that must be recovered over his life expectancy using the simplified method. I think the $3404 is probably health insurance. I have a civil service retiree with a 1099-R like that and several years ago & the figure equivalent to the $3404 was actually called health insurance instead of Employee contributions/insurance premiums. I have a postal retiree who retired 5 years or so ago as well and the 1099 actually computes the taxable amount. Did your client retire quite a while ago?