Margaret CPA in OH

Oh, I stay informed by many means and agree that newspapers (I never watch news) are a bit behind in reporting but they do provide more in depth reporting and good local reporting. I am also aware of lots of electronic games but my eyes are not so great on those screens. So you keep doing you and I will keep doing my crossword puzzles in the paper and folding over the headlines by my coffee cup. Also, the paper has no glare and I can read it indoors or outdoors. It's so good to have options and I appreciate mine.

And I am a diehard newspaper fan as is my husband. I read enough stuff on a screen and do read e-books but news I like at the table with my breakfast and linger with coffee. Even though I already know most of it, the paper just feels right to me as does the crossword puzzle. I do have a Kindle Fire and love it for all the books I can carry on trips and read in bed. I can also watch lots of videos while on the treadmill. But I need my newspaper!

Lynn, I had one of those a couple of months ago but not for that far back. It turns out it was to e-file a prior year return but I did not receive an invoice or a notice that it was due originally. The person answering had to figure it out. I'm not one to constantly check my payment status as I don't do that much that costs extra and honestly did not recall that a py return costs $5. Just don't let $5 ruin your credit rating. Who knows to what lengths WK will go to get that money. I would call and complain but pay it if owed. YMMV

Ah, JRS, you beat me by 4 years but I was 46 then and had been a molecular biologist so second career for me. The Parsons I used was already on the compute (I still have the cd, think its worth anything?) , I never had to use carbon paper. Sorry for you, friend!

The program from Maine, depending on the year, could well have been Saber, the predecessor of ATX. Did it have a roar from the saber when it opened? Made me smile every time.

Before starting my own practice, I used CCH in the late 80's, early 90's. I began with the fill in sheets which had to be sent to a processor but my boss then had us hand prepare returns too to be sure of the amounts and results. Then CCH online. My first program for my business was the 1996 Parson's Personal Tax Edge costing, I think, $69. They either closed up shop or were bought out and I've been with ATX ever since, MAX most years. I haven't had nearly the issues that some experienced, especially in 2012, so have never felt the urge to change. With just a couple more years to go, I plan to stick with them.

The solution Max mentioned about a written forgiveness of the loan and converting to a contribution is what I have used with clients years ago. There were, I think, one or two small principal repayments but the balance was then forgiven. The church issued an acknowledgement at that time as the gift was as of the date the loan was forgiven.

Loved that roar! Still miss it...

Abby, I did this deletion exercise. It was a bit scary and some years seemed to be in different places. Alas, it didn't free up that much space but when I spoke about the YIKES! 95% full issue, he got in and removed a bunch of stuff, primarily the 'old' folder. He always puts nearly everything from my previous computer into this folder for a while in case I might need something. And this has saved my bacon more than once. But after several months, unless things are funky, it can go. And, of course, every upgrade (he's built my last 5 or 6 computers) has a substantial drive size increase. Anyway I now have 94 GB free. Thanks for yanking my chain!

I think this may be just what you need: https://www.webcaster4.com/Webcast/Page/1148/34796 Tax Obligations of U.S. Individuals Living and Working Abroad. A key phrase is 'worldwide income'. This webinar will cover the following: 2 hours free CPE!  Specify the U.S. income tax obligations of U.S. citizens and resident aliens abroad.  List the requirements for claiming the foreign earned income exclusion.  Summarize the U.S. employment tax obligations of U.S. citizens and resident aliens abroad.  Plus a live Q & A

Would this be helpful? https://www.irs.gov/coronavirus/non-filers-enter-payment-info-here

Great, Max, and thanks. Knowing that 56 can be mailed with 8453 is a relief. Will do and breathe easier. Somehow it seems after more than 20 years of this, learning new (to me) things is still possible!

Max, Form 56 has not been submitted. In looking at it there is a place to specify the tax form and year so seems to take the place of a 2848 and a non-IRS POA. Or what am I missing? The client is 90, has a level of dementia, but also cannot be accessed due to the COVID restrictions. So I don't see how to have the client sign a 2848. Form 56 seems appropriate and adequate but has to be mailed to IRS first or can it be mailed with a copy of the POA with 8453? If it is mailed before filing, how would anyone know that it is accepted/in force? Why would 2848 also be needed? I've read and reread instructions for 56 and the nice summary you referenced. I don't quite see the need for 2848. The only question I have on 56 is authority, 1g Other. I would state the Durable POA. And the POA as fiduciary is a personal representative per the definitions in the instructions. What am I missing, please? Except for the inaccessibility of the client, we do have time to get this completed by July 15.

Files are digital and I just haven't deleted them all yet. Good thought, though, and I have to say it's hard to document and follow a policy for just me. I do have the security policy but guess I had best get a record retention policy in place before I retire in 2 years. Abby, I recall when the drive space was measured in MB so 25 GB seems a lot to me. I think the majority is program files like QB, Adobe Pro, the Microsoft suite and 4 years of ATX which seem to take up more and more space with every iteration. My entire client file is 22.7 GB. I suppose pruning would make a difference.

I know nothing about either state returns however Ohio has a form to use to allocate in-state and out-of-state income for part-year residents or other scenarios. Maybe LA has a similar form. Not sure if ATX pulls other state info anywhere.

Well, my pc is custom built by my IT person so has no extra stuff (games, etc.) on it. The ss drive is 450 GB and I still have 25 GB free which reminds me time to delete old webinar pdf's etc. My files go back to 1996. But my client list has never been more than 100 or so.

1040. She qualified in 2016 by physical presence and filing in October 2017 and has qualified every year since then. For 2020, it will likely be 1040NR as she lost her university position at the end of the academic year and had to return to Europe when the school shut down in March.

In reviewing a client's past returns, I realized that I missed including the statement for substantial presence for 2018. I don't seem to easily find how to address this particularly if there is some kind of penalty involved. Anyone know? It was her third year in the US and she was present about 220 days, easily over the 183.

Weird feeling, isn't it? I did that about 10 years or so ago when I spun off my business clients. I don't think I had anywhere near your total but it was probably 150-200 pounds. I took it to a licensed shredding business to get the document certifying it. Then about 5 years ago I did it again when my biggest paper producing client group (7 trusts) finally were over with assets all distributed. That was probably about 200 pounds. I'm down to maybe 25 pounds total now. It is such a good feeling to not have all that paper.

Abby, there are two different things here, I think. I did not mention a 2848 but agree that an actual signature of a POA faxed with the 2848 works. I did exactly that just a couple of months ago for a client (sister, POA) to get a payoff amount from collections. Got it in to Ogden the day before shutdown and payoff amount arrived about 10 days ago. I am asking about the POA to sign the tax return electronically. The durable POA specifically states, "To prepare and file tax returns for me and to act for me in tax matters." I have had in the past people with POA physically sign returns as POA as I have it on file. I was asking about e-signing as electronic signatures are now accepted for tax returns.

I'm using Verifyle for electronic signatures and now have a client unable to sign (elderly, dementia, nursing home). I have a copy of the Durable POA. So the POA should sign 8879 that name as POA, correct? If I input the email in the POA's name to get it to her, that should suffice I'm thinking as that it what Verifyle enters in the signature block. Thoughts?

Oh, and on the flyer there is an asterisk (always): No additional package charges. Only pay for what you use. I won't be using.

The accompanying quote, and I saw this somewhere else, says, "Per return fee,......; E-signature fee - $4.00 / envelope (current year, 1040 only" Now this was on my quote which was for ATX 1040 Package so MAX or others may be different. I take it to mean $4 each but have no idea what is meant by / envelope. In any event, now that I have and use Verifyle for uploading and downloading documents as well as IRS approved e-signatures, I think this is superfluous for me and the idea of $4 each - not a good deal, in my opinion. Too bad there isn't or doesn't seem to be a good explanation on the website.

It is usually just 10% and I think the extra is for the virus issue. I suspect they want to lock in as many users as possible and may need more money sooner to keep staff paid. It is worth it to me. I suspect the lock in may be for MAX which I used for many years until I transitioned out all the business clients. When the other CPA who worked for me retired, I decided I didn't want to continue payroll or monthly statements or bookkeeping. My life is much simpler now and 1040's only is nice. The last 1065 left this year. It does rankle that I have to pay $30 for each extra state, though, after 3. I have clients in many states and am on the border with two already. Oh well, just 3 more years, maybe...

In case anyone thinks we never learn anything on this forum....