Margaret CPA in OH

Thanks for the replies. I did have them complete a support worksheet and it seems clear that daughter paid more for her support in 2015 than did mother. She used proceeds for medical bills, car repairs, travel, new clothes, etc. Mother has listed and I have included those medical bills that she paid for daughter. They keep very detailed lists of who paid how much for everything outside of food. My question is whether, just by looking at the 1040 with negative AGI, she could be considered mother's dependent. We know that she had much cash and spent more on herself than did mother (support worksheet) in 2015 but they look at the negative AGI and say how can daughter not be dependent? I have assured them that this is likely a one-off and mother loses only the exemption for one year. I'm just not sure how IRS would crunch the numbers showing gross receipt from stock sales of $55,000 and yet being a dependent in rural Ohio. Sadly, she loses the carryover losses as 2016 she will be dependent again I'm fairly certain.

New clients, mother and daughter, have filed for several years with adult daughter on disability as mother's dependent. In 2015, daughter sold stock for $47,000, basis $55,000, to aid in support. Tax return shows loss of course and she otherwise wouldn't have to file with taxable income below requirement. Question is, with AGI in negative territory ($3000 loss, SSI non taxable), does she still qualify as dependent on mother even though she used the proceeds for her own support? I say yes, they are not so sure. What say you?

I've already deleted the email but they are doing maintenance this weekend. I think it was sent out yesterday or the day before.

Yes, sometimes, nearly always, leave such things to professionals. Uh, Gene, you did mean ouR house, not ouT house, right? Or not

Now how cool is that! I love it. Thanks Randall and Gene.

Hmm, I wonder if 'good' preparers somehow banded together and ranted to Congress to better fund the IRS while requiring that the service target malfeasance and cheating of those with very high incomes, offshore accounts, and other tax avoidance schemes. It seems IRS has to do increasingly more with fewer resources to bring in the revenue to run the country and works with the lowest hanging fruit (fewest resources required) to do so. I don't like the specter of more preparer penalties than anyone else but maybe see that it is the easier path for IRS. Personally, I have no idea how IRS would better target the bad preparers that we see over and over again. It seems, like the poor, they will be with us always.

QF says that is one of the advantages to employer and self-employed plans. Withdrawals must still begin by April 1 of the year following the year the account owner turns age 70 1/2 but, as long as the individual still has earned income, contributions are allowed. I did this and intend to do the same for the next couple of years that I intend to keep working. I am 70 1/2 this year.

Catherine, our hearts are with you and his family. So very sorry for your loss. Suicide from depression is in my family and unfathomable. Prayers for the family and all who suffer silently.

Yes, Judy, I think what you describe would be workable. It may be necessary to have some way to direct (newer or forgetful like me) folks there but so many currently pinned items are very useful. Many things not pinned are often forgotten and the discussion gets regenerated rather than referenced. Abby, how did you discover the unread topics and comments view? Is that maybe in a pinned or not topic on how to use this site? I'm still trying to find someone to teach me my smartphone!

Maybe it would be worth considering a forum for pinned topics with just listing on this forum of all the pinned topics by subject. With time and new (and older) folks facing new situations and the tax law changes, many topics are really worth pinning. Just my opinion at this moment.

Sounds fun, thanks!

Our leader recommended that we use the Mandelbaum translations which have the original Italian on one page, the English on the facing page. He often reads the Italian and explains some nuances that even the translator couldn't quite manage. I haven't a clue about the Italian, personally, but enjoy his reading of it. I commend you on this undertaking and wish you to get as much out of it as I am.

Catherine, my book group is just winding up "Divine Comedy" half way through Paradiso. We began in January and won't finish until next month. What an amazing book! Our leader has taught it in university several times and is just full of insights and thought provoking questions. It's such a challenging spiritual journey...

I have an older Kindle Fire which I love and use constantly for reading mostly but also to watch movies, etc. (I have Prime membership) in the winter on the treadmill. I also sometimes use it to check email when on vacation. My husband has the Kindle Paperwhite which he practically has glued to his hip. He reads voraciously all sorts of books and subscribes to 2 online magazines. He rarely uses it to do anything web based, just read. Look carefully at the descriptions of the range of Kindles and decide just what it is that you want to do with it and how. There are even differences in e-readers if that is your primary purpose. I'm sure others will chime in with their favorite device. I also have a Surface Pro not used nearly as much as I should. My Fire is the go to for travel. Maybe go to a place like Best Buy and try them out. Feel and see the differences. And good luck! The technology changes quickly but, if you like your device, it does what you want/need, and doesn't wear out, it will make you happy. My fire is about 5 years old. My husband's is only about a year old but his previous basic reader lasted about 6 years and finally pooped out or he wouldn't have replaced it.

I just had a similar situation and decided to use the Shared Responsibility worksheet. I marked the child as covered each month and the parent had coverage just the last two months. I input the child's (college student) income which increased household income about 50%. The calculated amount was just $443. I may have misinterpreted the 1095-C from mother's first 10 months but, like you, spent way too much time on this. The code was 1F, minimum essential coverage NOT providing minimum value offered to employee (this was for 3 months then she was unemployed, then employed again elsewhere). If this is incorrect, I will amend for her for free but we are also awaiting details on 1098-T (another gawd awful form). This showed $4100 billed qualified tuition, scholarship of $2400, loans of $5600 and 'refunds back to you' of $5735. They have no clue what the 'refund' is about and claim receipt of nothing. Sigh...

My recommendation is to call your E&O. I have had two situations over the years that just might have given rise to an issue even if not a lawsuit and called about them. In both cases, an advisor called me to discuss the particulars and gave great advice. Nothing came of these issues but I felt so much better having someone else in my corner giving advice and prepared to support me. Good luck! I think I need to also reconsider how long I stick with these grandkids trusts. I know one is being moved this year because the beneficiary has gotten so nasty. I don't want 2 more years of her.

Given the lack of response by electronic means, you may want to send that note Return Receipt and add the cost onto the bill. At least then you would know the message was received by someone. I recently read an anecdotal story about the lack of electronic response from a casual acquaintance only to find out a month later that the person had died. Hopefully this isn't the situation here but one never knows.

Judy, you are an absolute angel! And to find my original post is amazing! I had not realized that I looked at this before but that was likely when I made that note to self which I now found not so easily understandable. I will very carefully reread all of this, especially Jainen's original reply. I did find the Notice 88-99 but honestly couldn't match the text with the situation again but apparently did a few years ago. Good homework tomorrow. And I will seriously revisit my threat of which Jainen reminded me. Thanks again and again! And I've decided only 2 more tax seasons for sure and probably none for these folks.

In 2005 a client mortgaged a rental property to purchase another. I did some research at that time and have some notes that the interest follows the debt purpose so the mortgage interest was deducted on the second property. That property sold a few years later and the client did not pay off the mortgage so, looking at my notes, I have considered the interest not deductible and advised them to pay off the mortgage. My note says Rental Interest Notice 88-99, interest follows debt purpose, not the collateral, that is debt follows the property and, if building, then capitalize it. I'm now struggling to find this again with clear verbiage to provide the client. Anyone have this in your practice?

Yes, Accessories. A simple search didn't find it.

Here is another person without a clue. What is this called? Where is it? Exactly what is the name? I couldn't find anything like this. I have Win 7 Pro.

Thanks, I will wait until then and enjoy some vacation time in July! Hope you all get some time off, too.

Got it! Thanks, I was just totally hung up on a 1040 transcript. Forest for the trees thing, I guess....

Thanks again. I realize that I don't need a transcript. That's what I indicated initially because a return hasn't been filed. I am asking, obviously not clearly, how to request from IRS a list of reported Forms 1099 from IRS. I could only find out how to request a transcript from an already filed return but not how to request a list of reported income. My apologies if this still isn't clear. I don't want or need a transcript that doesn't exist. I need a list of reported income but do not see how to do that.

Thanks, Pacun, but how does one ask without having filed a return to get a transcript of reported income?