Margaret CPA in OH

The client can also get one by setting up their own account. One of my clients has had one for years and tried to tell me it wasn't needed for 2022 return - until it was rejected because of missing IP PIN. Amazingly a week later, client got it from his online account.

Thanks, DANRVAN, for your comments. I am still awaiting answers. I have asked for the statements of the account but not yet received anything. The $250 penalty on 5329 is calculated before showing the amount NOT subject to tax. I have not received that as yet so not sure how much is basis vs earnings. It occurred to me that this should have been a 2021 issue. He graduated in June 2022. Parents are long time clients so I prepared his returns for 2019, 2020, and 2021. For 2021 he had less than $3000 self employment income. For 2022 his wages with no deferrals or company Roth were only $23,180. So wondering how he could have so much in a Roth and not reported previously. And how much could he have contributed in 2021 and still have $$? Hmmm... Something funny here.

Client has 1099R showing code PJ from Roth. He says in July he realized that he was overinvested in the Roth and asked the advisor to make the overage a 2022 contribution. So the codes mean early distribution no known exception and excess contributions plus earnings/excess deferrals (and/or earnings) taxable in 2021 (but the form is 2022). Is there a maximum time limit to make that sort of change? I think I do need to see the statement showing that the amount was then deposited for 2022. Anything else? It means the 10% penalty of about $250 for a new graduate not making a lot of money.

With Verifyle you can set up 2fa which I have not done as I know well all of my clients. I suppose you could have 'secret' questions or video conferencing or any number of ways to verify. All of my clients have to have provided a current driver's license or state ID in any event as Ohio requires it to e-file. I love having this portal and not having to mail things back and forth and having electronic documents. I retired paper documents about 8-10 years ago.

I hear you about so many folks now using only their phone and texting. But signing electronically is a godsend, in my opinion. Very few of my clients ever had functional printers and no one had a scanner. I have been using Verifyle for about 3 years now for $9 per month, a very small price in my opinion. Clients and I upload and download in the secure portal and now I want all communication there and not in email. I cringe when someone sends bank info or worse via email even after being told about the risks. And Verifyle does have an app (everything has an app!). I have added the recommendation to have and use Adobe Scan for any documents that they do not already have in pdf form. I loathe jpeg uploads as they rarely are legible. The scans can and should be deleted on their phone after uploading. There are only a couple of clients that struggle with Verifyle but they struggle with anything computerized and with anything on the phone that isn't doom scrolling. Their 'kids' help them or they trek to my office. This also is not so bad as those folks tend to come early in the season before I'm really busy and bring gifts or take me to lunch. Breathe...

Wait, wait, we get a chance to slow down and scale back, too, don't we? At 77, I'm ready for the raising rates to thin the herd but still make enough money to keep traveling - off to Papua New Guinea for scuba diving April 24-May 11. Stress relief writ large.

Thank you!!! That showed the SSN so now I have an answer without tech support, just super fine colleague support. Thanks again!

I, too, charge extra for 8867 but include it under any tax credit for $25 each. I think that just got increased for next year!

I somehow posted this under ACA, no idea how, but maybe someone else here has ideas. I think I have to call tech support as the help for that field was not helpful. I think I read here before how to determine which dependent had been claimed but must be using all the wrong search terms. Anyone know how to find it?

Wow! How did that happen? I have no idea how this post ended up there as I almost never have the occasion to even look at the forum having so few with ACA. Maybe I should repost where it belongs! Thanks for bringing this to my attention, Lion. I'm going with hacker interference

Thanks for this information. I don't see SSN but there is a 1 in a red box. Here is what the ATX help says: Click the red box. The cursor moves to the associated field (highlighted in yellow). To move to the next field associated with that error, click the Next button at the bottom right of the Rejection Error pane. To return to the previous field associated with the error, click Previous. However, my cursor did not move to a field highlighted in yellow. So do I assume it just means the first listed? I don't need this right now. I guess the client will have to figure it out. Thanks for suggestions!

I think I read here before how to determine which dependent had been claimed but must be using all the wrong search terms. Anyone know how to find it?

This is fantastic, Catherine! It means you either have too much time on your hands at the moment or the muse struck you and resistance was futile. I hope you don't mind that I share this, with attribution, of course!

And don't forget the 12 day occasional entry rule. This has worked for a client who does consulting in two places but is physically never in either for more than a few days.

Determine whether there can be a loss carry forward. Many/most municipalities will allow some sort of carry forward so establish that. If there is a loss on the federal that can be carried forward, it will carry over to that extent on the following year and Ohio begins with federal AGI. I am not sure how a part-year loss in 2022 would be carried to full year 2023 but would go with it, I think. But I can't think too much more tonight.

More than $300 but, if well organized, probably less than $500. If lots of messages getting the documents (like the 1098T and answers), maybe more. I bill by time, not form. When it takes a lot of time - begin the return, ask questions, pick it up again, more messages for answers, etc. - it costs the client lots of money. Like the video that's been around, I'm billing time and also expertise.

No, they do not unless they work in that municipality. We live in a township (very common here). When my husband worked at the university in Cincinnati, tax was withheld. He retired before COVID but now WFH people not actually working within a taxing district do not have to pay that income tax. Cities still fight it. The 'official' address you mention is likely just the post office. Our post office area is Cincinnati but we are not Cincinnati residents. Clear as mud?

Check for part-year tax credit on Schedule of Credits and IT NRC to allocate income within and without Ohio. You may also use Ohio IT 2023 Income Allocation and Apportionment Nonresident Credit. If retired and receiving retirement income, check nonrefundable credits on the schedule of credits. If over 65 with low enough income, there may be a $50 senior citizen credit. That's a start. Ask for more particulars, there are several OH preparers here, I think.

I agree with this observation. I have had my last 6 computers custom built without any crapware by my computer guy - for 25 years now. If anything goes wrong, he can fix it because he built it. I also have it go in for 'spa treatment' every fall before the season to be sure nothing has sneaked in or is causing problems. It may be a coincidence but I think my program has crashed fewer than 5 times in all the years I've been using ATX since 1996 tax year. And I cannot even remember the last time. (Now I've probably hexed myself, right?)

At the top of the 1099-INT data entry screen, see the third line - To enter 1099-OID entries, refer to the following Knowledge Base document KB Doc 000062651. Click on the link - Box 6 - Acquisition premium see the instructions on Form 1099-OID and IRS Pub. 550. I did not look at the instructions on Form 1099-OID or IRS Pub. 550 but you might wish to do so. That information may help you.

If you are using ATX, page 2, Part V, Section 5. In Fixed Assets listing, add Vehicles in Category and complete the other fields appropriately. One of the tabs will be Auto/Listed Information with all the same questions as you know or you can choose Standard Mileage with all that data needed. Pretty easy, actually.

Pursuant to Reg. 1.643(A)(B), trustee is making a regular practice of distributing capital gains to the beneficiary as trust instrument permits. I was trustee for several trust and did this for the life of the trusts.

What does the trust document say? What has the trustee opted to do? There is an election and statement to be included. I'll look it up and get back to you.

Thanks, but the money will be direct debit as soon as e-filed so, assuming the 'overpayment' was applied but not there yet, there will be some money in IRS pockets. I guess we will have to see how it is sorted out with late payment, etc. when the love letters arrive.

Thanks for replies. So I should consider the money applied for 2022 returns and carry on. They have not received a notice, probably CP2000, from matching the 1099. And the amended return can be e-filed and paid with direct debit so think not such a long process time. Always something...