Margaret CPA in OH

Thanks so much! It does show the taxable amount as $449 less than the gross and this is the same as the employee contributions in box 5. Is an Iowa return required? She's lived in Ohio for several years. It does show the State/Payer's state tax number as an Iowa number and the state distribution seems to have had an adjustment of another $450, the amount of the employee contribution. I'll check about Iowa filing. She would get credit in Ohio for Iowa tax paid. Thanks again - we're up too late...

New client has 1099-R, first year. On top it has Total federal employee contributions-$10,000 Total state employee contributions $15,000 SIMPLIFIED GENERAL RULE. In ATX is there something special about data entry? I see on the bottom space for annuity information. Do I need to ask client about start date, etc. for those fields? The only other one I've seen like this had an information sheet with all this listed. I checked Pubs. 575 and 939 and am further confused. It seemed that the client must use the 'Simplified Method' not the 'General Rule' as described but what is the 'Simplified General Rule' written in bold caps at the top of the 1099R? Always something new!

In my email with pdf (encrypted) returns for client review, I specifically state that no paper copies will be provided unless specifically requested. I always have a couple that do want that paper but the vast majority are fine with electronic versions. It is rare for a request for a printed copy after tax season. I offer first an electronic version which usually suffices.

I have SP2 so maybe the refurb at the price you mention is good. Do remember that you will likely want the detachable keyboard which will cost extra. I also got a great Bluetooth mouse that flattens to easy to put into the bag I have. I usually use that over the stylus as I'm more used to a mouse. Others like Eric will surely chime in and give you lots of suggestions. You might want to browse at someplace like Best Buy to see what screen size you like best and how the keys and functionality feel to you. I love the SP keyboard feel myself. Let us know your decision. My husband is looking around, too, for after his retirement.

I have a Surface Pro which can handle anything and I really like it. However it is over your price point. I got it to do all the things that you list and more and am very satisfied with the performance.

I got a similar email a couple of weeks ago with the requirement to reply immediately as whoever was going out of town, blah, blah, blah. I deleted it. I'm so sick of scammers!

I think if you input the numbers (and check the instructions), it may be possible that the client will qualify for a credit in arrears depending on the results of the tax return and 2014 actual income.

If on Schedule A, it would be unreimbursed employee expense subject to 2%, wouldn't it? As he is paying for an expense as an employee, that might be correct. Does the insurance cover him outside of that employment contract? If so, then I would think a Sch. C would work. Surely others will chime in. Can't be the first time!

I remember reading recently that this was one affected by service cuts and switched to automated phone trees - like shutting down e-services, another short sighted move, in my opinion.

Remember this one? So I emailed the son about my decision and reasoning. Yesterday he emailed me with a copy of his mother's signed durable POA from 2001 (I think around the time of diagnosis of declining mental health) naming him as contingent with all rights to sign, etc. "I'm thinking you may not have seen this POA before..." Right. Still an attorney 'feels' he could still 'help' his mother sign the returns. I assured him that I have no problem any longer with anything except an attempt to have his mother sign. He should sign and be done with it. We'll see what happens next! Can't believe in all our exchanges that he has never mentioned this. No, I didn't specifically ask as deceased dad told me that she did not have a POA. Guess he forgot.

I think the best thing is to look at the audit guide just posted here recently. From my recent experience and the replies on this board, the 1099A box 2 is essentially the 'selling price' of the property and used to determine gain or loss. The amount in box 2 of the 1099C is considered income but it sounds as if your client is insolvent. I think you use 982 for that. Others will chime in and be better guides but that recent post is great. I also found it on irs.gov by typing in cancellation of debt audit guide.

Yes, ATX did a fine job of managing the repayment calculations. It took me a bit to understand the correct process. Reading the instructions for the form actually helped!

I have some really nice elderly clients with very low income who refuse to not pay me. We have arrived at a deal - $25 plus a dozen home made chocolate chip cookies. The latter are worth so much more than they can imagine.

Yes, there have been several already reported here including one of my clients. My clients called and had to wait quite a while to get through. There are specific instructions for them to follow. Check >earlier posts - sorry I don't know how to put in the link.

Sadly that is the case all around. Do what gets you re-elected, never mind the good of the country or the people. 'It's all about me.' Politics at it's worst, too.

Thanks for thinking. I wish they had done so or at least asked before acting. I am inclined to have the LLC make a loan to the wife of the total withdrawn. As for renting, there is no more cash in the LLC as it went to buy the house and remodel. And the other day the client said they have now rented it as it wasn't selling. I don't yet know whether it was retitled in the name of the LLC first. I hope so! It could well be I am not clear on your suggestion of the LLC being an operating company. The reality is that mother put in lots of cash, wife, little cash. Wife bought property and paid for remodeling with LLC cash but all is in her name, not LLC. The plan was/is to contribute property to LLC from wife but I am now dealing with the st cap gain (killer for tax) or loan not addressed in agreement. Aaarrrggghhh!

I seriously doubt that anyone looks at the signature but I also don't think it appropriate to knowingly have an incompetent person sign something they are incapable of understanding. In the case I presented, the EO insurer finally called back and supported my decision to not prepare the return as son stated he would have his incompetent mother sign it. I offered son other options and have not received a reply. I may never. We will meet on March 28 at father's memorial service so it could get awkward.

jmdaviscpa, do those programs (which look good) work on Win 7? They both say up to XP.

Re: the saga of the partnership that got ahead of themselves. Now wife is faced with $23,051 of short term cap gains with the distributions she received to buy the property which is titled in her name as are the utilities. Mother contributed $17,800, wife contributed $5000. I added up all the expenses paid for the property purchase and remodeling and considered that as cash distributions to the wife. When the property is titled to the LLC, it will be her property contribution. So they are going to be unhappy, to put it mildly. Is it possible for the partnership to make a loan to the wife? In my LLC & Partnership Answer Book it says yes but the operating agreement 'should' address this issue. Theirs does not. Another issue is that the capital accounts don't show on the K-1's and, with the wife's excess withdrawal of cash, the capital is depleted, why wouldn't that be possibly taxable income to her? Her capital account summary (worksheet, not on K-1) shows negative $18,000. Is this a problem? But it may go away if we do the loan. I have spent waaaay too much time on this. I am not a fan of partnerships. Think I will get out the business next year as I did for corps a couple of years ago.

Yes, I am sadly aware that too many people use the refund function as a forced savings account. The biggest issue, I think, is that our do-nothing congress will not be responsible enough to address this issue through law. It's costing the country billions to keep doing the same thing over and over with tweaks around the edges and increasing code complexity while cutting enforcement funding. I often joked that tax reform was job security. Not so funny any longer.

Probably no one would go for this - permit tax return filing only after all information forms have been received by IRS. So It may be May or June before filing can begin and NO refunds without matching first. For Schedule C filers with estimated payments, no refunds, only application to next estimated payment. Harsh but I think it would make at least a dent in this and prevent a lot of CP2000 letters and replies.

Okay, I finally have all the information and have input. Loss is the $125 to state for organization. Mother contributed $17,800, wife contributed $5000. I added up all the expenses paid for the property purchase and remodeling and considered that as cash distributions to the wife. When the property is titled to the LLC, it will be her property contribution. It turns out the client was paid for contracting remodeling and purchased the truck for himself from that fee. Whew! Because the cash was, I believe, a distribution to the wife, I am not going to issue a 1099 from the LLC. Or from wife as it wasn't technically yet a business expense. I think. My issue now is that the capital accounts don't show on the K-1's and, with the wife's excess withdrawal of cash, the capital is depleted, why wouldn't that be possibly taxable income to her? Her capital account summary (worksheet, not on K-1) shows negative $18,000. Is this a problem? I am not a fan of partnerships. Think I will get out the business next year as I did for corps a couple of years ago. Thanks for comments!

I love these examples of 'small' business. How helpful of IRS to point out the savings for these folks.

My clients were told by IRS that the earlier tax return was deleted and followed their recommendations on notifications: Federal Trade Commission, local police report, Social Security Administration, and Equifax Credit Bureau. They also filed Form 14039 and cancelled credit cards. The address they are to send their return is: IRS Taxpayer Protection Program Stop 6579 AUSC Austin TX 78741

Client had PTC but doesn't qualify and has to pay back. But return check says to leave fields blank. If I do that and ignore the 1095A, she doesn't have to repay the credit which I don't think is correct as she does have to repay. It even says on Line 29 to enter that amount on 1040 line 46. Ideas? She probably wouldn't be averse to paper filing as she owes now big time.