Jack from Ohio

I am certainly hoping that your statement is rife with sarcasm.... The IRS has been doing EXACTLY what you described for at least the past 3 years. True documentable story: At the firm, we specialize in home based businesses. We do returns from all 50 states. 2012 tax year, new client from Kansas City, MO. She contacted us because of our connection to Mary Kay consultants, etc. Late February, I took her phone call and she was asking basic questions about her first year in Mary Kay. As part of the conversation, I asked what her daytime job was. "I work for the IRS." My heart quickened a bit then settled down. Me: "Really! How long have you worked for the IRS?" Her: "Since this past October." Me: "What do you do there?" Her: "Currently I am answering phone calls in the Where's My Refund department. It is pretty straight forward to get people answers." Me: "What did you do before working for the IRS?" Her: "I have a background as a paralegal. In addition, with a few more weeks of training, I will move up to processing 1040X returns. I should be doing that by June." Me: "That is great that they let you move up so quickly." (Inside I wanted to scream!!!) Her: "Yes moving up seems easy. How difficult can processing amended returns be?" Me: "Well it sounds like you have a good career path working. Are there any other questions I can answer for you?" Her: "Nope. You have answered all my questions." Me "Thank you for calling. If you have any other questions, please feel free to call back." This story is 100% factual by me, first person live. I can only hope to the great tax gods in the sky that none of my amended returns end up in her hands.

Notice the bold and underlined words from my original post.... He could pay the tax if he would choose to. He thinks he can play the system and avoid it. This time he jumped without asking. The person in this situation has never been poor. His lifestyle is far from any semblance of poor. He has always been a "player" with finances and the company he owned. His actions with other financial dealings have saddled other "partners" with huge debts. Yes, there are other things that I know, other financial actions he has taken and other "informed" choices he has made that I make the statements I do. I have not told of them because they have no connection to the situation I posted about. In 5 years of doing his 2 S-Corp and his personal returns, I have witnessed no hint of "personal responsibility" or "honoring contracts signed" in his words or deeds.

Done. Didn't realize that I had to clean it out and did not know it had reached capacity.

If a person applies personal responsibility (which also means doing, providing and taking care of one's self and family) then no one else will see the need to tag that person as lacking personal responsibility. Your point does not apply, due to the very definition of personal responsibility.

Ditto. Only what is in writing has any value.

Bumping up again. Anyone planning to attend any of the Forums? I have my eye on Atlanta, since all are plane trip distance this year, and was hoping to find either a roommate to share expense, or someone from Atlanta with information about other lodging choices.

If you are on a network, whether peer to peer or domain, check the preference setting on the e-file on all computers. I had the same issue with part of the returns I was e-filing at the firm doing the same as you described. I found that one preparer had changed the setting and any e-file created on that machine would not hold the state.

I am installing 12.18 in the next 20 minutes. I will keep you informed of any issues.

Wait for the letter that says you have the option to go to tax court. File for a court date. It will be sent to the appeals department where (hopefully) there will be someone with more experience. We have had to do this three times in the past 4 years to get past an incompetent auditor. One situation, the auditor insisted that state refunds be added as income, despite the fact that the taxpayer had taken standard deduction for the past 3 years. I feel your pain.

You will get more answers if you start a new thread.

I have had great success with FeeCollect through ATX. Pretty seamless. Bank charges $15 I charge 20 to fill out the extra permission forms. Several clients would rather spend an additional $20 than bring their checkbook.

My advice again... Run Forrest Run!! This client will only drag you down into the ugly mire they have created and now want help to pull them out. Otherwise, get a HUGE retainer, consult with your E&O insurance before starting, and tell them that they MUST follow your instructions or hit the road. I have little sympathy for people running businesses that pull stunts like... "... At this point they quit using QuickBooks and keeping any accounting records, and the rental deposits from all companies were intermingled into the bank account of the S Corp..." Just my not so humble opinion.

I forgot - Make Him a Sammich 1.0

NSTALLING HUSBAND 1.0 Dear Tech Support, Last year I upgraded from Boyfriend 5.0 to Husband 1.0 and noticed a distinct slowdown in overall system performance — particularly in the flower and jewelry applications, which operated flawlessly under Boyfriend 5.0. In addition, Husband 1.0 uninstalled many other valuable pro...grams, such as Romance 9.5 and Personal Attention 6.5, and then installed undesirable programs such as NFL 5.0, NBA 3.0. And Golf Clubs 4.1. Conversation 8.0 no longer runs, and Housecleaning 2.5 simply crashes the system. I’ve tried running Nagging 5.3 to fix these problems, but to no avail. What can I do? Signed, Desperate Dear Desperate: First keep in mind, Boyfriend 5.0 is an Entertainment Package, while Husband 1.0 is an Operating System. Please enter the command: “http: I Thought You Loved Me.htm” and try to download Tears 6.2 and don’t forget to install the Guilt 3.0 update. If that application works as designed, Husband 1.0 should then automatically run the applications Jewelry 2.0 and Flowers 3.5. But remember, over use of the above application can cause Husband 1.0 to default to Grumpy Silence 2.5 Whatever you do, DO NOT install Mother-in-law 1.0 (it runs a virus in the background, that will eventually seize control of all your system resources). Also, do not attempt to re-install the Boyfriend 5.0 program. These are unsupported applications and will crash Husband 1.0. In summary, Husband 1.0 is a great program, but it does have limited memory and cannot learn new applications quickly. You might consider buying additional software to improve memory and performance. We recommend Hot Food 3.0 and Lingerie 7.7 Good Luck, Tech Support

Geeks are more expensive than low wage paper pushers.

I have letters from the past 5 years. Still waiting on this year. Also received one from Jackson Hewitt last year as well. I put them on the wall for my clients to see. Adds credibility!!

Update to 12.17 immediately!! This will fix your printing issue. I just spent an hour on the phone with Kerri at ATX. Trust me on this one.

1. NO Not allowed under Circular 230. 2. YES Dump them.

I dislike special breaks for deadbeats and intentional low lifes. Special breaks for someone who has experienced unexpected or uncontrollable events is not a problem. People who live their lives recklessly and with no regard for how it affects others do not deserve special breaks when things go bad. This country is on a runaway path downhill by rewarding irresponsible behavior with debt relief and tax breaks. I guess the ethics I grew up with about personal responsibility for my actions has been thrown away by our society such that the irresponsible people are living on my tax dollars.

Do you have the plans laid out for your retirement party? I only see the IRS getting much stricter and less accommodating in this area.

This is for a client at the firm I work for. Not my personal client. I must use filters.

There are no loss carryforwards. The last two years there has been a $3-$5K profit. Any loss carryforwards were used in 2009. This fellow has already skated on $145K of COD on his personal return in 2011 by being insolvent.. All was credit card debt. He is a system player and I do not feel guilty, I just wish I could politely tell him what I think of his tactics and attitude toward life.

And you get around the IRS mandate (as real a regulation as any of the others) how?

I already do. $20 if the client chooses to paperfile. No extra charge if circumstances do not allow e-filing.

I think you mean liability instead of collision. Liability covers any damages caused by you to another person or property. Collision covers your car in the same situation.