Max W

Knowing that partnerships are full of traps and pitfalls I generally steer clear of them, unless it is a small one with a couple of people that usually are underfunded. There was no Cap Gain. There was a a short term loss, so I don't see that hot assets are an issue. There was nothing on the K-1 for either year. In fact the sale was shown as being on Jan 1. I am waiting for some more info from the client, so stand by.;)

Client invested $300K in a 25% share of a new partnership in 2018. He was a passive participant. In 2019, the 3 other partners bought him out for $260K. Would this be a simple cap loss of $40K, or am I missing something?

If the 2015 CA return was filed on extension, it could possibly still be amended since it was not due until 2016. CA has four years to amend.

The check is supposed to be sent back , if the person was ineligible to receive it, 1.1 million dead people, lots of people in jail and foreign students. Whether or not the IRS will pursue some kind of collection action is unknown. https://money.com/stimulus-check-deceased-return-to-irs/

Unless I was certain that it would work, I would use the SR form for the amended return for the simple reason that the 1040 might not "find" a previously filed 1040 to match to. I certainly would not want to risk having it rejected and have to redo it. And I certainly would not want to explain to the client why the return was rejected.

2016 SUV purchased in Oct 2019. GVW 6050 lbs. Does not have disqualifying features - seats less than 9; trunk less than 6 feet deep. If used over 50% for business, is it eligible for both Sec 179 and Bonus Depreciation? I think yes, but just want to be sure. TIA

If there is no payment- Internal Revenue Service Kansas City, MO 64999-0002 If mailing a payment with return Internal Revenue Service P.O. Box 931000 Louisville, KY 40293-1000 I got this typing in search "where to mail 1040"

I very rarely use Thumbtack any more as the cost of acquiring new clients is too high, which is why I have mostly stopped using it. I only use it for a posting that I can bid on for which I am only charged a fee if They respond to me, not the other way around. No matter what business you are in, you will get tire kickers, even if they are recommended to you. Of course there will be a much higher closing ration with these. As for office appointments, I stopped those in March, but anyone willing to come to the office almost always become a client. I do have other sources other than TT, that are cheaper and I get a better response.

I had a client that had made non-deductible contributions to an IRA for 19 years. Guess what! I had to prepare 19 of those 8606 forms - no 1040X's.

Roberts. twice you said "no clue" and you are absolutely right, you make assumptions without having a "clue" about how it works. Thumbtack is a very legitimate source of leads and the company vets the service providers, so a the client doesn't get an unlicensed tax preparer, contractor, hairdresser, or whatever. You post your own profile and then wait for clients to post a request. They supply information about their tax needs, and then you, and others, can respond if they are interested in what they see and submit an offer. If the client responds to your offer and accepts it, Thumbtack charges you a small fee. In the early days it was around $10, but has gone up considerably now. I started with TT in its first year and acquired 6 or 7 new clients a year for several years and then it started to diminish as there were more tax preparers joining up increasing the competition. Some of the clients a got have been with me for 5 to 10 years. I figure, in the early days, I was getting about 1 in 8 that responded, but about 3 years ago it got to the point where it was maybe 1 in 15 and no longer profitable, so I no longer use it.

Thanks for being the only one to answer and for setting me straight.

They may have thought they could take the $60,000 loss.

It only applies to Cash Basis.

A hectic January for us! That's become the new normal.

I'm not sure I have this right. In 2018, new client (S-corp K.1) had a NOL of $70K. S-Corp Basis prior to this was $40K. Since the loss exceeded the basis by $30K, that should have been reported as LTCG in 2018. The $30K NOL carries forward to 2019. Starting basis 2019 is 0.

The amount of the PTC payback is limited by the poverty limit percentages. The lowest amount of payback is limited to $600, when income is below 200% of pov. limit. , so if the PTC was $2000, she would still be getting $1200.

Deferred revenue can be best understood as Prepaid revenue. Subscriptions, rent, insurance are examples. Deferred revenue is most common among companies selling subscription-based products or services that require prepayments.

Yesterday, IRS announced that the 7/15 deadline will not be changed.

The deadline has been extended by the IRS to July 15, so the money can be paid back.

For the 1040 header names, the number of total characters allowed is 35, which can include spaces, dashes and '&'s. The question is about the dependents surname and I would assume the number of characters allowed (first name, middle initial and 2 last names And spaces) is 21. Eliminating the middle init. and changing Maria to Mari, or Mara, both nicknames for Maria would get everything in. Maria is often abbreviated as Mª, but you can´t enter it that way on the return. When dealing with Spanish surnames, Calderon is the father's last name and Solano the mother's maiden name. Most people use the father´s name except for formal settings, such as signing docs, marriage licenses, etc. There are some exceptions, especially with performers, writers and artists. Maria would never be casually introduced as Maria Calderon Solano, just Maria Calderon. Some married women use a different format putting their maiden name first, followed by de and then the husband´s surname - Maria Solano de Calderon.

Last names can be truncated as long as the first four letters appear. It is part of the Identifier system the IRS uses.

When you say "non-resident", is that the visa status, or the tax status? For tax status residency, NJ only requires 30 days of residence in the state. NJ also excludes foreign Earned Income.

The IRA notice extending dates for filing and tax payments wasn't issued until Mar 21. If you verbally deny, or argue about what the client said, it will fall on deaf ears. However, if you show the client something in writing that backs you up, it will almost always be accepted https://www.irs.gov/newsroom/payment-deadline-extended-to-july-15-2020

The IRS said by the end of summer and time estimates for completing new software are notoriously inaccurate.

Drake has W-4 included in its software. I would assume that others do as well.