Christian

I have installed mine and tried to rollover my own return only to be told the program could not locate the prior 2013 information. Maybe it's just a bit too early for full functionality.

Like everyone else I have been boning up (laughs) on the ACA. I've got a handle on it more or less. Most of my folks are unaffected BUT it finally occurred to me that there are not a few out there who file their own returns who are not going to have a clue as to what to do. Looks like it will be an interesting season. Of course, it's reassuring to know we have this handy forum available.

I suppose ATX will again this year not send us an archived disk ?

An older client (93) has been unable to get his material together and will file after October 15. He invariably gets refunded and filed an extension. If memory serves me right he will not receive a penalty by virtue of his having fully paid all tax due. It's been ages since someone missed the deadline but am I correct on this?

You just gotta love this board.

As a childhood friend of mine said at his piano recital as he set motionless at the piano "It would appear I have forgotten". I had overlooked a critical piece of info . Well at least nowadays I can give age as the reason .

Despite my best efforts I was unable to get the Simplified Home Office figures to transfer to the applicable Schedule C's from the worksheets. Did anyone else have this problem ? Nor was I able to place the info on line 30 of the Schedule C by override.

Thanks KC. I called to ask the son if this annuity was established through his father's employment but have yet to reach him. I doubt he will be able to supply the answer. The info provided on the back of the 1099-R indicates payment from a non qualified annuity and further that it may be subject to NIT. I suspect I am pressing on a string but if I can help a client I have the responsibility to at least try. I was given to understand his dad had never taken any payments from the annuity so the entire balance was left to him and he chose to cash it out.

After working for quite awhile on this return I found that one of the 1099-R forms was for an annuity his father owned not an IRA account. He cashed out this as well. Since his dad was born in 1934 it occurred to me the son might qualify for 10 year averaging on the taxable portion of the annuity. The coding in box 7 Distribution Code is 4D. My reading on this indicates this would be a non qualified annuity payment which would not qualify for 10 year averaging. Any input would be appreciated.

Thanks for y'all's responses. The father's estate was not large enough to file an estate tax return. The son's return is for 2013 for which an extension was filed along with a payment. He has that and some withholding. Still he is single and cashed out somewhere in excess of $100,000. The tax bill may not be as bad as I suspect. On the other hand he did not pay Virginia a dime.

Thanks Jack. As so often is the case the client RARELY checks with their taxman beforehand on something like this. Eager to get his hands on the money he not only cashed out but did not have ANYTHING withheld. Not looking forward to his pickup appointment.

​A client's dad died last year leaving his son as beneficiary on two IRA accounts. The son took full distributions from both accounts with all benefit amounts indicated as taxable. He is not yet 59 1/2 years old. I am unsure as to whether he is subject to the 10% early distribution penalty or being a beneficiary is he excepted from this ?

A retired client has been elected to serve on the board of a local bank. As this is regarded as self employment income by the Service it seems to me he is entitled to deduct his medical insurance premiums against this income on line 29 of the Form 1040. What do y'all think ? He deducts NO medical expenses on Schedule A.

A client who always files by extension has miscalculated his 2013 income. The upshot is he has paid and withheld more tax than was owed on his 2012 return but owes about $1300 on 2013. I am wondering what the late filing penalty might run. My experience has been that if full payment is made with the return the Service not infrequently simply ignores the penalty.

With all of us fretting over the proper application of tax laws and splittings hairs over rule interpretations I was surprised at what i saw on 60 Minutes last night. After years of hearing efile ballyhooed by the Service touting instantaneous matching of taxpayer records with their returns when filed I find that it was as like as not a farce. The Service is paying out billions in fraudulent refunds by paying them BEFORE any record matching on a taxpayer's return is done. An individual who reportedly ripped off some millions of dollars explained how easily it can be done. You have to wonder why this guy is being interviewed by 60 Minutes instead of being in prison. In China he would have been executed. With all this crap going on is there any wonder the public has no problem with cheating if they can ?

​Well, of course, they are being sued. I can well imagine their reticence to discuss the 2012 product. If they are offering the discount now their sales likely have taken a hit since it normally applies to folks who renew early on.

Would not the capital gains be treated simply as long term gains on the sale of inherited property with any tax due being paid by the heirs ?

I usually post any questions I have here and on the official ATX board feeling that having greater input on any issue I have is not a bad thing. I invariably receive excellent opinions here but over on the other board while most folks try to help there are one or two who prove insulting. My query on Form 1041 produced one or two of these but also produced a large difference of opinion as to how the deductible items need be handled. I finally decided to pass it on to a CPA friend which is my usual modus if presented with something I normally do not handle. I may simply stop posting on the ATX board as some of them are lacking in common good manners.

It proved to be an issue with my security software. After shutting it down the return rolled over ok. I restarted my security software and then went in and made some adjustments.

Today I tried to rollover a 2012 return to file an extended return for a client and got a connection error notice. Anyone else having this problem ?

A client's father died on 4/2/13. He has just now come in wanting to file the fiduciary form (Form 1041). I rarely handle these so I thought I would be well advised to seek additional input. After looking over the info he has brought I find that the estate has no income for the period 4/2/13 - 4/2/14 but did incur a few expenses. He will close the estate within the next year and because there is no income to report I see no need to file a return. There will be a need to file one after closure as the estate will have some income to report for the period 4/2/14 until closure. I am wondering if I cannot put the few expenses paid in the estate's first year into the final filing or if I file an interim 1041 showing these costs will they then carryover to the final filing in the period 4/2/14 until closure ? Any input is appreciated.

That was my reading of it as well Jack. I was only too happy to read your comment.

In looking over the draft Form 1040 for 2014 I note that for most of my clients the simple check box for full coverage will cover most of them (whew). For the others lacking coverage one of the specified exemptions will cover them. As for the one or two getting credit assistance through the federal exchange I expect the insurance carrier will forward documents which will enable me to complete their info. Maybe next tax season will not be the nightmare I was afraid might occur.

Yup, kinda do.

Thanks to all. In adding up my thirty five years of payments and dividing by 35 I come up with a figure larger than what this part time work amounts to. Oh well, it never hurts to check these things and I still enjoy the work.