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Lee B

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Everything posted by Lee B

  1. Perhaps my clients are more laid back here in Oregon where we have huge surpluses of Marijuana, THC and CBD. I actually did not get a single call asking about any of this stuff However, I did spend many hours assisting with PPP Loans
  2. It will depend on the situation. If my client me gives accurate detailed info and they received the EIP up front, then no charge. If i have to do extra work then there will be an additional fee, especially if the reconciliation generates a credit on their return.
  3. Posted on the IRS Website Friday: "Under section 206(c) of the Taxpayer Certainty and Disaster Tax Relief Act of 2020, an employer that is eligible for the employee retention credit (ERC) can claim the ERC even if the employer has received a Small Business Interruption Loan under the Paycheck Protection Program (PPP). The eligible employer can claim the ERC on any qualified wages that are not counted as payroll costs in obtaining PPP loan forgiveness. Any wages that could count toward eligibility for the ERC or PPP loan forgiveness can be applied to either of these two programs, but not both. If you received a PPP loan and included wages paid in the 2nd and/or 3rd quarter of 2020 as payroll costs in support of an application to obtain forgiveness of the loan (rather than claiming ERC for those wages), and your request for forgiveness was denied, you can claim the ERC related to those qualified wages on your 4th quarter 2020 Form 941, Employer's Quarterly Federal Tax Return. You can also report on your 4th quarter Form 941 any ERC attributable to health expenses that are qualified wages that you didn't include on your 2nd and/or 3rd quarter Form 941. If you choose to use this limited 4th quarter procedure, you should add the ERC attributable to these 2nd and/or 3rd quarter qualified wages and health expenses on line 11c or line 13d (as relevant) of your original 4th quarter Form 941 (along with any other ERC for qualified wages paid in the 4th quarter). You should also: Include the amount of these qualified wages paid during the 2nd and/or 3rd quarter (excluding health plan expenses) on line 21 of your original 4th quarter Form 941 (along with any qualified wages paid in the 4th quarter) Enter the same amount on Worksheet 1, Step 3, line 3a. Include the amount of these health plan expenses from the 2nd and/or 3rd quarter on line 22 of the 4th quarter Form 941 (along with any health expenses for the 4th quarter) Enter the same amount on Worksheet 1, Step 3, line 3b. We understand this might be difficult to implement so late in the timeframe to file your 4th quarter return. You do not have to use this limited 4th quarter procedure. You can instead choose the regular process of filing an adjusted return or claim for refund for the appropriate quarter to which the additional ERC relates using Form 941-X."
  4. "February 22. Projected date for the IRS.gov Where's My Refund tool being updated for those claiming EITC and ACTC, also referred to as PATH Act returns. First week of March. Tax refunds begin reaching filers claiming EITC and ACTC (PATH Act returns) for those who file electronically with direct deposit and there are no issues with their tax returns."
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  5. Seeing all these ATX trouble posts makes me so glad I left ATX 3 tax seasons ago
  6. I guess I have a different take on this. The amount of clothing you would have to sell at second hand prices to total over $ 12k is mind boggling, probably at least $ 40 k at retail. I think additional inquires need to be made !
  7. Also, some of the EIP payments were sent out as Debit Cards. The recipients threw them away not recognizing what they were. The IRS supposedly will follow up when the Debit Cards expire unused. What a circus with lots of monkeys !
  8. Lee B

    Notice 2020 - 76

    Yeah, yesterday I finished my most tedious task for this month, 97 Forms 1095 C delivered to my client and mailed off to the IRS.
  9. Since I am 74 now with several health issues I deal with every day, I find all the whining and complaining from all of you 60 year old youngsters highly amusing
  10. Take a look at the SBA PPP Loan FAQs, which I believe addresses this situation.
  11. Lee B

    w-2 printing

    Double check your print preferences
  12. "The IP PIN will be valid for only one year. Each January, the taxpayer needs to get a new IP PIN"
  13. IRS Announcement dated January 13, 2021: "The IRS is now opening mail within normal time frames. The IRS has also made significant progress in processing returns. As of December 25, 2020, we had 6.9 million individual tax returns in the processing pipeline. For refunds that could not be issued in 2020 because the tax return is being corrected, reviewed or awaiting correspondence from a taxpayer, the refund will be issued as a paper check in 2021 per our normal processes. Taxpayers are encouraged to continue to check Where’s My Refund for their personalized refund status. How long you may have to wait: It depends on where you sent your tax return and where it is in the process. In some locations, we are caught up or almost caught up. In other locations we are processing returns we received over the summer due to the extended July 15 tax filing due date and, in some cases, are processing tax returns dated as early as April 15, 2020. However, we are rerouting tax returns and taxpayer correspondence from locations that are behind to locations where more staff is available, and we are taking other actions to minimize any delays. Tax returns are opened in the order received. As the return is processed, it may be delayed because it has a mistake, is missing information, or there is suspected identity theft or fraud. If we can fix it without contacting you, we will. If we need more information or need you to verify that it was you who sent the tax return, we will write you a letter. The resolution of these issues depends on how quickly and accurately you respond, and the IRS staff trained and working under social distancing requirements to complete the processing of your return. What you should do: Other than responding to any requests for information promptly, there’s no action you can take. We’re working hard to get through the backlog. Please don’t file a second tax return or contact the IRS about the status of your return."
  14. There were still 6.9 million unprocessed individual returns as of Dec. 25, according to the IRS. Some were filed as far back as April, according to the National Taxpayer Advocate’s annual report to Congress."
  15. When I was still using ATX, in this situation I would have to delete the efile form, recreate the efile form, then it should go thru.
  16. I think the SBA 's FAQs may address this issue.
  17. Yeah, I saw that announcement when it came out. My main hesitation is that it only good for 12 months and you have to reapply every January, which has it's pros & cons
  18. I expect we will find out when the IRS makes makes it's regular weekly announcements on Friday.
  19. Copied from the IRS FAQs: 55. Should Eligible Employers withhold federal employment taxes on qualified leave wages paid to employees? (updated November 25, 2020) Yes. Qualified leave wages are wages subject to withholding of federal income tax and the employee’s share of social security and Medicare taxes. Qualified leave wages are also considered wages for purposes of other benefits that the Eligible Employer provides, such as contributions to 401(k) plans. In other language, the FFCRA specifically says that double dipping is not allowed.
  20. Lee B

    Efiling 1099 NEC

    The IRS started accepting efiled 1099s on the 8th, so the problem may be with your software provider.
  21. What is "Medishare", all parts of Medicare are deductible as SEHI?
  22. Sounds just like California
  23. Yes it is a double dip, which the Consolidated Appropriations Act made legal.
  24. 1. Be very careful with EIDL Loans, There are a lot of very restrictive covenants that could hamstring a business. 2, Yes you can do both a PPP Loan and the retention credit, but you have to really thread the needle to make them both work together. 3. I have one client who qualifies for a second PPP Loan, which we are seriously considering since it offers the most flexibility.
  25. Depends on when they passed away
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