Lee B

Form 1040 instructions page 33: " Recapture of an education credit. You may owe this tax if you claimed an education credit in an earlier year, and either tax-free educational assistance or a refund of qualified expenses was received in 2024 for the student. See Form 8863 for more details. Check box 3 and enter the amount and “ECR” in the space next to that box"

Statement from New York: NYS will reject e-filed returns if the DL or ID card information is not included with the tax return. This applies to all main form submissions and standalones (Forms IT-201, IT-201-X, IT-203, IT-203-X, IT-214, NYC-208, and NYC-210). This applies to both the prime taxpayer and spouse taxpayer (when present). The user can also indicate that they do not possess a valid driver license or state-issued ID. NYS requires that the DL or ID card information be collected when available for extensions and estimated tax payments (Forms IT-370 and IT-2105). The user can also indicate they do not possess a valid driver license or non-driver ID card or they did not provide a driver license or non-driver ID card. NYS will reject e-filed returns if the DL or ID card information is not properly formatted when issued by NYS. NYS-issued DL or ID cards contain only numerics and are 9 digits in length. This applies to all main form submissions, extensions, and standalones (Forms IT-201, IT-201-X, IT-203, IT-203-X, IT-370, IT-214, NYC-208, and NYC-210). NYS will reject e-filed returns that do not include the three-character document number for the prime and/or spouse(when present) when a NYS issued DL or ID card is entered. This applies to all main form submissions, extensions,and standalones (Forms IT-201, IT-201-X, IT-203, IT-203-X, IT-370, IT-214, NYC-208, and NYC-210).

Probably because the I D requirements are state specific?

Echoes of Jim Morrison singing "The End"

I use Drake and I had to use a 5329 last week although it was for a premature distribution penalty exception. I had to click on a link in the 1099 R entry worksheet.

Tax Notes has an article about this: https://www.taxnotes.com/featured-news/trump-border-czar-says-hes-hopeful-irs-agrees-share-data/2025/03/25/7rt6r

Yes except that there is a very long backlog for processing amended returns. I agree with Bart

You probably have a worksheet for Form 5329. The details flow through Part VII of 5329.

Pub 502 "Qualified Long-Term Care Services Qualified long-term care services are necessary diagnostic, preventive, therapeutic, curing, treating, mitigating, rehabilitative services, and maintenance and personal care services (defined later) that are: 1. Required by a chronically ill individual, and 2. Provided pursuant to a plan of care prescribed by a licensed health care practitioner. Chronically ill individual. An individual is chronically ill if, within the previous 12 months, a licensed health care practitioner has certified that the individual meets either of the following descriptions. 1. The individual is unable to perform at least two activities of daily living without substantial assistance from another individual for at least 90 days, due to a loss of functional capacity. Activities of daily living are eating, toileting, transferring, bathing, dressing, and continence. 2. The individual requires substantial supervision to be protected from threats to health and safety due to severe cognitive impairment. Maintenance and personal care services. Maintenance or personal care services is care which has as its primary purpose the providing of a chronically ill individual with needed assistance with the individual’s disabilities (including protection from threats to health and safety due to severe cognitive impairment). "

Yes, I and some of my clients use it to make our estimated payments and it works quite well

"T" informs the IRS that the holding period was not met, but the distribution is exempt from the penalty for early withdrawal because it has been paid to a beneficiary. The initial withdrawn contributions are tax-free; however, distributed earnings are taxable." You would have to go back to the issuer of the 1099 R and find out why they used a Code T?

For years my electricity bill has been paid via automatic debit from my checking account. Two years ago, I received a past due notice. I had to do some detective work and my utility didn't want to admit what had happened. It turns out they had been using a third party service to handle all of their automatic payments . The third party service had computer problems which skipped 2 days worth of automatic payments. It made me mad because our utility co had never notified us of the use of a third party service. So electronic Payments can malfunction too

If he deposited the paychecks, he could go to his bank and get a copy which would give him a name and address.

It highly unlikely that the SSA hasn't finished processing 2023 W 2s. Perhaps filing Form 4852s for these 3 W 2s would be the best solution.

How would anyone know whether a QM PIN is legitimate or not?

I would never do that, I send them back to their installer who should be able to provide them the relevant documentation. Sometimes it turns out that their salesperson wasn't truthful and there is no documentation.

The installer should have provided them with manufacturer documentation if the system qualifies

"All payments made to the federal government should be processed electronically “as soon as practicable,” per the order. "

"The order includes language allowing for "limited exceptions," including for people without bank accounts."

Yes SSA still issues checks. Even though it's less 1 % of the monthly SS benefits paid, the SSA still issued and mailed 455,000 checks this month. I am more concerned about elderly clients who believe the only way to make their estimated payments is via check.

"The federal government will stop issuing paper checks for disbursements, effective Sept. 30, and will stop accepting them for payments “as soon as practicable. At that time, the federal government will switch to electronic payments, as mandated by an executive order signed Tuesday (March 25) by President Donald Trump." Another stress point for our elderly clients

I am curious what your client and you decided to do

Big win for the money launderers and the tax avoidance schemers

Contacting the issuer of the 1099 R might be helpful

It might make more sense for him to contact some of the other flea market participants and sell his inventory for 20 or 30 cents on the dollar which would generate a useable NOL assuming he is a sole propprietor.