Lee B

I was definitely headed down the wrong rabbit hole

Any Taxable Income that ended up in Unclaimed Funds

On the other hand the $10,000 could be taxable proceeds which don't qualify for a step up in basis. We don't really know do we?

After all these years they must still be using the "Raven" shareware database. By now one would think the program would have been rewritten with something more robust and stable?

If you have no basis then it's all gain.

You may be trying to close the barn door after the horse is already gone.

What kind of issues?

"Next week the IRS will begin accepting electronically filed 2022 amended returns with direct deposit information. The IRS will not allow direct deposit if an amended return is paper filed." Every little bit helps

How many clients will consider the definition of "installed" and actually apply it to their situation?

"Age of taxpayers without qualifying children: The special rules that changed the age requirements for taxpayers without qualifying children have expired and don't apply to 2022 returns. For 2022, taxpayers without qualifying children must be at least age 25 and under 65 at the end of the year to be eligible to claim the EITC. On top of that, the provisions lowering the minimum age for qualified former foster youth and qualified homeless youth have expired and don't apply to 2022. Maximum credit amount declined for taxpayers without qualifying children: The maximum amount of the credit for taxpayers without qualifying children was significantly reduced to $560 for 2022 (down from a temporary expansion to $1,502 for 2021). The maximum credit amount for those with three or more qualifying children is $6,935 for 2022, a slight uptick from 2021. Maximum AGI amounts significantly reduced for taxpayers without qualifying children: For taxpayers without any qualifying children who file as single, head of household, or as a qualifying surviving spouse, their AGI must be less than $16,480 (down from a temporary expansion to $21,430 for 2021). For taxpayers without any qualifying children and with married filing jointly filing status, their AGI amount must now be less than $22,610 (down from a temporary expansion to $27,380 for 2021). Maximum amount of investment income: The max amount of investment income allowable to still qualify for the credit slightly increases for 2022 to $10,300. No election to choose prior-year earned income: Unlike the past few years, taxpayers can't elect to use a prior year's earned income amount to compute the amount of the credit. Married filers not filing jointly: Thanks to a permanent tax relief provision in ARPA, taxpayers who are married but separated from their spouses may be eligible for the EITC without having to file a joint tax return with their spouse. ARPA expanded the rules by allowing certain married taxpayers filing separately to claim EITC only if they didn't live with their spouse during the last six months of the year, or if they have a separation agreement or decree; and lived with their qualifying child or children for more than one-half of the year. Qualifying children without Social Security numbers: Another permanent ARPA change enables taxpayers whose qualifying children don't meet the Social Security number requirement to claim the EITC as if they were a taxpayer without qualifying children."

“If you don't know where you are going, you'll end up someplace else.” ― Yogi Berra

Even if the child works for 1 or 2 other people it's highly unlikely the child is an independent contractor. In several of the Employment Tax Audits that I have been involved, the auditor did extensive on line search in the state and other databases looking for confirmation that the individual in question was actually in business .

Yes, if you have signed Form 8655

In that case it sounds like you will have to amend the return. As a result your client's return and amendment will probably end up in "Suspense" behind over 8 million other returns.

Key Question: Did your client check the box, sign and mail the the portion of the CP2000 agreeing to the $4,300?

The IRS Insufficient Funds Penalty is 2 %

Why would you roll it to an IRA. Do they have other taxable income?

What did ATX support have to say ? It sounds like something that may have happened during installation, You may have to reinstall.

"Company seems to be a complete SCAM. I received a FAKE 1099 from them and NEVER worked for them. Good luck getting an account setup. Good luck getting a hold of any PERSON. It's so terrible I have to report them to the IRS, Better Business Bureau." Date of experience: January 25, 2023 Reply from clickworker "We are really sorry to hear that you have become the victim of identity theft on our platform and that someone is fraudulently using your personal data. Unfortunately, such cases happen from time to time, although we try our best to verify newly registered users. But if they know all your required personal data including your name, address and SSN, it is hard to catch them before they do harm (or in this case, earn money using your identity). Please contact us at https://supportworkplace.clickworker.com/support/tickets/new about this and send us the userID mentioned on the 1099 you have received from us. Once we have that number, we can locate the matching fraudulent account and suspend it permanently. If you need any further assistance regarding communication with the IRS, etc., please let us know., too. We will do anything we can to support you in solving this issue. Kind regards, Clickworker Community Support." Well your client has company. :(

Eric, Do the emojis need to be reinstalled or relinked?

"Clickworkers are a team of internet professionals registered with our organization. They work online, performing micro-tasks on our platform using their own desktop, tablet or smartphone (via Clickworker-App). Clickworkers participate in projects on a freelance basis and according to their own schedule. They are compensated directly through us on a per assignment basis." Very interesting, I have never heard of them before

Or the third party service I am using mails them for you.

"Businesses who currently have employees can qualify for an In-Business Trust Fund Express Installment Agreement (IBTF-Express IA). These installment agreements generally do not require a financial statement or financial verification as part of the application process. The criteria to qualify for an IBTF-Express IA are: You owe $25,000 or less at the time the agreement is established. If you owe more than $25,000, you may pay down the liability before entering into the agreement in order to qualify. The debt must be full paid within 24-months or prior to the Collection Statute Expiration Date (CSED), whichever is earlier. You must enroll in a Direct Debit installment agreement (DDIA) if the amount you owe is between $10,000 and $25,000. You must be compliant with all filing and payment requirements."

"Use Form 9465 if you’re an individual: • Who owes income tax on Form 1040 or 1040-SR, • Who is or may be responsible for a Trust Fund Recovery Penalty, • Who owes employment taxes (for example, as reported on Forms 941, 943, or 940) related to a sole proprietor business that is no longer in operation, or • Who owes an individual shared responsibility payment under the Affordable Care Act (this payment won’t be assessed for months beginning after December 31, 2018). " "Don’t use Form 9465 if: • Your business is still operating and owes employment or unemployment taxes. Instead, call the telephone number on your most recent notice to request an installment agreement. "

First I would quickly use a free annual credit check i.e., Experian, Equifax, & Transunion to see if there is any bad stuff out there. Second I would freeze my credit to halt any identity theft from happening. Some people do a credit alert but that just informs you that the bad stuff has already happened. Third I would immediately pull a tax transcript and make any other inquiries to see if any other funny stuff has happened. Unfortunately, this misuse is often done by another family member or a close friend.