ETax847

I have 150 clients and work on a stand alone machine.  I think it is more of a bug in the software than machine related.

I, like Jack, have had this issue come up quite frequently over the past couple of years.  It happens randomly, but when it does, it's a huge time suck as it can often waste 15-30 minutes to get the program running.  I don't know how widespread this problem is, but I would hope to see it addressed in one of their updates since they are fully aware of it.

For those that send out Tax Organizers to their clients, will you be sending them out this week, or is it still too soon?

Thanks Ringers! That actually makes a lot of sense.  So by the employee not claiming the income, as it is for services rendered, he is essentially committing tax evasion? I'm glad I stayed away from this one.

Today I received a call today from a prospective tax client.  He mentioned how his employer was paying his taxes and paying him in checks that were not included in his W2.  He claimed the employer was paying his taxes on the checks he was receiving and that he did not need to claim the income because his employer was paying the taxes.  Needless to say, I did not agree to help the prospect with his taxes for the upcoming year as I did not think it was correct for him not to claim the income, even if his employer was paying his taxes.

Has anyone ever encountered a situation like this, where the employer was supposedly paying the taxes on the income and issuing checks to the employee without including this on his W2?  If so, how did you handle it?  What benefits would there be to the employer by doing this?

Current client was wondering if he put his 2 rental properties in a dual membered LLC, would he then be able to have the rental losses flow through to him, given that he has a full time job and does not work in the field of real estate.  Please advise

Here is a link to a white paper i was emailed today entitled, "Do Passwords Really Protect Your PDF?"

How does one access the 1040 Lite platform (download or from CD)?  Also, what is the feedback from anyone that has tried it out?

I just got back from a Tax Updates seminar and they explained that password protecting a pdf can be easily cracked.  There is software out there that can break a password "protected" pdf within minutes.

I would stay away from emailing tax returns if at all possible.

Are you going to be raising your fees for the upcoming tax season or holding them constant?  It seems like the cost of software and materials increasing it would only make sense to increase the fees as well.  Curious to hear everyone's thoughts.

Depends on the level of service being offered.  I work as a financial advisor, and some advisors charge more because they do more than just manage money.  Don't be so quick to jump to conclusions based on the fee itself

Thanks Sara!

A client's child inherited her deceased spouse's workman's comp claim.  Settlement came to the child.  Will this money be taxed to the child, and if so, will it be at the parent's tax rate?

I tried logging into the PTIN renewal site and the option to renew was not available to me.  Has anyone else had trouble renewing their PTIN?

Did anyone get a favorable discount when they renewed their ATX software?

Wow! Had no idea about this other number! Thanks Ms. Kats

What number did you dial? I am currently trying 800-829-1040

Does anyone know what prompts to enter to reach an IRS agent the fastest when calling the 1040 hotline.  I can't seem to get to an agent on the individual side.

Any tips or tricks would be greatly appreciated.

Yes, I usually ask for a voided check so this would not be an issue, but due to time constraints, I had the client read me their account number.  Even though I had them read their account number twice, they misread it both times.

Per an IRS release today:

The IRS is refunding the fees that return preparers paid for the Registered Tax Return Preparer test. Letters will be mailed to refund recipients on May 28 and checks will be mailed on June 2. Return preparers took the test between November 2011 and January 2013 and paid a fee of $116. About 89,000 tests were paid for and taken, with some preparers taking the test more than once.

The refunds are being made because the federal courts determined in Loving v. IRS that the IRS lacked authority to mandate testing.

The IRS remains committed to the principle that all persons who prepare federal tax returns for compensation should be required to pass a test of minimal competency and take annual continuing education training. Taxpayers deserve top-quality and ethical service from all tax professionals. As part of this commitment, the IRS launched an interim Annual Filing Season Program in 2014 to promote voluntary continuing education by non-credentialed tax return preparers.

The Administration's 2016 budget proposal would provide the IRS with authority to regulate all paid tax return preparers. Oversight of all paid preparers, coupled with diligent enforcement, would promote high-quality services from all tax professionals, improve voluntary compliance and foster confidence in the fairness of the U.S. tax system.

IRS says there is nothing they can do, and that it is a bank issue.  Bank of America says there is nothing they can do and that it is an IRS issue.  Unreal, how much of a pain this has turned into.

I've had the same problem throughout all tax season.  It takes 5-6 attempts before the program will run

The bank should refuse the deposit, but it already accepted it into the incorrect account.  Has anyone ever had this happen?

A client had his tax refund directly deposited into an incorrect bank account.  Has anyone ever had this happen with their client and how did you go about fixing this?

Thanks

I clicked through and the "best rate" is $1,337.