neilbrink

Traditional IRA deposit will be allowed for 2015, but the conversion won't take place until 2016.  Got it.  Thanks.

Client is telling me that his Edward Jones agent had my client write out a check for $11,000. for a traditional IRA of $5500 for 2015, and an additional contribution of $5500 for 2016.  My client does not qualify for a deductible IRA and does not qualify for a Roth IRA.  The agent is telling my client that he can still put into his traditional IRA for 2015, and then immediately convert it to a Roth IRA for 2015.  I cannot see how this can be done.  Doesn't the conversion have to be done during the year, in other words, in this case, doesn't it have to be done before the end of 2015?

My client received a 1099-INT from his grandson (evidently a loan to the grandson).  The worksheet does not want to take the grandson's social number, only wants a tax ID number.  How do we go about reporting this interest.

So, if a person does not have insurance for 3 months (90 day elimination before the insurance kicks in at the new job) can  he use the 2 months as short term, and only penalize him for the 1 month?

Can a 3 month duration without health insurance qualify for a short term exemption? 

Client received a house that was deeded to him from his mother for $1.  Mother is elderly and could not afford to fix up the house (new roof, etc.). They have agreed that Mother can live in the house as long as she is able and would pay the general expenses for the house (taxes, insurance, utilities, etc.).  Client would take care of the major expenses, and wants to convert the house into a rental after mother leaves.  Is there any basis value in the house, since it was basically gifted to him, other than the capital improvements that he has made since he received it?

My client will have to pay back all the credit that was given toward her health insurance premiums because her income went up modestly this year over last year.  She ended up being above the 400% level.  Are there any options available now for any forgiveness of that credit repay? 

I have a client who needs a trust return completed.  The trust was revocable, the grantor was filing under his social until death on 12/28/13.  The trustee applied for and received the tin for the trust.  The trust is now ready for a final return.  My first thought was that we could file a fiscal year return, ending in 11/30/14, but now realize that we can't file fiscal year trust returns.  So I am now thinking we need to file a 2013 return (3days, showing 0 data), and then file a 2014 final return.  Does this make sense?  Will the trust be penalized for not filing a timely 2013 return? 

No drought. I think they were in a hurry to sell.

It is showing up as "Net Operating Loss Carryover" under Code 11D.  Does this sound right?

The only income received in the final year of the estate, was interest income of $121, and the sale of farm land that resulted in a $158,000 loss.  Does the Farmland sale transaction go on the Form 4797, and should the loss be flowing through to the k-1s?

Good news!  I was able to locate new software and drivers for the Samsung, and now it is working just fine. 

I have a Samsung color toner printer that I have used for several years on my XP operating system - no problems using it with ATX in previous year. This year I updated to Windows 7, 64 bit. This year, I cannot get the ATX program to recognize this printer. I have a backup printer (Brother all-in-one) that works well this year. Does anyone have any suggestions? Thanks.

That would be the answer.  Thanks.

Client has had full health insurance coverage all year through a group plan at work.  However, there is no indication of this on her W-2 form.  Shouldn't the employer be reporting that?

She was a full time student for at least 5 months.  It does not "grey out", but ATX does allow it to be e-filed. 
Thanks for the discussion.

She is not disabled.   Shouldn't there be a health coverage exemption for a person filing who is a tax-exemption on another return, in this case, the parents' return?

She turned 19 in September, 2014, full time student for 5 months.

19 year old is still being claimed on her parents' tax return, had $18,000.00 of income, and had NO health insurance during the year. (Neither did the parents, she is telling me.) I am doing her tax return, not the parents. I am assuming that the parents need to handle this on their return, but how do I handle the reporting of this on her tax return?

Thanks - got it.

I am completing a Form 1065 for 6 partners, who all started the partnership with $5000 each.  The first year, there is a small loss.  I cannot get the loss to flow through to each partner on their k-1.  The flow-through for the entire amount only goes to the first partner, with 0 going to the other partners.  What am I missing?

We will go ahead and file it late. There was only $15 of interest income during the short year, so no tax liability. Then we can do a final at the end of the calander year.

I just received an income tax return estate case where the decedent died on May 10, 2013. There has been no 1041 form filed to date. The estate is ready to close with the sale of farmland completed in May of 2014. Is it too late to go back and file a short year for 2013, and then do a final return for 2014? Thanks in advance.

I probably should have gone to 10, but wanted to keep my clients happy.

My 75 yr old client had a Roth IRA distribution in 2013 that shows Code T on the form, but ATX is pulling it over to include in income. What am I missing?