MsTabbyKats

When I run into an error on a previous return I tell the client...and I tell them the IRS may catch it...or may never catch it. it's up to them to amend or not.

I would think that the taxpayer is still responsible for the tax....and insurance would just pay interest and penalties.

I was going to say "they're all trainees"...but the manager!

Keep out of it. Her problems may run much deeper than you think.

Once upon a time I had a client who had 2 apts next to each other. He lived in one. He rented out the other. Then he had a child and decided to break thru the wall...and live in both.

I called IRS and asked your very question...and the rep told me not to bother with the Schedule E because he wasn't renting out anymore.

So...I just eliminated the Schedule E.

I have wondered this too. We have a client who got married in 2011. She still files with us (MFS) and he files with his preparer. House is in her name and she itemizes. His preparer takes standard, even though he is not entitled to it. We even gave them printouts of the rules. He's opinion is let them come and get me (you can't make this stuff up). This would seem like something a simple computer program could pick up and generate an automated letter. What are people's experiences with this - have you seen anyone get a letter about this scenario?

No.

I find that when I do a MFS (I generally show people that it's better to do joint) it's usually because the spouses don't talk and don't have a clue about what the other one did. I do whatever is beneficial for "my spouse" and tell them "the rule" and not be be surprised if they get a letter. So far, no one letter has been generated.

My policy....I don't take on "little old ladies".

I had one "tentative new one" (retired college professor) who had done her return on Turbo Tax...but had "an issue" so she wanted a professional.

She printed out the Turbo Tax return on the back of paper she had already used to print "other things"...and had her chicken scratch on all thirty pages.

I told her that I need originals of things such as 1099-Rs...and she said that was impossible (for whatever reason) and that I could trust her figures.

So...I said..."Thank you but no thank you."

what is the philadephia income tax....seems my cleints philadelphia withholding is = to what her w2 showed, and so

i though that if that's the case not need to file Phila..can anyone confirm?

This is true...but if someone is self employed they still have to pay tax on that income, so they need to file a return.

I'm very happy I found this group...as a result of the TRX mess.

I rectified "my mess" very early on, and have been very happy with the program I went with.

But...I gotta say....you guys really endured a "major mess"....and I compliment the support that you gave each other.

I sincerely hope that you can evaluate/install/test whatever program you go with next season very early on.

(My personal situation....if I were using ATX....it would have given me a reason to retire.)

Thank you....

Memory is coming back...I think this is what "my lawyer client" found out too...way back.

It's a concept that doesn't come up too often......

Very basic question....

Potential new client:

Started renting out an apt in 2011. Depreciation wasn't taken. He told me the preparer said it was better than way because it would be costly in the future.

So....the question...does it have to be reported?

One client is an attorney at IRS and has 2 rental properties. She didn't want me to take depreciation (I forget why...I think she just wanted to be as cut and dry as possible) but she asked "around the office"...and her colleagues told her to take it. Note...she is an attorney with the IRS but in HR.

Anyone have a definitive answer.

I really don't want to amend my potential clients 2011 for other reasons.....I'm trying to avoid it.

I submitted a return last night at 6:05 and it is still transmitted to agency status. I submitted anther this morning at 9ish and it is already accepted. What to do next? I told the client I would send vouchers to pay the balance due, federal and state, and paper file extensions. Other ideas? I don't think I can recreate an efile when it is in this status, can I?

I will check out the KB on the remote chance that it may be addressed but maybe someone here has experience. Thanks.

I have the same thing....just be patient. I don't use ATX (Tax Act)...it's probably just yesterday's backlog at IRS.

When I got the check and cashed it, I ran an uninstall of the software.

Imagine having that job. I'm guessing if you didn't do an efile or received a refund, you are in the efile only pile. Who would subject an employee to that type of abuse?

I got a credit on my card. I applied for it on 1/27...and they didn't challenge. I also got a letter via the AG in TN that they were offering me a refund. I was very tempted to double dip, for all that "pain and suffering". (But I didn't.)

You know...on Friday 1/25...when I called with a long list of problems with a basic return, I told the rep..."Please...do not call me next year." And, she laughed.

Update 76!

How about the states.......still in limbo?

I'm just waiting for their sales rep to call me about renewing..........

How about girlfriend as a dependant? Just got a new referral who did his own taxes last year on TurboTax and took his GF as a dependent and claimed HOH. Fails on all tests? When he did not understand I gave him HRB # and wished him good luck.

What I would have said: "If you do something wrong, the worst case is you have to pay the tax. If I do something wrong, I have to pay a $5000 penalty, because I'm supposed to know better." That way....no animosity on either side.

I had one this year.

He Lived in AL and had W-2 earnings from there, had gambling winnings in MS, then transferred to PA and had w-2 from there but lived in NJ

He went to Jackson Hewitt but they couldn't figure out how to do the return, so he found me on the internet.

I think this one would just need a NJ (res) return for the months he lived there. The Resident return includes part year. And he didn't have any NJ income as a non-resident.

NJ gets really confusing. I have to make flow charts and diagrams whenever I get one.

I like the kind of client who ends up owing $10,000 or more and says, "Is that all I owe?"

You know what I say....

"You should be happy you owe. It means you made money."

Again...depends on the situation. Single guy making $250,000 is one thing. Parents with 3 children making $100,000 is something else.

I actually love those days when I am so over it that everything is funny. Yeah, the "I don't give a crap" stage. Sounds fitting.

Right now, I am still in the "I need a nap" stage. By nap I mean small coma. Hopefully, come Monday...

I think of it as the "your problem is not my problem" stage......

This is a motto I've been living by for about 20 years during "the final days"........

I politely declined a few "new clients" in the past couple of days. Why? Because I knew they would be owing money...and I didn't feel like dealing with "the aftermath" of telling them this.

As far as this "psychiatry" thing......I started a thread a few weeks ago about "feeling like a psychologist".

Yes..I do. I am an RTRP...have an MBA is business. I'm not an "accountant" by degree or education.

I think the trick to being successful in this business is understanding the people and listening to their problems...not the numbers, not the rules (I know most will agree with me here.)

You have to know what will make each client happy (or the least amount unhappy), and deal with it on a case by case basis.

Oh...in addition....

I had to do the return twice...one for the NJ-R and one for the NJ-NR.

In other words...enter everything on 2 separate returns....as if they were "two different people"

I filed one that need 2 returns...no problem. Both were accepted. I filed within minutes of each other. But, I don't use ATX. It might be an ATX issue...not a NJ issue.

Just because someone is a NJ part-year it doesn't mean 2 returns have to be filed. It depends on where they worked and where they lived while working there.

I get those...someone lives in NY and works in NJ. But then moves to NJ...and works in NY.

It's not a tax thing with me...or a client thing. DH and I are expecting a lot of cash...all legit. It's a choice...putting in the safe or putting it in the bank. At today's interest rates...it just might be easier to put it in the safe!

Seriously.....I tried to do some simple returns the week before 1/30. There were so many "errors" that I knew it would be impossible to get it right by the time filing started. I went to Tax Act on 1/27...and never opened TRX after that.

I remember trying an "EIC"...and there were these little red boxes....and you had to "trick the program"...or do something....to get the credit.

Sorry...but when I have to trick a program with something so basic...what happens with the "the not so common" .

If things don't work.....I don't use them.

One should know...when a company that has a 3 day refund policy...but you get the product in the mail so it arrives after 3 days....there's a reason.

(When I first used them they had a 3 day refund policy...and when I got the software it didn't include what I needed...and he would not refund...but he gave me something else...so it worked out. I don't remember the details.)

I'd do a C...with the full amount reported. And then deduct "the excess" as "overstatement of income".

As far as "taxes"....sounds like a sleazy company. Can the client call IRS..or fill out the form...so you can call and see what was reported? (although it's probably too early for them to have the data)

My bet is "nothing"

I know in the past, if you made a cash deposit under $10,000 it was not "reported"....but $10,000 + was.

Is this still true? I can't find anything that says "it changed".

Just want a confirmation........thanks!

I'd be afraid to use it...it might screw up everything else on the computer.

Just to let you know;

My personal return had about 50 pages (5 mutual funds...over 10 years)...and it just ran on and on...with one line summarizing at the end.

Scanning and attaching wasn't going to happen........

I called IRS...and the rep I spoke to said to just use "that one line"...and if the IRS wanted to, they'd contact and ask for the backup. He said as long as "the numbers match, it should be fine".

That's what I've been doing on every return that has "too many transactions"........