Gail in Virginia

I think this is one of those cases where intent actually matters, as Tom pointed out. And being military, there out to be some evidence that they were separated as well as under separate roofs. For example, while his wife was deployed was he the emergency contact for her, and while he was in the hospital was she the emergency contact for him? Did they actually agree to separate in 2010, and the deployment and hospitalization in 2011 were irrelevant to actual living arrangements? Or were they living together until circumstances separated them and they decided that they liked it that way? Facts and circuses matter.

I just returned from Jamaica through the Miami airport. I did not apply for Global Entry, but as far as I could tell all US Citizens were eligible to use the automated kiosks. And I was TSA pre-check on both the outgoing and incoming flights just through the luck of the draw since they randomly select people for that . At least, as far as I know it was a random selection. As always, your mileage may vary.

The ones I hate mix number 2 with number 3 - they don't call, they don't bring in their stuff when they say they will. Finally, two weeks before the deadline they show up with a mess, dump it on my receptionist and then call back every day to see if we "need anything else." Code for 'Where is my return?' And they never understand why they have to go on extension.....

According to Publication 3112, you must submit a new application if the "structure of the business has changed, requiring use of a new or different Taxpayer Identification Number (TIN),"

When we changed from sole-prop to S Corp, we had to get a new EFIN. We actually talked with someone at one of the IRS forums that summer, and they got us all squared away while we were there.

I don't know if they will get a separate form, but I understood that employers had to begin showing on the W2 the cost of health insurance provided. I thought perhaps that would be sufficient information for the ACA coverage requirement.

I think some people will milk it for all it is worth.

Try this link, Pacun. http://taxprof.typepad.com/taxprof_blog/2009/12/jerry-springer.html We want to be sure you get the point of this rather large deduction.

An instructor I had recommended using your favorite song lyrics to generate passwords by using the first letter of every word to create the password. For example, if you like the song "Let it Be", the first line is "when I find myself in times of trouble, Mother Mary comes to me." This would generate the password wIfmitotMMctm. Not something likely to be randomly guessed. And if numbers or special characters are required, you can always substitute 4 for A, or 3 for E, etc.

I wonder if there is some correlation between people who like to play with words and people who like to play with numbers. It seems like this tax board has an exceptionally high percentage of people like me who love puns and other fun with words. Maybe it just correlates with intelligence.....

Thanks, everyone. No, 2013 was not the first year and normally she is very good about remembering. However, her husband had a tumor in his esophagus that the doctors were sure was cancerous, and in the stress of dealing with that she forgot to make the withdrawal. My one experience with the penalty for failure to take the RMD did not go well. We filed the form, paid the penalty, and then wrote asking for abatement of the penalty. Instead of abating the penalty, they kept billing the taxpayer to pay the penalty again. Every year, she got a letter abut this penalty and I would call the IRS and explain that a) it had been paid and we had requested abatement. Every year, they said send us something in writing - we did not get the first letter. So for 7 years, we tried to deal with this problem annually when she got a letter. And every year, someone apparently put a hold on the account for a year but did not resolve the issue. Finally, the woman died and we just ignored the letters after that. But it has left a bad taste with me for these penalties. I hope the procedures have improved in the last 15 years. At least i know enough now that I would take it up with TAS or attend an IRS forum and take it up face to face with someone if i started getting this run around again. I just really hate dealing with this.

I have a client that missed taking her 2013 RMD by about 20 days. She made the withdrawal in January, and went ahead and took this years also to make sure she did not miss it again. She wants to go ahead and deal with this now instead of waiting until filing her tax return next year (actually, she doesn't usually have enough gross income to file.) Should i go ahead and file a 5329, with a letter begging for mercy? Or how would you handle this?

Excellent article, Jack! Thanks for sharing.

And I had a client whose return we had electronically filed for several years using her current married name. All of a sudden one year, it would not file and the name that actually worked was her married name from a previous marriage. Sometimes the system has indigestion.

My biggest hesitation factor for OIH in the past has been that if you plan to sell your home within a few years, you will have to recapture depreciation instead of having the entire gain excluded. If I remember correctly, now that you can take a "standard" OIH deduction based solely on square footage, depreciation recapture is no longer a factor. I would not hesitate to take it, especially it the income earned in that space is significant.

You like to live dangerously, don't you Jack?

Just curious. If a person is incapable of performing necessary self-care, and would qualify for a nursing home but instead stays in a private facility, would the responsible parties need to do a 1099MISC to the private facility owner? I don't think it would be a W2 if it is not in their own home, and they are providing care for multiple persons. But if it is not a corporation, would a 1099 be required since it is not for services paid for 'in the course of your trade or business'?

By April 15th I understand why Catherine spends so much time on the shooting range. If one of her clients makes her mad enough, she wants to be sure she doesn't miss! Too bad we can't really, it would probably improve the breed.

I hope you get to spend time with him soon, and that his heart issues are controlled for a long time to come. Prayers with you.

Thanks, Elrod!

Terry, not the time of year to do research for someone else BUT my gut reaction would be that as long as he is building the same KIND of property that was destroyed, it should not matter that he builds it on a different lot.

Love the popcorn emoticon, but some days would like to have an emoticon that is knocking back a quick shot. *sigh*

Love that first scam - I have probably been guilty of that because sometimes the return IS more complicated than they told me over the phone. Which is why I hate pricing returns sight unseen. And why I warn them when I give them a range of prices that it might change if there is more involved in their return than I was aware of.

But because the timber would have been a capital asset in the mother's hands, as long as she had held it for over one year before gifting it, they should be able to use LTCG treatment for the sale. And I agree with Jack; if they don't want to pay the taxes, gift it to me. I will pay my share!

And if the date of death was November 2012, you can begin the fiscal year for the estate on November 1, 2012 through October 31, 2013 and they will only be a few months past due on the return as opposed to a year. However, look closely at the income and expenses, and the timing of each, to determine the best fiscal year end for the estate. That will be established with the first 1041 filed, so if nothing has been filed yet you can play with dates a little bit to get the best results.