michaelmars

thanks Grace but nothing is attached.....the source of the loss was regular stocks...i know that if it were from a ny business it could be carried over but not sure about stock loses from when he was a resident.

taxpayer and his company were being sued. he paid one of the plaintiffs that was suing him personally he paid $$ from is company and $$ personally to settle with this plaintiff. Still 2 more plaintiffs are part of the suit. the suit was for a professional job he did on behalf of his company. [the company is a c corp and the taxpayer is an employee of it and owns 50%.] Is this deductible anywhere on his 1040?

ITS adjusted to fmv this is called a 754 election and gets depreciated as a new asset, don't forget some of the step up goes to land which is not depreciated. it the property is sold close to dod then the step up results in some ordinary exp of depreciation but increased the cap gain 15%. in short periods this is almost a loss. the 706 has to use the sales price since it was so close to dod. if the 706 was already filed you must amend it. ATX has the 754 election built into its election form.

client has a capital loss from 2010. Starting with 2011 he is a florida resident but still has lots of Ny income to report including cap gain on a NY building. Since he is now a non resident can he use the carryover loss to eliminate the gain. As it stands now, federal cap gain is a loss due to the carryover but NY shows a large gain.

even with an appraisal, any sale with in 9 months of dod or before the 706 is filed [with extentions] is considered the fair market value. Improvements are additional costs. Remember its no longer a home, its a piece of investment property that has carrying cost associated with it too.

the 1120s has a box now to check if you are electing with the return and you simple include a 2553.

I just noticed that this is going to be my 1000 post so I want it to be a good one. I want to thank Eric for setting up this board and administering it so well; thanks for your time and efforts. Thanks to KC, Jainen, Lion, Taxbilly, Catherine, Old Jack, Jack from Ohio, Mcb and all the other prolific posters that take the time and care to provide good and thoughtful advice. Jainen, you provide outlooks on issues that most of us don’t see until hit on the head with them. Jack and Jack debates are so very informative. KC, what can be said but thank you and you should know that All of our thoughts are with you and Don.

Actually i just checked and the site is fine

TURBO TAX FOR BASHING THEM EARLIER.

of course literally Jainen is right but the irs has been very liberal in allowing late elections. you do have to watch out though for state ramifications. Client probably didn't decide late, but you did after he brought you his information. All you can do is try, let the client know the choices and if the S gets rejected then he will have to file new returns and pay the piper, including you for a new return. You can elect with the return but since the election was already filed the chances of acceptance just went way down. Your arguement might be that if you waited to elect until you filed the return it would have been accepted, the client shouldn't be penalized for filing the election sooner....good luck

i usually say that there was confussion between the attorney and the cpa as to whom was going to prepare the election....never had one come back rejected.

Long Island has so many taxing districts, that flow onto real estate tax bills, sanitation pick up, fire, ambulance, library, parks, etc etc. only once a few years ago i had an agent disallow the sanitation portion of a bill

whats wrong with the code? if it were simpler or more logical then we lose business. my practice never grew so much as when tax simplification was started. I say make them more complex, more confusing and then i get my cadillac!

HMMM if Mass is not following fed guidelines and advising on how to create the appearance of independence, then maybe you can turn the whole state in to the irs, just think of the whistleblower reward!!!

its been a while but in the 1040x instructions, there is something about how to handle in this situation where only one return is being amended.

Agree with Ken, especially in a high taxed state since atx doesn't compare state results.

i can see it with kids but in this case its the spouse!

just having a corp doesnt make someone an independent contractor. we went through this in CT and all the people legitably had alot of other income, were all corps with own malpractice insurance, had a say in how they did their work and still Ct made them employees and since the penalty can be so draconian my client caved and agreed. Ct is so insane they tried to make the lawn cutter an employee for his 40-60 per week and they wanted to know who owned the tools that the cleaning service used when they came in at night.

i once gave a complainer his copy of the return with every worksheet available as backup, i hit print all

i can't find a link to search ssdi except for sites like ancestory.com

amend the amended in the program, not a big deal. just be carefull that the tax paid/refunded is correct on the current return.

still doesn't explain why there is a diagnostic for cap gain transactions but not int or div

i agree if you want the mfj/mfs split but why the diagnostic error only on schedule D, you don't get the error on other items such as int or div and this info is needed for the split worksheet too.

why do we need to put who the stock belongs to anyway, it doesn't go on the return and its not a required input for the dividends that those stock earn.....its just a useless input.

i have the same situation [want to swap clients?] and at least for last year OK didn't allow for efile for non-residents