Abby Normal

https://www.irs.gov/coronavirus/non-filers-enter-payment-info-here

His basis went up this year by the amount of income on the K1. If you enter it in ATX it will show basis increasing. Does the K1 show any distributions? When you say 'pay stub' was it a payroll check or just a regular check? If the corporation bought his stock (dumb move) then this is a capital gain, whether they did a 1099DIV or not. Recreate the basis as Judy suggested. Too many lazy (or ignorant) preparers have not tracked basis. I wish the IRS would just create a form for it to force everyone to comply.

Net earnings from self-employment for 2019 divided by 12 x 2.5, plus retirement plans plus SEHI is what I've done. If they want to discard the health insurance because it's not group, then let them do that.

MD doesn't require a state trust return unless there's taxable income. They don't want the bother of processing a return for no money, but I think I'd file MA returns going forward and let sleeping dogs lie.

Self-rental of home office is fine as long as the rental shows a profit. Losses on self-rental are suspended as passive, but profits are not passive income, so if you have no other passive income, those losses are suspended until you sell the house.

Well, that's just great. I just this week helped a family who runs a small grocery and food truck as a C corp. They have no employees and do all the work themselves. They are not taking any money out, yet, because they're reinvesting in their business. That means no EIDL advance/grant. This means almost no help for businesses without payroll.

If regular home office is substantially more than simplified, it's well worth claiming because it saves SE tax and income tax. Paying tax on the depreciation later (if the house even sells for a gain) is a small price to pay for that. But I do use simplified on some, for various reasons.

They have proof of mailing, so they should be fine to get the refund. When... now that's another story. BUT the IRS does pay really good interest!

It's one of the most covered songs ever, or so I've heard.

Why can't we ever do anything important, right?

Yes, remaining basis as a capital loss for S corps and partnerships.

Hot water heater expense-de minimus Refrigerator expense-de minimus Floor-repairs Roof was a repair. No need for 179.

I find I often have to discard rolled over letters and re-add them. What variable is being used for the date that's not right in the letter? As far as I know, ATX only updated the 1st quarter estimated tax variable to 7/15. The return/payment due date variable still depends on the due date on the late filing tab.

Can't they just go on unemployment and keep it simple?

Happy to help!

I just tested it and it worked for me. Try closing and reopening the return to see if it recalculates.

I do something kind of similar but less work and no math, but I've had 3 returns where it was an infinite loop because the taxpayer was very close to the 400% limit and bounces back and forth between no PTC and some PTC. I usually just take enough SEHI to get them right below 400%, and call it a day.

All my hard copies of POAs are in one folder by date filed, since we no longer have physical folders for clients. The scans that are faxed to the IRS are in the each client's folder.

Thanks, Gail, but I think you have to be a customer to subscribe to those emails, at least, I didn't find a way to subscribe. I could have unsubscribed you, though, so you might want to delete that link!

Spitballing for people who don't need to file taxes: Go to IRS direct pay and make a nominal payment of taxes for 2019. File a 2019 return showing your income and ask for a direct deposit of your refund. Yes, I'm two glasses of wine in, but... IT. COULD. WORK!

I don't want to have to go into my tax program to see things that can quickly be seen in a PDF. And what happens if the return file is corrupted or changed in some way, or I switch to another tax program? No thanks. I want a "carved in stone" PDF of every return I produce with ALL the useful worksheets and statements included. We have TBs of drive space these days on drives that will wear out before they ever get full.

In ATX, filing copy is meant for paper filing of returns and nothing is ever masked, but some pages won't print in that copy. We use it for efile signature forms, efile payment info, engagement letters, payment vouchers and estimate vouchers/records. The client copy is the one where you can mask ID#s. K1s can have the recipient's ID# masked in any print copy, and it leaves the last 4 digits unmasked, but it's not masked on most states that I've seen. ATX says states don't allow it, which is because K1 printouts are just for us and clients. States get efiles.

I'm not seeing that. Updated forms and nothing came down. I changed the variable in the letter from estimate due date to return due date, but estimate due date still says 4/15/20. I override the return due date on late filing tab to 7/15/20.

Oddly specific.