TAXBILLY

In Idaho a citizen is forbidden by law to give another citizen a box of candy that weighs more than 50 pounds.

taxbilly

Happy Easter to all and I hope everyone had a successful season.

Time to go play golf!

taxbilly

http://www.colorado.gov/cs/Satellite/Revenue/REVX/1178305430066

taxbilly

Actually, the deadline for filing 2007 and getting a refund was Friday, the 15th!

Not according to the IRS:

http://www.irs.gov/newsroom/article/0,,id=236811,00.html?portlet=7

taxbilly

You wouldn't depreciate the oil tank just like you wouldn't depreciate the central air conditioning of the residence for example. The OIH percentage would be the oil itself.

taxbilly

Exception 05 on Form 5329 might also apply.

taxbilly

Luckily I only do one IA and none of the issues apply.

taxbilly

I have 2007 - 2010 on my windows 7 professional and have no computer issues.

taxbilly

I have my clients trained. There are no appointments after March 31st. All returns after that date are on extension and if we get to them we will. We check the info to see which clients will owe which not surprisingly are the majority.

taxbilly

Client: I worked this out on Turbotax and I bet you I came up with the same answer as you (just before looking at the return I prepared).

ME: Then why do you pay me to do your return?

Client: Because I trust you and you have been doing my return for 20 years but for $10 I can do it myself.

Me: You'll have your wish next year.

Client: Why, are you retiring?

Me to Ex Client: No!

Only three pickups for Monday by 11AM and I'm outta here and off to the golf course. All others are on extension.

taxbilly

Clients don't listen to their voice mail. They see we called and ask what we needed.

If we tell clients we close at three and pick up the return by then they show up at 2 minutes to three.

We tell people we are closed on Fridays. Guess who will be coming today to pick up their returns.

taxbilly

Possible legal headaches and expenses later. A lot cheaper to file 709 and pay no tax and be covered.

taxbilly

IRC 179D is the cite but it expired 12/31/2008.

taxbilly

Attach the letter and don't forget to fill out Part VIII of Form 5329 starting with line 50.

taxbilly

I have proceeded as follows with some success:

1) File the return as soon as possible. Do not put in an explanation. No one will read it.

2) When the penalty letter arrives answer promptly and fess up that you, the preparer and not the corporation, messed up inadvertently.

3) And, if it is true, emphasize that the corporate returns previously were filed and/or extended within the rules.

taxbilly

http://www.gasbuddy.com/

A useful website.

taxbilly

I got two emails yesterday. Now I have two account reps. I feel special now that I have an entourage! :~)

taxbilly

http://www.imrf.org/pubs/tax_letters/TL10.pdf

Find out when he actually did retire and see if he has his 2007 return. If you find he is eligible to recover part of his cost each year according to the rules and he didn't you can still save him some money by amending his 2007 return by April 15th. Then after the season you can amend 2008 & 2009.

taxbilly

http://www.washingtonpost.com/blogs/2chambers/post/senate_votes_to_repeal_health_care_laws_1099_provision_sending_on_to_president_obama/2011/04/05/AFySC7jC_blog.html?wprss=rss_politics

taxbilly

Memo to me ... "We do not do Ohio returns!"

taxbilly

I thought the exception codes for medical, education and first time home purchase only applied to IRA distributions. If this was a distribution from a qualified plan, which is what I understood from the language retirement plan, do those exceptions even apply?

Go to 5329 and look at each exception. IRA specific doesn't apply to medical expenses.

taxbilly

Call the IRS toll free number and give them the info on the employer and they will call them directly.

taxbilly

It is true that the medical expense over 7 1/2% of AGI escapes penalty but be aware that you do not have to itemize to take advantage of the exception:

http://www.irs.gov/pub/irs-pdf/p590.pdf

taxbilly

I feel your pain.

I usually see my computer guy once a year when I get the ATX disk. This year he had to come back in January because my hard drive failed in my laptop. Was cheaper to buy a new one (Dell) than fix it. A few weeks later he had to come back because it was not networking correctly and Dell had put a trend micro antivirus program on it that required a password. Not knowing what it is we had to contact Dell. The technician had never heard of a password being needed and had to take over my computer to systematically delete about a hundred files before he was able to "disarm" it and I then was able to install AVG which has been trouble free for me over many years. Yesterday the Windows Live Email program stopped working so my computer guy was here for about an hour this morning trouble shooting it and not having any success. We decided to just install Microsoft Outlook, a program that has been worry free for me also over many years.

Forgive my wordiness but I have to vent before returning to these 75 odd returns in various stages of completion and I will return the seven calls I got within the last two hours Monday.

Now back to the dungeon!

taxbilly