Randall

Does the K1 have the client's ssn or a trust EIN?

When is a recently deceased person eligible for the stimulus? I have a joint client who just received the stimulus check for $2400. Her husband died April 27. According to IRS questions, receiving the check after death, the check must be returned. For joint filers, they are to deposit the check ($2400) and write a personal check for $1200 and return it with the proper endorsements and explanations. Is there any official date of determination when a person is eligible for the money regardless of having died shortly after?

This happens a lot. The client doesn't have a clue. Not a problem if there is no loan. But with a loan, I would think the bank would have to have a new loan processed. They're probably not going to want to do that. If there are partners, they should get this titled correctly and the loan too.

My first drive (C) is an SSD, 500gb. I have a 2nd internal drive (E), 3t. All programs on C drive and I let ATX put backup and files on its default method, which is the c drive. I put all my docs (pdf) on my 2nd drive. Plenty of room. I also have two alternating external HDs for backup, 4t each.

Thanks for the info. I looked at ATX news feed and didn't see this. There are two things I missed. I entered actual interest from 1099-INT instead of overriding with $1. This prevented the note at the top. And it prevented the bank info to go on the 1040 since there was no refund. Other than that, I think she's ok. I did insert a note at the top myself using the insert note function. The return went thru the normal efiling process so I assume she'll get the stimulus, just a check instead of direct deposit.

I didn't see a separate return for the simplified return. The client did have a 1099-INT for $54 so I entered the info and was able to create an efile. I also used the 'insert note' function to type EIP2020 at the top of the return. Does anyone know if these notes are included in the IRS data received in the efile? The efiling went thru and has been accepted. I was just curious about the note inserted and the efiling process at IRS' end (for future reference).

I'm wondering if the states and local jurisdictions will follow along this time.

I gave up long ago too. It can't go on forever although all the smart people seem to think so. It's going to be crash and burn. All the king's PHDs and all the king's algorithms won't be able to put Humpty Dumpty back together again.

Unbelievable. Another $3t of debt.

Where in ATX do you mark to include the text EIP2020? I'm not seeing it in the main data screen.

I agree John. They've had to rush a lot of things. I think the IRS is doing the best they can. There's a lot of things to sort out yet.

Thanks.

Thanks. I briefly looked, didn't know if it was a separate Form 1040. So I'll check.

For the record, I probably won't charge. A long time friend of the family. But I was leaning toward doing the actual return thru the software. I assume when this return is efiled, IRS will automatically put her in for the stimulus check. Does anyone know? I think I read somewhere that returns filed by Oct 15 would get the check in advance. After that, they would have to wait to include it on their 2020 return.

Yes, you have to take the time and pay for the envelope and stamp. Life's unfair. Just kidding.

I think the question 41 answer from TKTax's link is a better way. Put it in a separate envelope and mail to the address listed. Also mark the check VOID in the endorsement section and include a note for the reason for returning the check.

I thought of that as an option. I wasn't sure how that worked from a 3rd party's computer. Haven't caller her back yet.

Got a call from a former client. She hasn't had to file for past few years. She isn't receiving SocSec yet. She doesn't have a computer to go to the online tool. I see something about filing a simplified return in Rev. Proc. 2020-28. Can I do this thru ATX and efile? I think she may have some interest income and I was thinking I could just prepare a regular 2019 return inputting 1099-INT amount and efiling a return for her that way. Anyone have this situation come up?

Thanks for info TKTax.

Ha, John. I did think of that. But in this case, they share some blame too. I won't go into that.

I let them know the paper returns would be a long time in processing. The parents are going to advance him until he gets it.

Me too BulldogTom. Hold check and wait.

My guy was full time student, 24 in 2018 but made less than$4200 so a QR dependent. Made over $4200 in 2019 so not a dependent.

I agree but there is one situation that irks me. Ministers' housing allowance. The amount used to pay a mortgage is non-taxable and the amount paid for mortgage interest (and real estate tax) is also deductible. Sort of a double tax advantage for the same dollar. May not be as applicable now with the higher standard deductions but still annoying to me.