Randall

If the trust document list some beneficiaries that are organizations and would be charitable, are these distributions considered charitable deductions in calculation of the income tax of the trust. Other beneficiaries listed are individuals and the trust wants to pay the tax upfront. Yes I know the tax will be higher at the trust level.

Where is this? I don't see it. And wouldn't this nullify the reason for having authentication in the first place?

I wonder if ATX price will go down without Payroll.

I haven't got the letter yet. I have payroll for 2024. I guess the letter means next year, 2025.

Thanks for the warning. Any word on Windows 12? I'll probably have to get a new computer later this year anyway, whether Win12 or Win11.

If an aging parent transfers home to child while living, but the document specifies parent can live there until death, does the house not really transfer until death? Inherited stepped up basis? I keep hearing this but I don't know where to look for reference.

This is what I've found too. When it comes to RMDs or inherited accounts, it seems they run Roth with the traditional IRAs. And it's sometimes confusing to distinguish if what they're saying is the same for both or different for each type of account.

Yes, in a way. But I'm an old man now. I like easy and boring. And I like taking more time off.

I'm a little confused on these rules. As I understand it, RMDs for Roths are required for a non-spouse beneficiary. Beneficiaries are excepted from the five year rule. But the ten year rule? Does the beneficiary have to to begin taking the distributions over the ten years or can the beneficiary wait and take the entire amount during the 10th year?

I know what you mean but they take more time and I want easy these days. So I'm not taking new business clients and have thinned them out the past few years. Only taking new personal returns if they are very basic.

It's January 2. The year is going by fast.

I have two monitors for myself. They are 20 inches and suit me well. I have them set up as number 2 being an extension on number 1. I can show the client docs on my no. 2 and work on the tax return on no. 1. I do have a third monitor sitting farther away. I have this no. 3 set up to mirror my no. 2. I only use it if I need to show a client something. I can move the doc to my no. 2 and turn on the no. 3 and the client can see what I see without standing over my shoulder.

Thanks for the comments. I was looking at the instructions for 1128. I saw there was no fee for the automatic approval. But I think my client will not be eligible and will have to request a ruling approval. There was mention of a fee but I couldn't find the fee amount and there was mention of the fee varying.

I went with the MS app. I always just stick to MS.

But if it was a deposit, wasn't it returned, or applied to a future year tax? Or was this the fee required? And what was the amount and how determined?

Did the deposit cover the future tax in the later 'full' year? And was the client credited with that payment when the following full year was reported?

Anyone ever do this? S Corp client (currently on calendar year) wants to change to a fiscal year. Only one shareholder. I understand we use Form 1128. There is an automatic approval request and a IRS ruling request. Can he get an automatic approval? or does he need a business reason? Also, I understand he will not be able to change his personal reporting tax year.

Even though first time penalty abatement may be only for the first year, try to lump the years together and claim that it is the first time. This worked for me (one of my clients) several years ago. The IRS originally only abated the first year but after a second letter (which I composed) they abated the penalties for all years. It is worth a try.

You can always request a waiver of penalties. I don't think IRS can waive interest though. You will need to talk to the client and get the circumstances. I usually compose the letter, but it is addressed to IRS from the client. And the client signs and mails. When IRS opens their efiling system, you can efile current year and two prior years. The earlier years will have to be paper filed.

Yes. When you log into the ATX tax program or the ATX Payroll program, you input your user name (Admin) but do not enter your password. Below that is a link that says Authentication Manager or Manage your Authentication. When you hit that link, you will be prompted to re-enter your registration number. When you do that, the QR code appears. This is what I needed, the second QR code for the Payroll program. You can then scan it with your phone and my MS Authentication app (only one app) then displays the security code for both the regular tax program and for the Payroll program. I didn't notice the link for managing the authentication and entered my password, then the security code window appeared which I didn't have. I only had one security code on my phone for the regular tax program. I hope this helps for anyone having a similar problem.

Ok, I finally called support. Wasn't too long on hold. The rep walked me through how to access the QR code again. That's what I needed. I only need one authenticator app on my phone but I needed two QR scans. Now I have two separate codes for the two different programs. So I can get into both programs now. Hopefully once I do this a few times, it will be easy. Ha. Thanks for all the help.

I can't seem to access the second QR code for the payroll program. Is there a way to get back to the QR code without calling Support?

Thanks for the info. I'll try it.

I downloaded my ATX software. I got the Microsoft Authenticator app on my phone. Everything worked for the regular tax program. But I can't get a code for the Payroll program. My phone MS app shows ATX Desktop. Is there a second authenticator program for the ATX Payroll program? What a rigamarole.

Thanks for this topic. I haven't downloaded the new ATX program yet. But I too don't know that much about the phone and QR code stuff. I guess I'll have to start.