Randall

Thanks. As always with this stuff, finding the time to get into it is difficult.

From TaxCPANY in another post. "I can't access Intelliconnect to perfect the cite."

Any quick tips on using Intelliconnect? I seem to get bogged down when I do a search and get the results. Sifting thru the results to find what I'm looking for gets tedious.

When I get bogged down with a return, I set it aside and do some that I think will go quickly. This lets me get some work 'finished' before going back to the other.

I think in previous years, there was only one option in the client letter option tap. I used to manually delete the word 'sucessfully'. But this year, there is an option to say the return 'has been' efiled or 'will be' efiled. I use the 'will be' wording.

Same here. But I do have the problem. Strange.

Thanks. That's what I was seeing too. I'm waiting for more info on the purchase amounts (wasn't my client in 2008, year of purchase). I think basis will be $7000 (amount of unpaid credit) over 'selling price'.

Client received the $7500 credit in 2008. Paid $500 back in 2010. Filed bankruptcy in 2011, bank took back home. Am I correct in using balance of unpaid loan as 'selling price' and calculating gain or loss on 5405? Or is there a special exception for bankruptcy that would eliminate pay back of credit? I'm still waiting on some info from client and I'm thinking there will be a loss eliminating the pay back anyway. But I wanted to throw the topic out for response.

Same here. Some do, some don't. Most don't.

MAS, why would you recreate, instead of just releasing from the efile manager? Seems recreating is more time.

You may not want to charge the $1500. But don't go too low. Even the easy ones can take some time. There's the state return and the local returns. If their two locations are in different local taxing districts (common in my area), then there's the allocation of the two locals. A lot of these local returns are not in ATX. These can be time consuming. Don't make my mistake and go too low. Tell them you turned them down the first year and they chose to operate as an S Corp so this is all part of it.

Then there's keeping track of basis, reasonable W2 compensation vs. shareholder distributions. All these things add up in a lot of time that's really not seen by the client.

<<<Housing allowance. Fair rental value of home (including utilities and furnishings). Actual out of pocket cost of home (including total loan payments, repairs, utilites, furnishings, lawn care, landscaping, custodial, etc). The lower of these three is what he can exclude from tax and SE tax.>>>

The above statement is technically not correct. Nowhere are total loan payments taken into account. What you would use in place of Loan Payments, is principal reduction, mortgage interest, property taxes and insurance.

Yes, I short cutted the description.

I don't use the ATX billing for my actual billing. I include it for my personal use. I track my time and calculate an hourly rate. That's not my actual billing either because I use a high rate. Some of my time is clerical and bookkeeping. I adjust (usually down) for my actual bill. I have some minimums. I know my billing is too low. I'm a softy. I'm quoting new clients higher (especially if they have rentals, etc.) and gradually raising the existing clients. I do charge a separate line item for 'accounting service' if I have to do too much before actually preparing the return.

Also, keep in mind, there is a double benefit for the mortgage interest. Total mortgage payments reduce amount of housing allowance that is taxable to both income tax and SE tax. But the mortgage interest is also deductible on Sch A reducing income tax more. A double deduction for income tax purposes.

Housing allowance. Fair rental value of home (including utilities and furnishings). Actual out of pocket cost of home (including total loan payments, repairs, utilites, furnishings, lawn care, landscaping, custodial, etc). The lower of these three is what he can exclude from tax and SE tax.

So if he pays off the mortgage, what will his actual out of pocket cost be? It will go down without a mortgage payment. Assuming fair rental is greater than $17,000, then actual costs may fall below the $17,000 and he'll have to pickup the excess for income tax and SE tax purposes.

Be careful with small independent churches. They tend to want to help the minister but skirt some of the accounting and tax rules.

I asked this client ahead of time because he usually has a lot of transactions. I asked him to get the file and either send it to me or bring it in on a flash drive. Apparently, he had the broker send it to me directly by email. I think most brokers can do an excel file or csv file directly.

I agree with Terry D. Send a bill. Ok, but don't expect payment. The 1099-C is a bad idea, VERY BAD idea. You're asking for more trouble. 1099-MISC, no way, you didn't pay him anything. DON'T DO IT.

Send him a bill for the work. Send it a second time and a third time. Then hit him with a 1099-C for 2012

I wouldn't do that.

I go with Lion. LLCs get a 1099. But if electing C or S Corporation tax status, no. I treat them as corporations for tax purposes. Isn't the 1099 for tax purposes? The new W-9 should be your support. The IRS should probably clarify this since this question has come up often.

In the past I've entrered the entries or attached statments to the 8453. This year I had one client send me a csv file. I already have received it from the broker but I'm waiting for the client to bring in his info to begin the return. I hope to try the download and see how smoothly it goes. ATX does have that import worksheet. I want to try to take advantage of this more.

I try to caution clients on vehicles. Try to go with SL if they will agree.

This happened to me the first time I began efiling the business returns. But I didn't get a EIN. I just go into the Efile Info form and delete the firm name under ERO. My ERO personal name and PTIN are still there and everything goes thru.

It could be a re-issue and not a corrected. If originals have not been sent to SSA yet, it wouldn't need the W2c.

WmMorris, yes I thought it would be a better more efficient system. That's why I was going to use it. But I have my C drive on a SSD HD which has less space and my D drive on a regular HD (1 terabye). I like to keep the C drive for OS and Office Suite but install other programs (ATX, QB, Peach, etc) on my D drive. I used the custom install for Paperless Plus and put it on my D drive but it was by default putting all my files on the C drive. Due to limited space on my C drive, I need all that to go on my D drive and I couldn't figure out how to get that done. I will look into it after the busy season.

I've been using pdffactory pro for my file copies. I've been using my own windows explorer file folder system. I was going to look into the paperless plus program but ran into the problem I stated above. I thought it might be quicker. But now I don't have time to look at it.

Mine used to do it automatically too. But recently, not so. I don't know why. But I do the above.

Not harsh at all. A comment I like is 'It won't hurt my feelings if you want to get a second opinion.'