Randall

You should check a little further. You can have a 'in kind transfer'. That is, you can own Stock A and Mutual Fund B and have them transferred from one brokerage account to a second brokerage account without selling the investment. You still own Stock A and Mutual Fund B, it's just held in a different brokerage account. If the client wanted to changed investments from a mutual fund to a stock, a sale of one and a purchase of the other would be needed. The cash from the proceeds could have then been transferred to the 2nd account and the client would not have received any money. With a sale, a 1099B would be generated and proceeds would have to be reported on the tax return (minus basis giving a gain or loss). If there is no gain, AGI wouldn't be affected, but if this wasn't reported, the IRS would be using the gross proceeds from the 1099B and showing AGI higher.

It was custom built by my local computer tech consultant I use, not a name brand. It has 16g RAM and a solid state HD (only 150g) with 2 regular HDs (1 terabyte each) set up on the RAID system. I use the solid state HD for the OS an other apps and use the regular HDs for data, etc. Although ATX told me I couldn't separate their program from the client data so ATX is on the regular HD.

Why open 2 years of the ATX program? I use my pdf files for the previous year. I have prior year returns, worksheets, client docs available in pdf and can reference the info while working in the current ATX program. Just got a new system, W7 and 3 monitors (23in). The 3rd is set up for client viewing and mirrors my primary monitor. Recently used the ATX planning function to go over some things with clients. They could view the 3rd monitor while I went thru various scenarios. I could show the ATX screen on half the monitor while showing their return in pdf on the other half of the monitor. For my two monitors, I can use ATX on half of one monitor while using the other half and two halfs of my 2nd monitor and basically have 3 documents (client doc or a research doc) viewable for myself while working in ATX.

If you're talking about 2010, you can get him set up on payroll, pay a bonus for 2010, issue W-2, etc.

He knows he has 18 properties. He knows the location of these properties. He knows the distances. He should know approximately how many trips he's made. He can use repair and oil change invoices to see his odometer readings at specific dates. I think he has enough information to make a reasonable estimate of his business usage. Yes, by all means, from now on, get him on a log.

He has a mileage log. It's in his head. You need to convert it from his head to a piece of paper.

(Besides, even a specialist would never use a general tax prep program like ATX for this. It requires a high-level fixed asset manager.) Calling tech support is two or three times worse, because they will barge ahead with further assumptions not related to what you are asking! Thanks. I agree. There's no way I was going to call tech support. I know ATX is limited and I will have to appoach it as you suggest.

If rental property given up in a like kind exchange has suspended PALs, my understanding when a gain is deferred, the suspended PALs are not released and must be carried forward with the new replacement property. How do I input this in ATX? If I mark the old property as final disposition, the suspended PALs are released in Form 8582. Do I keep this property open in ATX for future years, showing a Sch E property with no income and expense in future years, just so the property is not marked final disposition until the new replacement property is disposed of in the future. If so, how do I relate these two properties in ATX or do I just have to manually note this for the future? Is there a way in ATX to adjust the suspended PAL from the old property to the new property so that it will be assigned to the new property in the future?

For a like kind exchange, how would you input the following in ATX? Property given up is rental real estate, same as replacement property received. The property given up is included in Sch E ATX records and consists of several asset entries (land, original cost of building and 2 bldg improvement entries). In the asset records, if I use the like kind exchange option, these are carried to Form 8824 automatically but listed as four items. Do I allocate the exchange value for the four different items? But then how do I allocate the amount for the new replacement property with the adjusted basis (for the deferred gain)? I would like to show the old assets as sold at NPV with no gain and no loss. Then on Form 8824, manually input one item for the whole exchange value, leaving me one asset with a reduced adjusted basis. This will list the old assets on Form 4797 with no gain or loss. How should I show this thru the ATX?

I think the requirement is effective for payments made in 2012, reporting 1099s in Jan 2013. But I don't have an official citation. This was from a PPC source.

Yes, but it does point out some of the flaws. I do expect some changes but I don't know to what extent.

Yes and then they cut off your electric.

I thought if everything reverts back in 2011, the step up basis also returns.

Yes and get copies of statements showing transfers (both sides), amount, dates so you'll have documentation if IRS questions it later.

When you give it back to the new client for the new year, are you telling the client NOT to make any entries in the new year until you give your changed old year back to them? Or is there a feature like QB's accountants copy that I don't know about. Also, what if the client has a newer version than your 2002 version? Are you still able to exchange files?

I agree regarding Excel. I don't think QB is all that expensive and I tell clients they don't have to upgrade every year although I would like them to do so every 3rd year at least. If it's too expensive and they are very small, go with the Excel suggestion. Set them up with a Receipts and Disbursements Journal.

I've used Norton for years and although I know it slows things down, I've not had a problem. I was thinking of switching when I buy a new computer later this year. But now I see Symantec (Norton's owner) is buying PGP, which is my encryption software company. So I'll probably stay with Symantec (Norton) with the new computer.

Also to carry the loss forward.

Some retirement accounts issue the 1099R at the same time as the distribution. If a person takes several distributions during the year, there may be several 1099Rs issued instead of one for the total at the end of the year. A few years ago, a client brought in one 1099R but also included their year end statment showing total withdrawals for the year. I noticed the total withdrawals were quite a bit higher then the 1099R amount. After inquiring, the client had several 1099Rs issued.

If importing to Sch D in ATX does't work, rearrange the spreadsheet into the Sch D format the best you can and mail as an 8453 attachment.

What about claiming parent as dependent. Parent is living with client. Parent is still married. Parent's spouse filed as married filing separately. Client can claim parent as dependent but can client claim HOH too. Client provides over half support (spouse none) except for parent's soc sec.

And it's much easier to review the return for individual numbers. You may have multiple lines for each entity, but easier to trace indidividual numbers on the K-1 to the return.

Thanks. I was wondering if it was an IRS or ATX problem.

ATX is not letting me create an efile with clergy worksheets. Message says to paper file the return. 2009 Form 8453 does not have a line item for the clergy worksheets. 2008 Form 8453 did have this line item. Is IRS no longer requiring the worksheets? Or is it just ATX that is preventing an efile creation with the worksheets in the return?

Yes, I would complete for all copies. I wouldn't want to give the client a copy that wasn't the same as the original filed.