joelgilb

JOEL's response I think I need to respond to 2 of your posts in more detail. First I am not really a Rabbi, but an attorney and a CPA. The Rabbi comment was a joke since I made the comment in my previous post "use it religiously". Second, I honestly don't have a lot of faith that they will do what is needed. Still I think it is important that they hear things like your comments in this post that they need to listen to negative comments. Now, that said, there is a big difference between constructive negative comments and bashing. We are an intelligent group of individuals here that should know how to give constructive criticism rather than bashing them. I would hope that they would not delete that, but respond accordingly. The MyATX login does work, although it is and was a pain in the butt! And it adds no additional security for us, but for them. Nuff said there. As for cutting support staff, I was as angry as anyone about that and what they did to William. I have sent them suggestion after suggestion constructively complaining about this one. The way they did it and the timing was just wrong. However, as a business man, you can not fault them for doing what it takes to try and save the business they purchased. Everyone makes mistakes, and they made more than their fair share of them. Now I hope that they learn from them, but I agree with you, in that I don't think they will. Third, I was the one that started the post to look for alternative software. As for Mel I am 100% behind his effort and hope and pray that he can do this. He has a monumental task!. Like a few others out here, I agreed that if he can the answer may be to purchase both ATX and Mel's product to give Mel some extra time to build a product with the sophistication and completeness that we have come to expect from the ATX product. CCH are you listening???? At any rate, let's not sink to the level that they did in dealing with this. Joel

I too am hoping Mel can pull off a miracle . And I know everything CCh did and have been one that has bashed them here and in their suggestion box for it. Coca Cola learned when they changed to New Coke what their customers really wanted maybe CCH can also. But only if we keep on them and educate them. Joel

Hard to restructure a deal with hindsight, but what have they actually done so far? In other words, have the parents filed their returns for the year of the gift, were they expecting the kids to pay them back and didn't formally do the notes required? Was interest charged or AFR (applicable Federal Rates) used to calc same? As an attorney, I often have clients that want to sell a house to their kids and gift a portion as well. When I structure the deal I have notes and an amortization schedule prepared, and deal with the interest on an annual basis and gift the interest and a portion of the principal until the note is fully gifted. This can be done quicker than you think with each parent making an $11,000 gift to kid and kid-in-law (I think that was the limit for gift tax exclusion in 2006, but double check). Couple of years and no more note and no basis issue either. Even if the parents gave a gift letter to the kids for the mortgage company, a sale can still be shown as at FMV. Of course the gift letter is technically mortgage fraud when it is actually a loan, but mortgage companies don't have issues with this when they have 50% loan to equity and will not typically care if parents take a note back after closing. Generally a good idea to record the parents note and add a mortgage as well and have proper RE Sales contracts drafted. Barring crossing their T's and dotting the I's, which probably didn't happen here, verbal agreements are valid. Not trying to create a fiction here, but when you indicate that the kids paid back the 100K that parents lent, it suggests that this was not actually a gift. Find out what they were really doing. Maybe it was a loan and you can fix all the returns to support reality. Joel

I think we see a lot of that. Joel

Speaking of DacEasy (I remember it well), anybody heard what happened to Paccioli Accounting and how to get a copy. I have a client that has a need for a copy. Joel

Agreed they shut down the board for negative comments, but maybe they learned a lesson here. How many of you sent them suggestions and regular emails on there site, asking for the community back and the chat support? I for one sent them a minimum of one per week and still do. We need to let them know what they are doing wrong and why. They have a suggestion box link right in the My ATX area (and I know its harder to login that in the past, but we can learn here to, I did), use it religiously. " Quote from Rabbi Joel" We also need to let them know that things like the community were really an integral part of the support we expected from the ATX product. We teach our clients everyday, now its time to teach CCH and Taxwise. Rabbi Joel

Now this seems a good addition to this topic! Maybe if we stopped the negativity ourselves and gave CCH and Taxwise the feedback we want them to hear they will listen. Money talks people and they do finally seem to be listening. Let's not create a Self-Fulfilling prophecy and kill the product for them. and as to QUOTE (GeneInAlabama @ Mar 18 2008, 08:58 AM) * Since they have DECIDED to continue the ATX tax software, that tells me that they were undecided before. That is why I quoted the sales person I spoke with carefully, as clearly they were not certain what they were going to do. I will bet that someone from CCH or Taxwise is monitoring this community and hearing both our positive and negative comments. Let's all let them know what we want. I think the consensus out here is that virtually no-one is going to use CCH ProFx System or Taxwise. They don't want to lose a user base that they paid good money for. Ok, I think I am being redundant here. Joel

So, does anyone use the online payroll systems? Joel

Good question. What are the rules as far as getting a signed 8879 for our files. I always thought it was enough to get a fax or email copy back of the 8879. Most of my clients come in the 1st or 2nd year and then mail, fax or email me their stuff after that. Anyone have any thoughts in this electronic age? Joel

6 divorces later, 17 kids, alimony, child support and 2 steps away from the poor house and nut house and I got to ask.... What are you THINKING???? (Thinking out loud) Maybe I should have written a few Pre-Nup Agreements???? Or had a vasectomy??? Ok, just kidding. Actually on my second marriage here and wouldn't have it any other way. And really don't regret much from the first marriage (she had issues, was and is bi-polar and cheated, but I still wish her well), have 2 beautiful girls from that one. Wish you the best of luck. And know, that the statistics say that men live longer when they are married (wonder if that means happily though?). Joel :wacko:

I am a one man shop, so have always avoided payroll services, other than quarterly returns. Always concerned that I could never leave on vacation or have other conflicts if I was tied to weekly payroll. I just started looking to add online payroll services for my clients, specifically because 2 clients have wanted more than I do right now, including direct deposit and having the payroll tax deposits made for them automatically. I was hoping that some of you have used or are using these services and had some questions about taking on payroll as another service. One, I was looking at ATX/Taxwise 's Paycycle (apparently CCH owns them), at $14.099 per moth to accountants and AccountantWorlds payroll product, (pricing is totally different at $9.95, plus $195 per year I believe). Initially I will only have half a dozen clients using the system, so PayCycle would be cheaper in the short run. 1. Wanted to know what others experience with doing payroll this way vs in-house. 2. Wondered what would be fair price to charge for this service? Note that most of my payroll clients would be 1 to 5 employees at best. Currently I charge for the returns and by the hour for calculations and phone advice, and find to keep the coustomers happy often have to write down the time. 3. Experience with client input vs accountant input. 4. How involved is the accountant in the process and how much time do you tend to spend with this type of service, both upfront and an ongoing basis? 5. Anything else I missed! Thx Joel

Just spoke with someone in Sales at Taxwise and was told that they had a meeting just yesterday and according to this person, they have decided to continue the ATX tax software. Now, I know that many of us have been concerned that this would not be the case, so looks like a little relief here. I was also told that they have learned a few things since dealing with the ATX users. For one, they it seems that they will be bringing back the Community Board and adding a moderator, my guess is to deal with bashing most likely. Wonder if our constant emails to support, such as mine "BRING BACK THE COMMUNITY!", (no offense to this great board) had anything to do with it. Hopefully they have also learned something about support as well. So, we have a few options, and at least a short reprieve it looks like. Joel

Well final piece that I just found out that makes the whole thing moot. After all your help, I found out the shareholder / officers of this corp have Flex Spending accounts at their full time jobs, so there is no un-reimbursed medical expenses to deduct on his own corp. Yet he has been doing it for several years. Recommended amending the open corp years, which I know he will not do and won't deduct for now or in the future. Joel

Giving Julie the RASPBERRY! Joel

true. Although beyond the scope of this forum and not relevant anyway, unless he is going to continue day trading: A trader who makes the Mark to Market election isn't subject to the wash sale rule. * all your trading gains and losses will be treated as ordinary income, not capital gain. * any stock or other trading asset you hold at the end of the year is "marked to market." This means you report gain or loss as if you sold it at the close of business on the last trading day of the year for its fair market value. * Once you make this election you're stuck with it. You can revoke it only with the consent of the IRS. * IRS chose an unusual deadline for this election. Most elections are due at the end of the year, when you file your return. This election has to be made by the due date — without extensions — for the previous year's tax return. The last day to make the mark-to-market election for the year 2007 is April 17, 2007 (the unextended due date for 2006 tax returns). Joel

Although, this is not what I would call top notch research, I just checked the instructions to the Michigan return and it does look like they require you to use the same status as the Federal return, unlike Illinois. So, apparently you need to file this return jointly. Your initial question indicates his problem was the address on the return not being his Indiana address. Is this his only sticking point? If so, just give in on the address, and let him know, that even though he didn't reside in Michigan, his decision to file jointly now obligates him to file jointly under the laws of Michigan. Maybe you can extradite him. lol And, get yourself out. Give her an accurate and completed return and let her know that you are not her attorney and that you engagement/job is limited to preparing the return. It is her responsibility to get his signature and file this return, not yours. You have gone above and beyond in contacting him and trying to do her job by trying to get him to sign it. And finally, as an attorney myself, I agree with the previous post, tell her to she will have to have her attorney deal with getting him to sign the return. Joel

Good Point! Must have had a mind Fart. Need that second wind to get through this season, or am I looking for the 3rd wind already (pun intended). Thx Joel

CORPORATES!!!!

Does he qualify to consider this a schedule C business and thus a schedule C loss?

Don't know about Michigan, but some States allow the State return to be filed MFS when the Fed is MFJ. If this is so in Michigan, tell her that you can not file a joint return without his cooperation and that this is the only alternative you see. Also, let her know your fees to keep badgering the hub to no avail are going to be excessive and that you want an additional retainer if she expect you to continue to go after him. Maybe this way you can get her to come to reason, or convince her to contact the hub herself to work it out. Joel

I guess Maribeth, that is my question. Essentially the company is inactive. They have paid a developer fee from real estate investments and family partnerships, to give the illusion that it is an operating entity. Never pay a payroll to the owner shareholder and only pay enough developer fees to wipe out the current years medical expenses and health insurance of the owner/shareholder. My belief is that this does not create en employee employer relationship, when there is NEVER a salary of any kind. So, if that is the case I am presuming he is not an employee and therefore can not deduct the medical expense.

I have a new client that has a single owner C-Corp that is doing little if any business. In the past his prior tax preparer deducted medical expenses and health insurance on the 1120. There are no employees and no wages paid to anyone. I was under the impression that a deduction for medical can only be taken at the corp level if they had wages and could be called employees not just shareholders.. I know in an S-Corp, the wages must be at least as much as the medical reimbursement and are considered a part of the employees wages. How is it handled in a C-Corp. Client is adament that he should get the deduction and in past paid his corp RE developement fees to offset his medical expenses and zero his corp income.

KC, you are correct regarding Stamps.com or Endica and you can get this from the service I use also, Pitney Bowes Shipstream. With the Dymo and the free Endicia this is not available though. Have to purchase a plan with the Dymo. Downside to Shipstream is you can print postage but not plain old stamps! Anyone know a way to print stamps without a contract? USPS maybe? Joel

They probably couldn't use my current comments either. I don't think most magazines like publishing certain short words! Joel

First I must state the caveat. I HATE INTUIT!!!! That being said, I do like there Merchant Services and Billing Solutions. Been taking credit cards for years and only signed up with QB about 2 years ago. Monthly fee for the Merchant Account fee is $9.95 (special for accountants - everyone else I believe pays $19.95) and I think you may be able to get a better rate if you become a Quickbooks Advisor. Discount rate varies depending on how you get the credit card. If scanned it is cheaper at 2.44% and if keyed in or online it is 3.27%. TO scan you need to purchase a card reader. Although there are cheaper ones I purchased the one QB sells because I felt I would have fewer problems setting it up, but I forget the price ($80 to $100 I think). As for the Billing Solutions, this is a separate service, that I think is worth its weight in gold. At $19.95 per month, it lets me create PDF's of my bills and load them online, through the QuickBooks software. Once online, the bill is emailed (they see my email addy) to my clients, allowing me to keep and get paid by my clients when they move out of State and when I relocate in the near future. It also lets me limit appointments and be more electronic, something my clients seem to like. Once uploaded, the online system automatically sends billing reminders without my input. I have it set to remind every 2 weeks. My collections have improved with each service and an admin burden has been lightened. Couple of concerns: 1. QB has an email / PDF bug in the QB software and a lot of people are having trouble creating the PDFs.. I resolved a problem I had, through no help from Support. In my case there was a conflict with their PDF software and a Fax software on my PC called Faxtalk. 2. QB tech support sucks as it all untrained support in India and QB here does not always alert them to known issues. On the other hand Merchant Services and Billing Solutions support is good 3. Control of the online account is limited, and you can not see what your clients see online. Nor can you correct online errors. 4. You can set the online to be manual, but it works best when you set reminders automatically. That said, this could cause clients to get reminders you don't want them to and I have had to explain that I don't have much control. A minor inconvenience considering they pay quicker. Still all things considered and having used 4 or 5 different Merchant Services in the past, I think I made the right decision. Hope this helps. Joel