Tracy Lee

I have had several clients that have owed because of their PTC and it has seemed unreasonable. What am I missing? Has the IRS done something else stupid I'm unaware of in regards to the dreaded Marketplace Statements?

Not yet, I'm waiting for client to give me her P & L by the quarter to do the breakdown (if necessary). Checking the return shows the Form 2210 as an error that will not allow it to efile because there is no penalty right now. Hmmmm. Can I use Form 8275 or 8275-R as an explanation instead? Or is there another preparer explanation form available?

Client is realtor who makes the majority of her income 3rd and 4th quarter and also pays in the appropriate amount of estimated taxes for those quarters. She always over pays and always has a refund from federal and state. She does not chose to carry forward to the next year. Last year federal and state penalized her regardless and did not issue her all her refund amount. I would like to get ahead of this this year and put a statement in the tax return. Is there a place to do that other than the Form 2210 Part 2 Waiver of Penalty, and taking the time to figure out their quarterly AGI on the Schedule A1? It is a large return with a lot in it. And will the 2210 efile anyways if it shows 0 penalty because she has a refund coming?

So if she can't find any of this information, basis stands as it is on the depreciation schedule and she has to pay the large capital gains? I really 'picked her brain' and she was coming up with nothing. She's an elderly lady and I think her husband who passed away in 2020 took care of all that. There would be no other way to 'add' that extra basis?

Client sold her rental for $210,000.00, her purchase price was $110,000.00 in 2003. She also had $45,000.00 in improvements in 2010, she does not believe she ever expensed them out as repairs either. Her depreciation schedule shows basis as $24,420.00 and no improvements. She is positive that the land was not worth $85,580.00 (which also does not appear on the depreciation schedule). It is a single family dwelling. How do I go about increasing her basis and adding the improvements so she doesn't end up paying so much capital gain?

She won't get Earned Income Credit; you have to be between 25-65 to qualify for that, right?

I can't get the business name to show up on line 16, Sch 1 worksheet, even though I have imported my K1 from his corporation straight into his personal return. It won't let me take that deduction on that line. It wants to move it to my Schedule A. What do I need to do to get the business name to appear under Business 1 so the insurance amount will flow to line 16? I must be missing something?

Excellent. Thank you!

How do I set my ATX invoice so the template is the same for every client, so I do not have to keep selecting my options for each individual client?

I finally got through to ATX as well as finding the answer on the ATX support. I can file the 1040X straight from the original return; the only issue is that IRS has not opened that form up yet for efiling. Thanks for all the help, I'm going to wait until it opens and try again, because I really prefer to only have one client file.

I just added the 1040X to the existing file. I was trying to avoid calling ATX. I have already tried before and was on hold forever. I have efiled 1040X for 2019 without this problem in 2020 so I'm not sure why it's a problem this time, unless it has something to do with it being a new year? The 547 page ATX user guide is not helpful in this instance.

I need to file a 1040X for 2019 and I'm gettingan error that says "This e-file cannot be recreated while its status is 'Accepted'. How do I clear the accepted so I can efile the amendment?

Where do I format my invoicing choices to calculate in the program for every client, instead of having to do it each time for every client invoice? I had to adjust it last year, and thought when I did my rollover it would save my preferences but it did not, and I don't remember where I did it. This time I'm going to right it down.

ILLMAS is correct. I have worked in QB for 15 years and often have to backup and restore for clients.

Thank you

I have a client that has multiple personal mortgages and very high income and is subject to the limitation on his Schedule A. Does ATX have a Mortgage Limitation Worksheet? I can't find one. I did find the IRS Pub with the worksheet in it, but would rather work within the tax software if possible.

When I put his W2 box 1 income of $30,424.00 on line 4 of the Sch EIC worksheet that shows: 'Clergy: If you are a member of the clergy who files Schedule SE and the amount on line 2 of that schedule includes an amount that was also reported in 'Wages' on Form 1040, enter that amount...... It gave me my EIC. That seemed to be the missing piece of the puzzle for me. Does that seem right to you? I called ATX twice with no help!

Yes. I think I might have this figured out. Oh Vay!!! First thing I figured out is that all self employment income, including the housing allowance, is subject to the EIC rules, not just the wages earned.

Ok. Thanks, I have fixed that, but still need to figure out how to fill out the Sch EIC worksheet B and backout the housing allowance from the earned income amount listed on Part V line 6 so it calculates the EIC correctly.

I have a pastor who gets a W2 with $30,424.00 in box 1 for wages that flows to his Schedule C. Box 14 is $21,976.00 for his housing allowance (his own house). I have marked the W2 as clergy in special type (wages) and marked statutory employee in box 13 flowing to Sch C, so his line 1 on his 1040 shows 0 and he shows a profit on his Schedule C. His Sch SE shows the entire $ 52,400.00 because his housing allowance is subject to SE Tax, but not withholding tax. The problem is that he has 4 children and should be receiving some EIC but no where on the Sch EIC (1040) worksheet will it allow my to back out the $21,976.00 from his housing allowance so it EIC will calculate. The only way I seem to be able to get it to calculate EIC is to put $ -21,976.00 on line 1 of the EIC worksheet, and $21,976.00 on line 4. Line 8 calculates as $21,976.00 and line 10 calculates as $-43,952.00. Unfortunately this is putting $-43,952.00 on his Sch EIC Step 5, line 2 (Earned Income from worksheet), and trying to put anything on line 5 makes it calculate incorrectly as well. This doesn't feel right, so I called ATX support and the person helping me had no idea how to make this adjustment. Does anyone else have clergy and this situation? Where should I be making the housing allowance adjustment on the EIC worksheet?

I'm filing a return for a new client that has a part year in Oregon and California. I have to file a Form 8958 and claim both peoples incomes for California because it is a community property state, even though one of them has to file a separate federal tax return. Is there a simple way to do this in ATX or do I have to file one Federal Return for the wage earner and 2 separate California returns for the domestic partners claiming each others incomes? (frustrating because one partner only has social security that will be claimed while the other has W2 income.)

thank you!

Is there a way to preset the options in the billing invoice to always check mark the boxes to 'charge by the form, invoice, display' so I don't have to do this to every single tax return?

I found the duplicate last night and did that just like Rita suggested. That was very useful. I will probably go back and try the MFJ vrs MFS Form just to see how accurate it is. Thanks everyone!

Will ATX Max allow us to do a married filing jointly return then split it into married filing separately to compare what is best? I have husband living in Oregon and Wife living in California. Trying to figure out the best way to file for them. Combined income is $190,463.