miatax

These are old assets that the client still uses that have been fully depreciated for years. Now I need to add them to the 4562? I never did this in prior years and the system never gave me a warning about it... The only item that shows up on the asset detail is the addition of the copy machine in 2007 but that rolled over fine.

I'm getting these warnings for assets / a/d accounts when I do the error check... Warning - Schedule L does not equal 4562 ??? Client did NOT add any assets in 2008. There was only a SEC 179 deduction in 2007. My forms are current as far as updates. Why? Do I just ignore?

Thanks Lion! He'll definitely go for the max. Only thing is that he wrote the amount based on our year end estimates back in January instead of the whole amount by mistake.... thanks.

I've had this on hold, but I think I will tell my client to write another check to the plan for the $87.12. Let me know what anyone thinks... ???

Quick and easy question re: PSP Payment for 2008 Salaries = $165,871.19 Client paid the estimated amount of $16,500 (10%) back in January. Do I recommend to write a check to the plan for $87.12 or is it acceptable the way it is and report the $16,500 on the 1120 and the 5500 (obviously the same figure will be on both returns). Thanks.

Thank you to everyone. It's the same property so I'm filling out the info on the 982. I just hope I can efile with no basis on 10b.

Both dates on the 1099a (date of lender's acquisition or knowledge of abandonement) and 1099c (date canceled) are 10/02/08. Based on your responses, now I'm actually more confused....how should I report then?

Hi: I received from a client a 1099a and 1099c for a foreclosed property with the following information: 1099C box 2 = $49,722 (Amt of debt canceled) 1099C box 7 = $84,000 (FMV) 1099A box 2 = $111,921 (Balance of principal o/s) 1099A box 4 = $84,000 (FMV) 1099A box 5 checked YES (personally liable) 2 Questions: It's too late and I don't think I'm thinking straight, but why would the amount of debt canceled not be equal to the balance of principal o/s less the fmv of the property? ..if this amount is less, why wouldn't the 1099c reflect this amount? Also, on form 982, since I have box 1e checked, atx won't let me create the E-File unless I fill in box 10b. What figure do I put here if IRS states that if person did not keep the property after abandonement, this is not applicable? Thanks!

I should know this off the top of my head, but with my other jobs I can't recall now... I have a client who may sell his share in a privately owned US corporation with 3 shareholders (1 of which is him and he receives salary for daily operations) to a company in the U.K. How is he taxed when he sells his share? Cap gains or ord income rates? What are the rates for 2008? (I am not sure since he also works for the company he may sell). Thank you.

Thank you guys!!!

Old Jack: Issue 1: 2005 YEAR: Now that I know he is in time for the refund for 2005 for which he did not have to file a return, does he file a regular 1040 or does he need to file something in addition to this? Will he be penalized for filing late EVEN if he was NOT required to file for 2005 and the sole reason for filing is to get back his wittholding? Does he still qualify for the EIC due to late filing of the return? Issue2: 2007 YEAR: He has a filing requirement but he just didn't file on time. For 2007 the facts are as stated before your post above. What are the penalties for filing today - 1 week after the deadline for filing considering he is getting a refund. Monica

Thanks! Also, what are the late fees if filing 1 week late for the following: 2007 Tax due = $1850 2007 Tax Witheld = $2700 Refund = $850 Also, for the request of refund for 2005, do I need to prepare a regular 1040 with an additional form? Thx..

Thank you Eric! I don't frequent the board too often, but when I need answers I do come here looking for help. I just made a donation. Thank you for a great job on putting this forum together. I really felt left in the cold when ATX abandoned the idea. Monica

Hi everyone! I have a quick question: An employee of a friend of mine made $1,350 in 2005 - never filed a tax return because he didn't need to. Employer withheld $135. Will he be penalized if he files a return now for 2005 to get that money back? Also, is it possible to claim the EIC as well? Let me know. Thanks! Monica

Also, please let me know exactly what 'points' covers if its not directly stated on 2nd page... Is this all settlement charges? What does it or doesn't it include? I've seen this deducted as a misc 2% itemized deduction in the past on other returns,but I don't think that was correct at all. Also, if part of the total was tagged on to the financing what part is deductible if a part was actually paid in 2007. Monica

I don't see anything on the hud statement except intangible tax paid on mortgage. Dumb question, but I guess is this deductible as another tax on schedule A?

I do see intangible tax - mortgage $290.. could this be deducted? What part do I considered paid or added on to the mortgage?

No prior re-fi.. The only thing I see on page 2 is interest from 11/27/07 to 12/01/07 was $87.40. Total settlement charges were $8,634 of which $1,938 was to be paid by my client less $362.50 that was a refund for 'loan discount' from the new lender. So, net my client had to pay $1,575. I don't think any of the settlement charges that are clearly stated line items from the closing statement are deductible but let me know if I am missing something. Thanks for the feedback.

Hi Everone! I am here trying to finish up too... I still have a few more to go and some extensions... I don't do many returns though, and for the 1st time I got a client who refinanced his mortgage 11/21/07 with new bank. I only have 1098 from old bank and the HUD closing statement for the refi. Is there anything that is deductible on Schedule A from the refi statement? Let me know. Client has not given me anything from new lender. Thanks. Monica

Hi: Finally, all my efiles came back accepted except for 1. 2007 was this compay's first year. The initial IRS rejection code dated 3/15/08 was control name must match database. So I put the first four letter of the company name under the 'control' area of the 7004 data section and resubmitted. Again - rejection code posted 3/18/08 with same reason. I called client and he responded within a few days with a pdf file and the name that IRS has IS wrong by one letter. So immediately, I re-submitted with incorrect name 03/24/08 and yesterday I got a rejection from IRS stating that it was past the due date. Do you think I can resolve if I call IRS directly? The company doesn't even have any activity in 2007 - only $50 in bank and common stock. Let me know your thoughts.. thank you. Monica

Yes.. If rejected by IRS, then we do have a few days to refile. Also, I got back my acknowledgements today.. finally!

MJG - Did they mean rejected by IRS or rejected by EFC?

Anyway, Let's wish for the best. I've kept records of who I spoke with also. Can't wait until we see 'Accepted' status, right?

It's very frustrating. They better be right! If not, I don't want my clients to be hit with a penalty for not filing an extension on time. Is ATX going to pay for OUR time to fight late extensions? uggghhh!

Hi Everyone, I've efiled my corporate extension on Saturday. Today is Monday and I still have not received an acknowledgment from IRS. I just got back from my other job now but it's too late to go to the post office now just in case. I spoke with ATX this morning before leaving for my other job, and they said it was fine. If it came back rejected, then I would have 5 days to re-create and re-send. I HOPE IT WILL BE FINE. Has anyone else been through this last year? This is the first time this happened to me. Monica