kcjenkins

On the settlement sheet it says " 3 1/1% Sales price to FTB "

If there is a balance due, I would go ahead and release the hold and file it. If a refund, then wait.

I sure do miss Peggy Sue and Jerome!

Actually, the deadline for filing 2007 and getting a refund was Friday, the 15th!

Clearly you made a mistake somewhere. Go back and look for transposed numbers, or duplicated expenses. Maybe you put Supplies on page 1 AND page two? Or else you just forgot to raise your fees enough last year!!! :spaz:

Thanks, Tom and Jainen. No 593 received, at least the client does not think so. Do I have to have that form from them, or can I just go forward 'as if' I had it?

It's not too late for her to do it right, if you prepare a Sch H for her, with a W-2 to the employee. That is the correct way, not a 1099, the employee was not self-employed, she was a household employee. And the Sch H is how you deal with it and avoid penalties.

No, to efile you have to go into the specific return to create it's own efile and DCN. You can use the mass extension part to get the 4686s into the returns, then cancel the printing, and then create each efile.

Since the tax code has long permitted the ministry to opt out ON CHURCH INCOME ONLY, it is not a violation of the principle of not accepting payments from SSA for THOSE EARNINGS for her to accept SS on other income, since she had no choice but to contribute on those wages. What would be wrong would be to try to now include church wages as SS covered wages.

Why not just set her up with estimated payments? Seems you are trying to make this too hard.

Well, lets be practical here. He lived in MO, took a temp job in KS, came back to MO. Then, took a temp job in TX. And then moved back to MO. Now, just because TX has no state income tax, he wants to claim that he was a TX resident? How real was that? Did he tag his car in TX? Did he change his voter registration? Join a church, or other organizations? What actions, in other words, did he actively take to establish Residence in TX? Did he move his entire home? When he moved back to MO, did he move to a new place, or back to the same place? I think you are going to have a very hard time convincing MO that he die, in truth, move his residence to TX. The facts as stated sure do not sound like it to me, and I am on his side.

1) NO 2) Yes

I would not amend when there is no change, you will just confuse them.

Any 'supplies' or 'repairs' that could be inventoried or depreciated rather than written off?

Assuming he took it in Jan because he was disabled and not working, yes, he can use the exception. It normally takes some time to get it 'official', so if he got that in Aug he was probably disabled before the end of 2009. I know it took 11 months for my husband, although the doctors had stated it even before that. He had his handicap tags for the car over a year before the 'official' ruling by SSA. Of course, if he took it out to buy a speedboat in Jan, while still working, and then got hit by a bus and disabled in March, that's a different situation. :dunno:

Tom, I have not gotten your email. Checked my business account, my personal account, and no sign of it. Could you PM it to me, or else resend it, and tell me which account to look for it? I sent you the same message as a Private Message, did you get that? Look at the top of the page, and if you see a number by your Avatar in the right hand top corner, that means you have a PM and you can click on it to read it, and answer it there.

I hope you are not taking any §179 this year. And I would look at whether there are any expenses you could capitalize and spread out, as they would be better off with less expenses this year? More income would be more EIC.

I have a client who started renting his CA house after he moved out of state. Now he has finally sold it, and there is CA sales tax on the settlement sheet of $7666. How is that reported on the CA return? Is it just a closing cost, or is it similar to withholding taxes?

Yes, if she qualifies for the long-time resident rule, she is good to go.

I disagree. While it might be enough 'for him' to avoid a penalty, it would not be enough for a tax professional, unless that tax pro had asked the question himself. Because we all know the main reason so many people get wrong answers from the IRS is that they do not know how to ask the right question in the first place. If you know the answer is wrong, then "relying on it because the client said that the IRS said...." is just not good enough. I'd be ashamed to even offer such a defense, personally.

Sounds like you don't need any extra, you already know the answers. If you did not, then you would ask now, but since you know these clients, ignore that message and move on. It's just a reminder.

Some you can help, some you never can. They will gripe each year, but will not change what they are doing so that they change the result. I print out the 1040-ES, if they do not mail them in that is on their head, not mine. I must admit, I have from time to time prepared a new W-4 for a client and advised them to turn it in at work, without fully explaining that it would make their paycheck go down. It even worked for a couple of them. Other's changed it back once they learned their check went down. But hey, it is their choice. I just don't let them waste my time griping to me if they have turned down my advice.

It's not specifically mentioned anywhere, so I am not 'advising' this, just sharing experience. I had a client in that same situation several years ago, who came to me after the divorce and asked me about amending the prior years, bacause on reason for the divorce was finding out about some illegal income the husband had concealed from her. While there was no way she could get him to sign anything, she was worried about not reporting it, for a year they had filed jointly. We ended up preparing a 1040X, reporting the amount she knew about, explaining in detail the why and how of her learning about this, and that she had no way of knowing if that was all of it. We included an Innocent Spouse form for her, as well. Showing that she was not responsible for any more than what she had already paid. She had, in fact, paid almost all of the joint liability on the original return, a good bit more than she would have owed on just her share. She signed it, put "Refused to sign" in the box for his signature, and sent it off. She said at least that way she could sleep again without waking from a nightmare of the IRS breaking down her door. She got a letter from the IRS saying that they would look into it, and she never heard anything more from them. But she 'heard through the grapevine' that the ex got audited and hit with a major tax bill. No way to confirm that, although I hope it was true.

Here is the most current on the KB, which probably did not change for this year. ID: 29552 Tax Year: 2009 Product: TaxPrep ATX System requirements for 2009 software To run ATX software on your computer, it must meet the Minimum System Requirements listed below. To make the most of your ATX software, your computer must meet the System Requirements for Optimal Performance listed below. Recommended System Requirements For professional results, we recommend the following for most 2009 ATX products: Microsoft Windows XP (SP2 or higher, 32-bit or 64-bit*) or Windows Vista (SP2 or higher, 32-bit or 64-bit*) 2.0 GigaHertz (GHz) processor or higher 2 gigabyte (GB) or more of RAM 32-speed or higher CD-ROM Drive Super VGA 1024 x 768, High Color/16 Bit display or better Microsoft Internet Explorer 6.0 or higher A high-speed Internet connection (DSL, cable modem, or T1/T3) An e-mail account that supports file attachments A file backup system (backup tape, removable hard drive, CD-R, DVD-R, or similar) A laser printer *The Practical Tax Expert CD, included with the Total Tax Office and Total Tax & Accounting Office packages, requires a 32-bit operating system. Minimum System Requirements The minimum system requirements for 2009 ATX products are: Windows XP (SP2 or higher) 800 megahertz (MHz) processor or higher 512 megabytes (MB) or more of RAM 8-speed or higher CD-ROM Drive Super VGA 800 x 600, High Color/16 Bit display Microsoft Internet Explorer 6.0 (SP1 or higher) A laser printer is required for printing W-2 and 1099 forms Internet access is required for downloading online product updates, including Client Write-up, Trial Balance, Payroll, Scan&Fill and Document Manager. Notes: The hard disk space required for software installation will vary, depending on which options are chosen at the initial install. Ink jet printers can be used for most programs, but they may print slowly. ATX Scan&Fill™ will work with most TWAIN-compatible scanners but for optimal efficiency we recommend a scanner with an automatic document feeder. Tax Year 2008 programs require a 32-bit operating system. The following products are compatible with Windows 7: ATX Desktop Tax Software IntelliForms ATX Fixed Asset Manager ATX Scan&Fill ATX Document Manager TaxScripts Client Write-Up Suite* * Version 9.5 or later. Users of version 9.0 who need a Windows-7-compatible version can call Customer Support to receive an updated CD. The following products have unique system requirements: Practical Tax Expert CD - Requires a 32-bit operating system. TaxScripts - Compatible with 64-bit Vista, but not 32-bit Vista at this time. Requirements for Network Installations A minimum of 850 MB of storage space 100BaseT network adapter card on each computer 100BaseT network connections between all computers and the network hub, router, or switch Note: 10BaseT connections are not recommended, as slow file-transfer rates can result in database errors. Printer Recommendations ATX recommends that you use a laser printer with a minimum of 4 MB of RAM. Ink-jet and bubble-jet printers also work with all ATX programs. Copy A of Forms 1099 and W-2 must be printed on a laser printer, per IRS specifications. Last Modified on 07/21/2010 10:31:25 AM

The program automatically creates that 'ghost' form, but does not assign it the DCN because it does not actually go in unless there is a tax owed on the extension, and then it DOES assign a number, and the form will print.