NECPA in NEBRASKA

A friend's daughter is getting divorced. They are using a mediator at this point, but I think that that will change. I told her that she needs to get someone more experienced than me to help her out. My question is, her husband and family own several closely held companies. He wants to give her a corporation with about $110,000 and a car in it. It won't do business anymore. Will the money become income to her when she pulls it out and not a non-taxable property settlement. It looks to me like she would receive whatever his basis is to determine gain or loss. Thanks! Bonnie

My client was a delegate to a non profit convention and was reimbursed for expenses with additional payment of about $500 for some reason. It was all reported on a 1099 MISC in box 7. He doesn't work for the company. He is retired. I don't think that this should be subject to S/E tax as it's not a business for him, but I want to deduct his travel expenses from the 1099. I'd like to report it as other income, but then I can't deduct his expenses. Does anyone have any ideas on how to save him S/E taxes? Thanks! Bonnie

I logged in and all that I can see is my name and address. If I go to the Electonic Filing tab, I can see my EFIN. Where did you see your clients info? I guess I'm not too concerned about privacy, because they are owned by the same company. If they were giving this info to someone that is not related to CCH, then I would have a huge problem.

Congratulations! I had dial-up or several years and was in heaven when I got cable internet.

My sister has an incredibly homely baby doll that looks like JB's icon. It can crawl and giggle and always scared my son.

You were supposed to send in the 8453, not the client.

Thanks to both of you. I'm waiting to hear back from the clients. I should've just looked in the handbook, but I'm still not thinking clearly. Next year, I'm changing my deadlines with NO exceptions so that I am not in such a basket case by the 15th.

I just received a reject because either the ex or the daughter claimed the dependent . They have already sent in their $20,??? payment with the voucher. If I have them paper file, will it be considered late, because I didn't have an extension? They don't live in town, so it will take me at least a day to get them another return. I have another reject to do for the very same reason. I was afraid the the son had claimed himself, because he moved out in 08 and probably didn't talk to his dad before he filed his return. I'm not concerned about it, because it's a refund either way. Thanks! Bonnie

I finally finished tonight at 9:45. This was the most brutal season ever for me. It was even worse than last year when my husband had a virus attack his heart and my mom had cancer. Next year I have to move my deadlines earlier in March so that I am not this destroyed. I'm taking tomorrow off and then back for payroll taxes, property taxes and at least 50 extensions. Thanks to everyone for all of their support. Bonnie

Everything is rejecting this AM. Is it just me?

Update your program. They are good to go.

I'm having the same problem.

I finally got mine through. The server must be working again.

I just received an aceptance last night for one that I had sent a couple of weeks ago. I assumed that it was acepted before, but the IRS E-mails the acceptance or something different to ATX and then ATX has to manually pull out the acceptances. Hopefully, you will receive your's soon. Bonnie

It's on the top of the ATX home page.

I use it on mine.

Lbb, That's what I was going to tell him. If that doesn't stop him, nothing will. JB, maybe you should try Nair or something else first. My son just shaved his legs and arms for the state swim meet. It didn't grow back too fast. Bonnie

JB, Congratulations! I am very happy for you. Have fun in Florida. Bonnie

I had a MO clear one day after the federal was accepted. I did see a message on the ATX website that if you are missing ACKs to sync your computer with ATX and see if they show up. Bonnie

Thank you, Lloyd. I see that it doesn't include LLC ownership by spouses. Rats!

I have seen a few postings on another forum that the IRS has now come out and said that husband and wife owned LLC's can not be filed on Schedule C's. If this is true, I need to change my game plan on some returns. I haven't seen this anywhere but on taxtalk. A couple of the seminars that I attended last year were promoting that we could do this. I guess the IRS changed their minds again. Has anyone else heard about this? Thanks! Bonnie

Spouse of carpet layer, Sch C, just came to pick up their return to take to the lawyer that is working on an offer in compomise for many years of back taxes. She says "things will be different next year, because they made him an LLC." I said that not's a problem, he will still be a schedule C with some liabilty protection. " Oh no! They said that he won't have to pay self employment tax anymore" So I sent her to find out if they set him up to be taxed as a corporation. I explained to her a few highlights of the changes that would have to be made to their bookkeeping, office in the home, vehicles in personal names, not to mention needing officer's payroll, because they have a very hefty profit. She was floored. They didn't explain anything to them, just told him to sign the papers and pay them for the LLC papers. Better quit my griping and get back to work. Bonnie

Jainen, I reminded them about that already. I also told them that I had a hard time imagining that they would remember to always write a note with interest every time, if they were going to use it as a sweep account. Obviously, the prospective lender made it look easy to them.

Thanks, Taxbilly. I've looked at a bunch of these websites. (Like I have nothing better to do). The client will be surprised when he gets a bill. I've only been able to find a couple of places that weren't trying to sell them.

Does anyone have any experience with these new loans? Client is asking me about the advisability of refinancing their home acquisition mortgage with one of these new lines of credit. I told them that I will only advise them on the tax aspect, because I am not a financial planner. I have looked at many of the websites, and it may be an advantage to them, because they are dedicated and probably will pay down their loan faster than normal. What is really bothering me, is that the mortgage lender, is telling them that they can use this account as a sweep account and put monies from their two S Corps, into it and take it out as needed. They told them that they could do this as long as they wrote notes from the corps to them personally every time. This doesn't sound like a very good idea to me. I can't find any place on any of these mortgage websites, advising people to commingle personal and corporate money. I am worried that this will affect the deductibility of the mortgage interest. It will still be a mortgage on their personal home, but they could essentially be paying it down with corporate monies. I'd appreciate any thoughts, especially from anyone who has dealt with these loans. Bonnie