Catherine

I love the comparison. It's great for clients, and also great for ME in reviewing. If I see substantial differences year to year, I go back and make sure there is nothing crucial that I have missed (or the client has forgotten to provide me).

I must say, that applies to me also. Glad you got it to file!

My personal, strong, preference is always to take the refund, even if the client then takes the funds and sends them right back in an estimated payment. I like to keep the years separate. That way, any unforeseen circumstance (the IRS sends a cp2000 letter about a form you never got, for instance) does not instantaneously mess up TWO years' worth of returns. The first by the mis-match or other problem, the second by the funds you had counted on carrying forward NOT so doing - so now the rest of the year's estimated payments are mucked up. My business partner is learning this the hard way, with an elderly client who failed to give us some papers for 2017. The IRS took the carry-forward amount to apply to the prior year, and now this elderly lady is all confused about what *he* did wrong, that the rest of her estimated payments had to go up so much.

Drake has a place on the Dependents screen where you can check that the person is NOT a dependent, but rather a HOH (or other) qualifier. So they don't get used as a dependent but do get used to qualify for status or credits. I would think you would still be able to e-file that return. Now you have me confused about Drake!

Switch the names around, warn client that next year the service will probably pitch because they did NOT apply the estimates to her account. Fix it when that happens with a phone call (get a POA on file now, or have it ready to go when you call). If the service had any (recent) history of reading/responding to letters, I'd recommend sending a letter requesting the estimates be moved from his account to hers. But they don't; they just react to (many times completely avoidable) situations. They need to hire - and train - a LOT of people. You may also need to try a couple of times to get the e-file to go through, with the names switched.

We don't do enough of that; I'd call Drake and ask tech support.

Drake generally has docusign integration. I don't know about their payroll, as we don't use it.

There should be a way to force it to long-term; inherited assets are always considered long term.

Somewhere, somehow, there should be a basis step-up for half. Where it goes, though, depends on the trust document.

Keep in mind that AAA will also process Real ID driver's license renewals - at least for members. Doesn't help with the paper back-up issues, but the line was a LOT shorter there when I went!

It was a perfect-weather day. Everyone had a wonderful time. I danced myself into one blister, two hot-spots, and two very sore feet, and it was great. Gwen & Jay's dance was fabulous, and Gwen's dance with my husband went really well, too. As to the hair color - it gets better. All FOUR of the bride's attendants had blue in their hair. Fiona (my older daughter) dyed her hair to match her dress. With the extra dye, she put a "racing stripe" of blue in her friend Jess' hair (friends with both Gwen & Fiona since they were little), 'cuz Jess thought that was a cool idea. Lindsey always has a blue stripe in her hair. So Samantha, when she showed up for the rehearsal, felt left out - and Fiona took her off to buy buy hair extensions! They all matched their dresses. And three of the four had blue shoes (Sam's were clear). Thanks for all the good wishes; I will pass them along! I had to share with my family here. No pix of Doug & I yet; the one I posted I took. I'm sure to get one at some point and will post it then - probably as a response to this discussion thread.

Here is a photo from Gwen's wedding yesterday.

I thought we always had to report W2s by Jan 31st! Those verification codes were a royal PITA and I still missed a quarter of them. Good riddance!

This won't answer your specific question, and presupposes the client will both listen to you and act in time. You can have people take out the excess for the two years from the later year's contribution, and then re-characterize (letter to the custodian should do it) the excess from the earlier year to be a regular, non-excess contribution for the later year. Example: $50 overcontib for 2017 and $75 overcontrib for 2018. Take $125 out of 2018, letter to custodian saying $50 of contrib for 2017 was really for 2018. Poof! It's done.

Oh they might! We've seen questions from the IRS about claiming losses when we don't have the basis worksheet (only when someone else is doing the 1120-S). They want to know there is basis before they allow.

How about TEA!

Judy's right, as usual. Why do I even bother to respond?

Use $1,000 of costs towards credit, which is 50% of the costs. That leaves $1,000 of costs to use for deduction. You can also see if just using the deduction works better. Sometimes it's funny that way, and does give the client a better outcome. There may even be a sweet spot where $1,500 deduction and $500 towards credit ($250 credit) is best.

Judy's info is, as always, correct. Reduce the deduction by whatever was used to get the credit. In that regard, it's like education credits. You can take a deduction or a credit, but not both with the same funds. You can take both if you use different funds. In this case, by reducing the deduction amount by that $1,000 used towards the credit.

If he meets the qualifications (small enough employer), then there is an up to 50% credit on the fee for the first three years. Info here: Retirement plan startup cost credit - IRS

Thank you SO much!

Anyone here knowledgeable about sales tax nexus rules in New York state? Client with an online business is expanding and has concerns. I am clueless in this area. Please either respond here or send me a private message. Thanks!

Call them and ask?

Also helped by *amazing* tech support that gets you the answer to any question you have, fast.

The input in Drake is based more on the forms that we get from clients, than on the tax form format. So you'll get a W2 screen that looks like the W2s we get. Ditto for 1099-MISCs and 1098s, interest and dividends, can even consolidated forms. There is a Drake Tax Basics free webinar next week (after t he entities deadline) where they will go into all that - why don't you take a peek then? Drake Tax Basics (Webcast) - September 17, 2019 - 1:00 PM - 5:00 PM Eastern. This 4-hour online webcast introduces the basics of Drake Tax. Learn to install and set up Drake Tax, navigate data entry, prepare and e-file tax returns, use tools such as the Tax Planner, Client Status Manager, Update Manager, and more. Chat with Drake reps and earn up to 4 hours of CPE for attending. Click here to register. (the "here" is this link: https://training.drakesoftware.com/classroom-training/trainingclasses/?type=1&format=2 )