ajuroff

Did the client actually have unreimbursed partner expenses of $27,000? There is a thread on this a few pages back. There was a "work-a-round" for the unreimbursed partner expenses because it wasn't flowing to the Sch E correctly. That work-a-round was to set up a second Corp (on the K-1 input worksheet) with the same Fed ID number and showing the unreimbursed partner expenses. (as a negative) I did this for two individuals (partnership) and it worked great. Everything flowed correctly to the Sch E and SE.

I don't think we can, but want to make sure. Can we e-file a pt yr MI and/or a pt yr CT return? Also, I have dial-up internet (the perks of living in the country) and it takes forever to send even one page of the return as a PDF. (using the PDF within ATX) Does anyone have a quicker solution to this or am I just SOL? Thanks!

I don't know about an early night off. Well, tonight I'm closing at 5:00 to go to a viewing. What fun. And don't get me started about picking their stuff up. They all want it done "yesterday" then wait two weeks to come sign!

I have to say I've never had that situation before. But you seem to be putting it in correctly. If you right click on that particular line, you will get the instructions for the 1040 for line 21 - this is what I read - "Reimbursements or other amount received that were deducted in a previous year" So I believe you are correct.

I actually printed off what that person posted last year - it went like this..... Imagine drawing a house like you would have when you were 5 or 6 years old. The highest part is the roof - the building - highest number = 1250 Under that is the stuff in the building - furniture and equipment - next lowest number = 1245 The lowest part is the land it all sits on - lowest number = 1231 So it's what taxtrio said.....

Happy "day after" your Birthday JB! :)

Thanks KC - I believe I was just trying to over-think this. (making a mountain out of a mole hill...isn't that the saying?) Appreciate the response greatly! Amy

Not in Michigan anyway. I file Property Tax Credits and Home Heating Credits for clients all the time. No reason to file a federal return. Only the State Credit forms. And when you complete the Property Tax Credit, the result of the form is transfered to the Michigan 1040. So I would efile a "State Only" return. Now I'm efiling the Federal also, so they can qualify for the stimulus payment.

Ahhhh..I think I got it. So my 1040's I've sent through (with a piggyback state) are all ok. Thanks taxperson!

So, are you saying that all the 1040's that I've efiled thru showing SS and INT only, which are accepted, are really not accepted? What the heck do I do now?

These 1099-OID, REMIC's confuse me. (sorry for the delay in replying- this flu kicked my butt) Anyway. I have the "Beginning Position" on 1/1/07 - Quantity of 28,000.00. I have the breakdown of the Accrued Interest for each month. (1/1/07 - 1/24/07, Quantity - 28,000.00, Accrued Int - 47.56....1/25/07 - 2/24/07, Quantity - 28,000.00, Accrued Int. 59.13....etc) End of year 1099-B has breakdown of "Principal Payments" for each month. Price - 0.0000 Quantity - 28,000.00 Amount - $amount for each month (1/25/07 - 60.09 , 2/25/07 - 316.37 , 3/25/07 - 116.77 , etc.) Transaction Description - Principal Payment Could anyone shed a little light on this for me. Many thanks!

Donny - Are you talking about the "after season" incentive fee you could qualify for for doing RAL's and RAC's? Or is this something else I don't know about? I was getting the "during season" incentive fee for every RAL and RAC when I processed them. It was deposited with my fees. I use HSBC.

Income from REMIC - Principal Payments reported on 1099-B? Any help out there? I'm confused (and have had the flu for 4 days) :wacko:

Michigan return was efiled and accepted on March 5th. Client hasn't received direct deposit of refund. He called the 1-800 # for Michigan which states they haven't received the return. I called it too and got the same message. Michigan website says return is being processed and the estimated completion date for return is 3/18/08. I called support and they show the acknowledgement from Michigan that it was accepted. They think there is a debt code of "2" involved. Does anyone know where I could look up the debt codes for State? Is it the same as Federal?

It's a little after 10:00am and I've already had 6 phone calls regarding the letter everyone received about the rebate check. I can see what is going to be happening for the next few days.....

Look up example 7 on Page 29 of Pub 17. Then read Rule 9 on Page 236 of Pub 17.

My client came up with an amount for the acreage. AND they have someone putting an offer in on the house and remaining 5 acres. So, we are going to wait a bit to file the return. So am I correct that if they do sell the house in the next month, I can file the return with the 121 exclusion on the acreage? And would I need to put an explanation on next years return for the house and 5 acres with an explanation on the 121 exclusion? Thanks to everyone for your opinions! Much appreciated!

Not at all. Left side lists parcel number and Legal Description. Right said lists Assessed Value: $25,700 Equalization Factor: 1.00000 State Equalized Value: $25,700 1 mill equals $1.00 per $1000 of SEV....yada yada.... No breakdown by land and improvements. When we receive new assessments in the mail, it shows the change in SEV, Assessed and Taxable - the only reason I've ever noticed on mine were "to equalize".

My (or this clients) taxing authority does not show assessed values for land and improvements on the tax bills. The Equalized Value in '94 was 25,700, which I believe is roughly half of what could possibly be the sale value. (??) I believe this is before they used Taxable Value when basing taxes. The client did fax me a copy of the tax bill, the agreement for the sale of real estate as well as the appraisal from when she first purchased the house and 40 acres. Neither gives a clue as to the value of the land. Pub 523 states that the sale of vacant land is not a sale of your main home unless (#3) The sale of your home satisfies the requirements for exclusion and occurs within 2 years before or 2 years after the date of the sale of the vacant land. So, if the home does sell within 2 years after selling the land, this satisfies the requirement to exclude the sale of the land as well as the house. But, taxpayer would have to report the gain from the sale of the land first, pay the tax, then amend the return when (if) the house sells within 2 years. ughh..

I'm reading Pub 523 and it states: Vacant Land: The sale of vacant land is not a sale of your main home unless: *The vacant land is adjacent to land containing your home. *You owned and used the vacant land as part of your main home. *The sale of your home satisfies the requirements for exclusion and occurs within 2 years before or 2 years after the date of the sale of the vacant land, and *The other requirements for excluding gain from the sale of the vacant land have been satisfied. So far, all the requirements are met...but what if the home doesn't sell within 2 years after the date of the sale of the land? Still not sure how to come up with a cost basis on the acreage itself.

Client purchased home and 40 acres in 1994 for $65,000. In 2007, client did a land split and sold off 35 acres for $157,500. The remaining 5 acres and home are still on the market. My problem, client has no idea on value of acres when purchased originally with home. Any idea how I can (or client) come up with a cost per acre amount for the original purchase?

I just posted that it wasn't working but THEN I found out what I was doing wrong. Geez....I get irritated with myself when I do things like that. haha Thanks for your help! Much appreciated!

I'm glad I found this. I was JUST having this problem and came on the board to search if anyone else had this problem, and - here ya go. But I still have a question - what about Section 179 expense deduction? Do you put that under the "unreimbursed expenses" partnership on line 12 and also include that amount (as a negative) with the amount on line 1 of the "unreimbursed expenses" partnership? This would carry it to Sch. E page 2 and enter it on line B{i} ,along with the UPE {h} and subtract it from Partnership #1 income. Is this correct?

Hi Linda- Yes, the Sch. NR does separate out the WI and MI income, but the exclusion from the home sale is still carrying over to the 1040CR. I did the "override" and took out the sale of the home on the 1040CR. Thanks for your response!

Clients are part year residents of WI (until June 07) and part year MI residents (July - Dec 07) They sold their home in WI and moved to MI where they purchased a new home. I am trying to figure the MI 1040CR and am wondering.... Line 16 - must include gains realized on the sale of residence regardless of age or whether or not these gains are exempt from federal income tax. Clients took the Section 121 exclusion on the sale of the home in WI. Does this excluded gain need to be included on the Michigan credit form? I was thinking no - they sold the home and moved to Michigan. Exclusion amount is automatically included on the 1040CR. Do I just override to remove this? Or am I not thinking correctly?