rick in cal

I agree that the $8,500 is just a reflection of FMV and not deductable and that a $30,000 or $38,500 reduction in value couldn't have happened over 3 mo. but in this market the property's value could have easily fallen 12 to 16% over a years time or 3 to 4% over 3 mos. This would compute to a $6,000 to $8,000 loss (hypothetical). I would have your client speak to the appraiser and ask how he arrived at his property value number and also get some second opinions from real estate brokers using comparative sales in July and October to see if you can document a more realistic loss. If you get a few professionals to arrive at a similar reduction in FMV I would advise your client that it is a deductable loss that could be challanged.

The worst part of it all is CCH knows the support WE PAY FOR is ridiculously lacking and they have no intention of fixing the problem. They have taken an excellent software (ATX) and turned it into a mediocre investment with greed and higher profits as their motive. Other than the ATX tax program I make it a point to buy nothing from the parent company I can buy from someone else no matter what the price. If we do that and they feel their profits are being affected they would improve their support by adding additional staff. Not because they care one iota about their customers but because they care about their customers' wallets!

Thanks Julie,The 2553 form was not required but the program kept insisting it was and opening it. The second time I closed and reopened the program it fixed itself. Too bad because I was soooo looking forward to dealing with support on Tuesday morning.

I'm having trouble efiling an scorp. It says form 2553 must be attached and to get it from the E-FILE menu and select Attachment for 1120/990/1065. I have a 2553 opened and filed out and I've tried deleting it and starting over but the program still doesn't recognize it. I also don't see any attachment in the E-FILE menu.

I understand the concept of different zip codes for different entities and whether you have a refund or amt due and I use preprinted labels accordingly BUT the FTB gives a zip ending in 0009 on the 540 for amt due and a zip code ending in 0008 on the 3582 form for that same amt due. No worries, I don't think they'll return a check no matter what zip you use.

Has anyone noticed that the zip code on form 3582 is different than the one called for on form 540.

Over the years I've learned to avoid calling support and using the board whenever I can. Yesterday (Friday)I had a problem where I thought I would need support and had similar problems as Eli. Forty minutes in someone picked up and told me he wasn't from support and he didn't know how my call got routed to him but he would put me directly through to support. Fortyfive minutes later I finally had someone answer. We spent another ninety minutes on the phone and couldn't fix the problem. We finshed with the tech saying he would have someone at a higher level get back to me. The problem is this; I loaded 2008 and 2009 into a new computer. When I started opening returns I noticed the payer information did not get transferred with the returns. When I select quick entry select payer while filling out w-2s the list is very small. I can solve this by opening every return then opening the w-2 tab and closing each return. This will take a long time,(500)returns. Has anyone encountered this and fixed it? It also seems that once I increase the list of payers in 2008, only some of them roll over to 2009. I had no problem with rollovers on the computer I use the most but the computer I'm having trouble with is where I will be having someone do a lot of the data entry next week.

I started getting CA acks last night. I received 2 out of 12 filed.

Jainen, The clients' return was filed using the forms that were current at the time of filing >>up-to-date-forms<<. The IRS are saying we have to use the new version of the form and refile but there is no new version. Common sense would seem to dictate that you don't retire a form without having its replacement available for filing.

I have a married couple who just called me saying the IRS refused their 1040x because it was filed on the outdated form. They told them they would no longer accept the 1040x or the 5405 with the OBM No. 1545-0074. When my client asked for a copy of the new form they were told it isn't ready yet. I'm waiting for them to mail me the IRS letter but I went to the IRS website and couldn't find the forms with the most current OBM no which ends in 0091. As far as I can tell their forms were filed correctly and the IRS is stalling their refund with no basis for doing so.

Jainen,It is best explained by The Tax Book (small business edition) pg 19-7.It's for allocating income only and you actually file it all on one return. This scorp will meet all the requirements. You can also find it in Quick Books Small Business pg D-5.

An scorp has three stock holders.The two major stock holders are going to buy out the third stock holder (20% owner). this will take place in Jan. or Feb. and the scorp will elect to file a return as two short years. All parties agree that the ordinary income reported and paid to the selling stock holder in this manner will more than compensate him for his stock. His stock has no basis and he will be paid a nominal amt. for his stock to make things simple. This is something I rarely deal with and would appreciate any opinions or criticisms. I will make sure the stock is transferred properly and all the corporate officers sign off where needed and may even suggest they use an attorney if it seems too complicated.

Or oct 15th 2013 after they file for an extension and drop everything off to me on the 14th.

That's the way I see it too. I have a few clients that will probably be able to take advantage of this new law and it seemed to be too easy. I can't remember another tax year where tax planning was so important especially with the inheritance tax debacle congress created for one year. One minor correction that might have been a typo. The tax payer wouldn't pay taxes on the racharacterization until the 2011 and 2012 tax year.....strange.

Thank you all for the replies. I was trying to eliminate something I found mildly annoying. I already do what Genein Alabama mentioned. I have about ten files with a z in front of them and I wanted to delete them. MCB, I had my daughter efile about 30 extensions on one pc and then moved them to my computer to do the returns over the next few months. When I tried to take the completed returns back to the first pc the program wouldn't let me do a batch import. No big deal I was just trying to save some time.

I do my returns on two different computers and transfer the completed returns to the computer that wasn't used. My problem is I efiled a number of extensions on one computer and completed the returns on the other computer. My problem is when I try to delete the incomplete returns the program won't allow me saying those returns have efile status.Is there a way to override the program and delete the returns.

I have a few clients who belong to a large union that is going to allow them to cash out of their 401K accounts. I have encouraged the first one that called me not to cash out because of the tax and penalties but since he is not happy with their performance I told him he could roll it into a traditional IRA and have control over how the money is invested. Looking at the new rules for 2010 does anyone see a reason why he couldn't then move some or all of his money into a roth IRA and take advantage of the new law allowing him to pay the taxes in 2011 and 2012. Since we actually don't have to do this in two steps anymore can he move his money from his 401K directly into a roth and take advantage of the new law.

Thank You all for the birthday greetings

I am a licensed tax preparer but only do mainly basic returns. My dad, Rick, has asked me to help him because he is too weak from surgury to complete this himself. His client inherited a house from her mother and turned it into a rental. The rental didn't work out and now she has 2 years of losses on form 8582. I can't get the program to tell me where the losses go. This past year she sold the house at a huge loss. There is some depreciation to recapture and I don't know how to get it on the forms right.

Terry, someone (Erin) will be calling you soon. I have been looking at TRX and may switch over but I prepare about 20 corps and 20 1099's which I efile. TRX doesn't offer business efiling for $299 you have to buy the $699 package. That's $10 an efile or $20 an efile if I simply mail the 1099's. Does anyone know a way to email 15 or 20 business returns for less. Is there some entity that just efiles returns for a fee.

Tom, from what I read the repayment of the $7500 is going to be forgiven in the new package going through Congress. I'd advise him to take the full amount. Tom, if you want to ask him if he would send the payments directly to me. I decided to remodel my office and I'm trying to raise about 1 1/2 million to get started.

Thanks KC but when I went to My ATX Saturday I couldn't get in. I avoid My ATX if I can help it because I've had that problem in the past. This morning I called sales and got the codes and will install them later this morning.

I took the test with complete confidence and scored 100%. The correct answer to each question is E!

I received my 2008 cd today, Friday. It came with the fulfillment confirmation slip but the installation code is missing with no explanation why. They did take the time to fill the envelope with plenty of advertisements. When I reordered this year I opted for a new option of having them bill my credit card for three payments. This was an option they added (due to their inferior servce and support last year) to intice the many customers that were not reordering their software. This summer they sent me some kind of letter saying I had a payment due NOW even though I was on an automatic withdrawal agreement, go figure. Monday I will call and listen to a salesperson read from a script on how much their service is going to improve this year and see if I can get the code over the phone. Looks like more of the same, very good ATX software, Very poor CCH customer service. I make it a point to go elsewhere for any products such as office supplies, education, total office or whatever! Perhaps someday they will fire the numbskulls in charge of customer service and hire someone who can grasp the concept that good customer service can be profitable.