Slippery Pencil

Are you an attorney?  What does the US part consist of?

If you're only handling the US part, what does it matter to you if there are foreign taxes?  Take the foreign tax credit if applicable.

How would a WI LLC limit his CR liability?  If you're not an attorney don't advise him on this.

FinCen 114 will be applicable if he has a CR bank account w/ more than $10k and possibly 8938 if it exceeds $50k.

3520 may come into play, but not if he buys it in his own name.  Same with 5471.

Depreciate over 30 years instead of 27.5.

Unless you're leaving out a bunch of info, this sounds simple.

good to go

On 4/1/2023 at 6:52 AM, kathyc2 said:

 saying I'm stupid

Suggesting you sarcastically tell a client, "because I stupidly felt sorry for you" is a far cry from calling anyone stupid.

There's no sarcasm to the my first comment.  Her two comments are contradictory.

While I wouldn't phrase it that way to the client, she needs to educate the client that the fee he is complaining about is already half of market value and she even discounted it further from that, so no, he can't do anything to lower her fee.  He's looking a gift horse in the mouth and that will end bad for both of them if she doesn't educate him.

On 3/30/2023 at 10:55 AM, kathyc2 said:

definitely less than the H&R's.   I don't aim to be the lowest cost,

Those two statements are contradictory.  If you think so little of yourself to charge less than HRB, you are definitely aiming to be the lowest cost.

6 hours ago, stop it said:

This never happened with ATX 2021 tax software.

Yes it did.  The crashes have been a program feature for a decade and the shit customer support for 20 years.

5 hours ago, Abby Normal said:

Don't update the firmware or drivers on your HP printers.

Horror stories abound on the internet of people being locked out of their printers by HP for using non HP ink.  People have reported HP updating any printer connected to the internet.  HP products aren't the workhorses they were 25 years ago.  Plenty of other good options available.  Buy something you don't have to play stupid games to use. 

I believe once the irs applies the overpayment, they won't change it.  You have to pay the balance on the amended return.

Avoid HP.  They were the standard 25 years ago but are worthless shit now a days.  HP will also try to shutdown your printer if you don't use their ridiculously overpriced oem toner & ink. 

Non-taxable and no 1099 issued.  Leave off return.

My one CO client didn't include a 1099 so I'm assuming she didn't receive one.  She did mention it in an email a month ago and she included it on her summary sheet.  She's good at giving me stuff, if she received a 1099 she'd have given it to me.

Was a 1099 issued?

If yes, do you believe the irs' right hand knows what it's left hand is doing?  If yes, leave it off the return.  If no, add as other income, deduct as other adjustment. 

Recent irs guidance states these payments are not taxable.  CO starts w/ federal taxable income.  Is there a CO add back for this?

12 hours ago, Catherine said:

Yes they should re-register in the new state, but until they do, they may well owe a partnership return to the old state. 

If they do or not, they definitely have a filing requirement in the new state since the business is now operating in the new state.  From the sound of your OP, they operated in both states in 2022.  Thus they have to file in both.

The FInCen website is a pain in the ass.  The return isn't complicated but the website makes it take three times longer than necessary.  Don't charge less than $200.

Insert Text or Insert Picture

4 hours ago, Lion EA said:

Have your client make his broker send you a spreadsheet to import.

Don't do this.  The 8949 has code m for this situation.  As many have stated above, have the lawyer back up his claim with a code section or reg.  He's trying to make you look bad to the partners, make him the one that looks bad. 

8 hours ago, Jim Oh Bkkr said:

I seem to remember that you used to have to attach a 1099 IF there was tax withheld, but even that stopped many years ago.

I believe paper filed federal returns are required to have documents with withholding attached.  Some states just have a schedule of withholding and no longer require the documents be attached.

Not a requirement.  He has no idea what he's talking about.  Decades ago preparers would attach the 1099 and put "see attached" on the Sch D instead of typing in dozens or hundreds of trades.  Since the 8949, that's not required.  Even before the 8949, I stopped attaching the 1099 and just posted summary totals on the Sch D.

Yes.

The city isn't required to issue a W2 for poll workers until the amount is $600.  There's also a bizarre rule that FICA doesn't have to be withheld if the pay is under a certain threshold.  I'm not sure how many cities actually follow the rules.  I think last year was the first time I saw a W2 instead of a 1099 for a poll worker.

46 minutes ago, BulldogTom said:

When did that change?   Last CPE course I took in early January still said you had to do the letter by Jan 15th.  

Final instructions for K-2 & K-3 were issued the last two weeks of December. 

https://www.irs.gov/instructions/i1065s23#en_US_2022_publink1000107247
3. Partner notification. With respect to a partnership that satisfies criteria 1 and 2, partners receive a notification from the partnership at the latest when the partnership furnishes the Schedule K-1 to the partner. The notice can be provided as an attachment to the Schedule K-1. The notification must state that partners will not receive Schedule K-3 from the partnership unless the partners request the schedule.

https://www.irs.gov/instructions/i1120s23#en_US_2022_publink1000102223
2. Shareholder notification. With respect to an S corporation that satisfies criterion 1, shareholders receive a notification from the S corporation at the latest when the S corporation furnishes the Schedule K-1 to the shareholder. The notice can be provided as an attachment to the Schedule K-1. The notification must state that shareholders will not receive Schedule K-3 from the S corporation unless the shareholders request the schedule.

Who was the CPE provider?

7 hours ago, Mitch said:

Also once they check the box it produces a footnote on the K-1. 

 

Does the footnote say anything more than, "You will not receive a K2"?

I don't think atx has a checkbox

It's been known almost from day one that the irs was going to issue guidance on these refunds.  Why would you file returns which include uncertainties when you know the uncertainty would be resolved in a week or two?  Then when the uncertainty is resolved in the manner opposite of the way you gambled, you complain about it. 

On 1/30/2023 at 8:50 PM, joanmcq said:

I took the credit in the year installed even though the electric company didn't hook it up until January.

This was discussed on the TaxTalk io group a couple years ago.  Pretty much everyone agreed the credit was taken after the system was hooked up and functional.

3 hours ago, M7047 said:

a really dumb move on their part and is wasting our time. 

ATX doesn't care.  They do something like this every year.  They never bring back the functionality they remove.