schirallicpa

The hair on my neck stands out when I see him. I hope wherever he ran to keeps him and he never comes back!

http://www.cnbcprime.com/american-greed/ Watch this show this Thursday. I'm sure many of have seen this story over the last few years. He sued Mark Zuckerberg for 1/2 of the value of Facebook, claiming that he had an interest in it. He was charged for filing a fraudulent suit, and was supposed to return to court. During that time, he was to wear a tracking device. He lived here in Wellsville, NY where I work. He had hooked up a bunch of contraptions in his house to move the tracking device around, and he had lights turning on and off on timers. And he and his wife and kids left the area. Everyone thinks he is in Ireland, where his grandparents had been from. Many years ago when I first hung my shingle here, he came into the office and proceeded to tell me how he owned a satellite photography type business to take pictures of intersections for insurance companies, how he owned some other social website business (and he may have been talking about facebook then, but no one had heard of it yet) and how he owned our local movie theater. Then he proceeded to ask me to help him protest paying tax, and how tax was voluntary, and that whole thing. I told him that I was not interested in helping him. He then proceeded to make fun of my small office and berate my business and abilities. I then had asked another client what he knew about him and he told me about how his parents had scammed a bunch of people in town and filed bankruptcy and went to Ireland. To my knowledge he never owned the local movie theater, and I don't know anything about his photography business or his social website business. We never got to any business after he told me his intend of not paying tax. About 5 years ago, he was in the business of wood pellets. He "pre-sold" wood pellets to a number of people in Wellsville area for the tune of $200,000, and then never made good on delivery. Then Attorney General Andrew Cuomo charged him. http://www.businessinsider.com/paul-ceglia-allegany-pellets-sued-2010-7 I'll be interested in what else American Greed turned up on him.

ok - I am piecing together info from her, and it sounds like JKLCPA you're right on the money. Apparently she was offered a rollover, and didn't know what that meant so just had them cut the check. thankfully, she had not cashed the check, and we might be able to send it back and have them do a direct. Sometimes half the job is the detective work...........

It says on the attachment to the check "profit sharing plan"

I have a client who's father passed away. She was named on his annuity. She received a check this week for 95000 after they withheld 25000. So taxable amount will be 120000. They went to see our local podunk "financial asset manager" and she told them that they should send the check back to the issuer, and have the issuer move the money (rollover) directly into some investment account so that they could avoid tax. Now - I know I'm just the local podunk "tax person" in town, but since when can you avoid tax when you inherit a taxable annuity? Am I missing something?

I have a 2 person operation, and we prepare returns on stand alone pc's. I have security thru my internet provider, and thru my McAfee programs. What else do people on this forum use?

Love it. Thank you!

I just had a client ask me the same question, and I want them to buy the assets, not the stock for the same reasons listed here. I had a business buy stock one time, and in that case there were very few assets, but the name of the business was what they were buying. I did not advise in that situation, so never entirely convinced that the buyer did the right thing. Most of the time, buyer wants assets, not stock.

Ok - I have said this before. This is a year for unique situations for me. I have a client that has owned business real estate for several years. This building has been depreciated over about 14 years now. She gave the building to her sister. Now I am doing the tax return. Sch C. How do I take these assets off the return? It is not a sale. Is there recapture? Does it just end?

I am in the middle of a debate with NYS regarding filing an extension on time. I went to ATX and printed page where it shows the efile as accepted. But still going around with NY. (grumble, mumble......NYS.......)

We have a client that did not keep copies of 1099s that he issued, and one of those 1099s went to a different client of mine, that says he reported the previous years amount on his. In other words, he reported the 2013 amount on 2013 and again on 2014. We think. But we cannot find record of all of those 1099s. How can we get them?

That's what I was thinking I could do, but I didn't know if they would still accept it. thank you.

I have had more unique situations this year! Client has had levy on income because of 2011 income tax change. A 1099 was reported in her name (ss#) that should have been reported to a non-profit that she was associated with. She did not report on her return, and the IRS has sent her several notices regarding it. She has tried to argue the situation on her own, but has gotten nowhere. Has not filed 2013 and 2014 returns because she is afraid IRS will take more of her money (refunds). So I have prepared those 2 returns. and filed an ext for 2015. But I don't think I can do anything about 2011. (and honestly, it's not a huge amount of tax.) Any thoughts on this one?

My client moved to NYS in August 2015. Previously lived in TX - AH Texas, where the skies are not clouded with income tax laws all day....................Anyway - the date of death of his father was in March 2015. He received as beneficiary a couple of pensions, that are properly coded as "4". The question is - since the date of death was while he was still a resident of TX, can I allocate that income as TX income and not pay NYS tax on it?

it begs the question - why not just do your own Sec 125

I have a client that is looking at this program and has asked me to "research" it for him. Has anyone else looked at it? Looks like someone is trying to make money by marketing Sec 125 plans. http://www.vipcoatwork.biz/taxreduction.html

had this situation a couple years ago. yes- ATX handles well. Remember - the losses may still be suspended for a while, depending on income.

"The preparer who dealt with Schirallicpa's client likely chose a paper extension because a payment was being made and s/he didn't have the bank info to electronically pay (or the client didn't have the money in the account at the moment) " That was not the case - which makes it even more annoying. The client's info is on file with the preparer, and he's a large enough client that he would have the money in his account. Regardless of having to make a payment or not, the extension should have been filed electronically. This is our job - to take care of crap for clients. When I get my oil changed in my car, I expect the service station to perform the entire job for me, and I do not want to have to do anything but pay them. Same concept for us, we take care of this for them. I sent in a 1040-V with his payment, and am hopeful that the preparer does not wait til Oct 15 to get the return done.

Well, here' one way to get a new client. The previous tax preparer didn't file ext and pymt electronically, but instead gave the client the paper version at the last minute of April 18 and he put them in the wrong envelopes and mailed off. Well - NYS sent the check and voucher back. The previous preparer hasn't gotten the return done yet. He brought the voucher and check to me to mail back out again. So my question is, should I mail out the check with the now invalid extension, or should I print 1040-V and IT-201-V and mail out his payment with those, even though return not submitted yet? Just don't want things to get any more messed up for him.

Client is getting audited by NYS sales tax. He provides resale cert to vendor and does not pay sales tax on purchase of linens, rugs, etc. He then makes contracts with hospitals, restaurants, nursing homes, etc to provide and exchange linens and rugs. So, in essence, his customers are renting the products from week to week. He claims that the NYS auditor told him that he did not have to collect sales tax. And he somehow construes that this is because they are long term contracts. I think he has to collect and remit sales tax on almost all of his customers, except the govt offices that he does. Rent of tangible personal property in NYS is sales-taxed. And then he claims that the auditor is assessing tax on his purchases from vendors, not on his sales. I can't seem to find any logic in what he is telling me. Just wondered if there was any validity in his story, and if any one on the forum had any other thoughts.

I have a client that does linens and rugs for companies. Trying to figure out if sales taxable. He says no, and he says the auditor agreed with him. but told him he should pay tax on purchase of linens. I think he should collect on his sales.

wow - I guess I don't feel like such a dummy asking the question that I did after all the subsequent conversation regarding the situation. And I actually mis-spoke in the first post. The disabled brother is older. The younger brother lives with him and helps him out. The younger brother is 27. He earned 11500 during the year. I filed his return as single. I put the disabled child on the parents return. He had a very small income. But - if the disabled brother was younger, would the older brother be able to claim him for EIC??? I did not consider that when I did the return.

thank you. that is handy!!

I'd get a new EIN.

got it. thank you. And that qualifying relative thing just makes me more confused sometimes. Most of the time you just want to yell at these kids to go get a real job. But in this particular case the brother has elected to be care giver for younger brother. It's a sad situation. The boy got hurt in a vehicle accident on the way to work just months after graduating from college and landing a very good job. Just when all the moons and stars lined up and things were bright, he ended up in a wheelchair with limited mobility. It's a very close knit family. It brings tears to my eyes every year I prepare their returns.