HV Ken

This new tax will impact our personal NY clients with > $10,000 in Schedule C (self-employed) income.

Is there an easy way to search our client database to find all our clients with Schedule C income ? Even better would be to find only those that meet the new tax requirement.

Any suggestions welcome and appreciated!

See: http://www.nystax.gov/mctmt/default.htm

I attended the CCH webinar on this tool the other day. The tool automates your interaction with IRS eServices and is relatively inexpensive.

Was wondering if anyone has any experience with it and would offer a testimonial, or a reason not to purchase?

Thanks,

HV Ken

Anyone know if the old-school phone in method is still available? I think they stopped it, but don't remember for sure. Any other on-line service available?

http://www.irs.gov/irs/article/0,,id=20623....html?portlet=7

This year, anyone, regardless of income, can e-file their extensions at no cost from a home computer using IRS traditional FreeFile or FreeFile Fillable Forms. E-filing a request for an extension using either form of FreeFile is convenient, safe and secure, and taxpayers receive confirmation to keep with their records.

Either hire more help or get some new music.....

They do "apologize for the continued delay" and assure me my "call will be answered in the order it was received".

How do you create and efile and not include the 1099R with the transmitted forms? I have one that does not need to be included as no Taxes withheld. Any help would be appreciated.

I don't understand - the 1099R still gets reported to the IRS, and they are still going to match the return and ensure it is reported. Why would you want to exclude it? Whether there is tax withheld or not seems irrelevant...???

:angry:

:rant on:

What is with these stupid LPL Financial gain and loss statements? Can't they total each fund for us? After all, aren't we in the COMPUTER AGE?????????

:rant off:

Wanted to thank everyone for their replies, suggestions, war stories, etc. This discussion has been very valuable for me - I gained some new insights and can consider some alternative approaches.

Thanks again!

Curious to gain some insight from others on how you break the news to a client who wasn't expecting to owe - especially THAT MUCH. In our case, we have a home office, so our interaction may be more personal with our clients than some of the store front offices can be.

Our practice is to handle this in person due to the strong emotional response this type of news induces. Inevitably this generates many questions, and the best way to explain what is going on is when all the data is in front of us and the client.

After their shock and emotional outburst (usually the wife yelling at the husband!), we try to say something like: "the tax return is like a report card - it merely reports on activity that has already occurred." And typically if people weren't expecting to owe the amount we calculated because they have variable components to their return, we would say something like: "given the many variable parts that make up your return, we would recommend you check in with us each quarter (e.g. June, September) so we can help you adequately plan while the year is unfolding."

Appreciate your insights and experience! Thanks!

I'm going to be posting a suggestion that they add a Preference option on efile to Hold the entire efile both Fed and State. Right now you have an option to 'hold' the STATE efile, but not to hold both. I often finish a dropped off return and then have to wait for them to come in and sign. And each time I have to remember to change them from 'created' to 'held'. I'd really like the option to have them 'held' as the default, so no one gets 'accidentally' transmitted before it is signed.

If you think that would be a good option to have, please send your own 'suggestion', as I am sure that the more people ask for it, the more likely they are to add it.

It might be useful to you, but I would never use it. What I do to prevent this, is after generating the e-file (and ensuring there are no errors etc.), I then go to a worksheet I know I want to print (like the Comparison, for example) and check the box to print. This causes the ATX program to think I have made an update to the return, and the e-file status is therefore no longer "created". This is one way I ensure I never send an unintended e-file. I have additional checks I do when actually transmitting - I have never sent an unintended e-file.

I seem to recall something along the lines that when it comes to Schedule C self employment income, there was some rule/test that it needed to show a profit in 2 out of 5 years, otherwise it was considered a hobby and treated differently. I did some searches, but could not locate anything in an IRS publication that actually states this.

Is there a reference to such a stipulation ?

Thanks for any help / insights.

Always enter them all and bill accordingly. Not my problem if they are trading in large numbers.

I have one that is 41 pages. You couldn't pay me enough to type all those in. I am a big fan of the consolidated entry and 8453 approach.

I would like input on the entering of stock sales on schedule D. Must we enter each stock sale on the schedule D (sometimes 20 or more) or can we use the summary as provided by the brokerage statement as long as we are sure to separate the short term and long term sales on the schedule D... Thanks

You are allowed to put the consolidated information on the Schedule D and then send a copy of the summary attached to a 8453.

Thanks for the added information. Certainly gives me more to tell them.

HVKEN, the credit card payment information I printed from the 1040 says, in bold type, if you pay by credit card, please enter below the confirmation number you were given at the end of the transaction and the amount you charged (not including the convenience fee). I am assuming from that the return can be efiled and the charged amount sent later. Need to the irs site David 1980 mentioned.

So you call the charge card company, enter the credit card info and amount, receive a confirmation number, enter it on the return, and then efile. Not sure what you mean the charge amount can be sent later - you have already entered into the charge agreement and received the confirmation number. There is nothing more to do after you enter the confirmation number into ATX and submit the e-file. Nothing gets sent later.

Since I haven't done one of these this year, I don't remember what date the charge is processed - I am going to assume you either specify a date or it defaults to 4/15.

I am shocked and surprised that they would close it down just before the end of tax season!

Oh, wait -- reset -- they've done this before.

Any good folks over there who should be privately informed of our merry little band here?

Catherine

I am thinking he means THIS community, not the other one that has been resurrected.

What works for me is to create the MFJ return, then duplicate it 2x - in duplicate #1 make it MFS for TP and in duplicate #2 make it MFS for SP. If you enter the tabs for "F" "S" and "J" on the original, it also makes the task easier.

Does anyone know if there is a way in ATX to enter all the information for MFJ and then have the program separate it to MFS? This makes sense for an Ohio filing and would save some time.

Thanks in advance!

Denise

My understanding is that you process the charge card, get an acknowledgment code, enter that code into the return, and then e-file. That's my memory anyway from doing it last year - have not done one yet this year.

After the e-files are selected and you press transmit, another screen appears with just the selected returns and you have to press transmit again before actually sending them. I cross-check that last screen to my 8879s before initiating the transmission. This has saved my bacon on more than one occasion.

I have used this feature for several years and I have never had a return held transmit. The only thing I can think of is that you reopened the return at some point, recreated the e-file and did not hold it. Each time the return is opened and recreated you have to put a hold on it or is shows up as created and will transmit.

Hope this helps some,

Deb!

The 8453 allows for the provision to send in the details and report the consolidated numbers on the Schedule D:

"Schedule D-1, Continuation Sheet for Schedule D (Form 1040) (or a statement with the same information), if you elect not to include your transactions on the electronic short-term capital gain (loss) or long-term capital gain (loss) records."

Even at $3/entry, it is not worth my time to type in over 100 transactions some of these traders perform. Although maybe if they got a bill for over $300 just for their Schedule D it would make them think twice.... Nah! Seems the only people making money at this are the brokerage firms getting their fees for every trade performed.

I hate to be a pain, but you should read the instructions below and make sure you come at least close. Few brokerage statements follow the format that the IRS wants. I was "politely" busted a few years ago, because the statement "did not meet our standards." They let me resubmit with just a verbal slap.

Instructions for Schedule D: Lines 1 and 8

Enter all sales and exchanges of capital assets, including stocks, bonds, etc., and real estate (if not reported on Form 4684, 4797, 6252, 6781, or 8824). But do not report the sale or exchange of your main home unless required (see page D-2). Include these transactions even if you did not receive a Form 1099-B or 1099-S (or substitute statement) for the transaction. You can use stock ticker symbols or abbreviations to describe the property as long as they are based on the descriptions of the property as shown on Form 1099-B or 1099-S (or substitute statement).

You must enter the details of each transaction on a separate line of Schedule D. If you have more than five transactions to report on line 1 or line 8, you can report the additional transactions on Schedule D-1. Instead of reporting your transactions on Schedules D and D-1, you can report them on an attached statement containing all the same information as Schedules D and D-1 and in a similar format. Use as many Schedules D-1 or attached statements as you need. Enter on Schedule D, lines 2 and 9, the combined totals from all your Schedules D-1 or the attached statements. Do not enter “available upon request” and summary totals in lieu of reporting the details of each transaction on Schedules D and D-1 or attached statements.

i just got another rejection - this one had the NEW YORK, so I called support. There is a new program version (not a form) released today that will fix this. So make sure you are current with your program update.

i called this morning and got the same info as Ken, now inorder to submit the late extension you must have version 15 which was unavailable this morning but i just updated now and it went through.

Curious - is this the rejection error you were seeing:

?

HV Ken:

Thank you!

Why didn't ATX know this morning! I have cooled off a little since then. I guess I was just really ticked because it was efiled over the weekend and today I got the notice. Fed was accepted without any problem.

I had already efiled a number of corp returns, and they went thru fine. So I didn't think twice about efiling the extension.

thanks again

I had this happen as well - called support - got immediately connected - helped me fix the problem. The issue was on the front page of the NY return (CT-3) the blue box for the state is now a pull down and the value cannot be NY, but must now be NEW YORK. See if taking care of this fixes your problem.

As long as your e-file was initially sent on time, it is considered timely filed, even if there was a rejection that you subsequently resolve.

I am so mad right now I could just explode. I received this morning - THIS MORNING - a rejection error on 2 NYS corp extentions. Oh - not just any old error.....an error with NO EXPLANATION! So I call ATX and sit on hold for 1/2 hour to be told - "Oh, we don't have an explanation for that error." UnFrickin' Believable! I don't think Paterson is going to back down on penalties when I tell NYS that we tried to file on time, but my lame software company doesn't know what happened. (Toss in the shoulder shrug.)

And - of course - one is a brand new client.

I am just beside myself.

To top it off, she (ATX) wants me to send the return/extension to them so they can see what is wrong and what to do. What good is that going to do me now? Let alone - don't we have some client privacy issues when I just send info off to someone in Georgia in a tech dept.

Oh - I am so mad.

Never, never again will I efile anything within 5 days of a deadline.

Thanks alot ATX.

Does the import from the 2nd computer back into the 1st computer just replace the return on the 1st computer? I guess what I am asking is what happens when you import a return on top of the same return that already exists?

To answer my own question, decided to try one import on an extension (what is there really to lose anyway?). Import prompt to replace or copy, so I replaced and all the info from the laptop went into the server. I guess all is well in the world again!

Thanks!

I have moved files from one coputer to another and all the E-File info imports also.

Hope this helps

Linda and buddy

Does the import from the 2nd computer back into the 1st computer just replace the return on the 1st computer? I guess what I am asking is what happens when you import a return on top of the same return that already exists?

You could also, on your desktop, click 'Support', 'Customer Service Utilities', 'Synchronize Efile info with ATX'. That is what I would do first, actually. Then I'd do ''Receive Acks'.

What I found is that process wipes out all my complete flags (check box). Unless they fixed it? I have refrained from "Synchronize" since having that experience a few years ago.

OK - here is what happened to me yesterday. Now I am looking for some advise on how to reconcile....

Cable internet was down for me on yesterday. Needed to finish last remaining corporate extensions, and couldn't efile without internet.

Loaded ATX onto my laptop.

Generated e-files on desktop.

Exported returns from desktop; stored on flash drive.

Went to local wireless spot (hotel lobby).

Updated ATX on laptop to latest everything.

Imported returns from flash drive.

e-filed! phew!

Now, in order to get everything back in sync.

Do I:

1) export from laptop and import to desktop?

Questions: What happens to the existing version on the desktop? Does what is imported just overwrite the version on the desktop? Should I first preserve the existing return on the desktop (rename them) and then import?

-OR-

2) Just simply receive acknowledgments on the laptop?

Questions: Would I lose the e-file history (Acknowledgment History) within the return?

Thanks for any insights.