ILLMAS

Perfect thanks

I have new business client that files an 1120H, they really don't have any income besides interest they earn. The assessment fees they collect is used to cover operating expenses, utilities and repairs, what ever is left over stays in the bank account. My question is I would only have to file out the top portion of the 1120H, since they really don't have any income and the assessment they collect are considered exempt function. Can someone with experience guide on this one. Thanks,

How would I account for that, I have client that took out 25K to avoid foreclosure "dire situation" on his home?

Thanks!!

Hello, what form do I need to prepare to get the credit for energy efficient windows? Also, are applianances that are energy star excluded from this credit? Thanks

My client took over his daughters mortgage because she and her husband no longer could afford it. He brought in the quick claim deed and the mortgage note, but there was no sale. What was owed was basically transfered to the father + new settlement charges, should the cost of the house be capitalized on my client tax return or should I capitalize the amount he assumed? The house was being rented since the beginning of 2008, so it has to capitalized. Thanks

I had something like this happened to me last year, don't remember what form I deleted 1099 linked to Sch C, fixed asset or automobile worksheet. I deleted one of those forms and deleted the Sch C, do remember deleting any forms by any chance?

What a lucky guy :D

So on Sch E, I will expense the remaining "points 2004" and "refinancing cost 2004" under other expenses, this TP paid 7K in points amortized over 15yrs, the remaining balance is about 6K, the remaining on the refi cost is about 2K. Then I would just delete the two assest entries? I don't think the disposition applies to these entries because it's not a sale or abandonment. Thanks

I have TP that paid points in a refinance in 2004, his loan was for 15yrs, so I amort the points over the life of the loan, now in 2008 he refinanced again and paid points for the same commercial property, how do I expense the remaining points from 2004? It's not a sale nor abandonment. Same questions goes for the refinancing cost paid in 2004, I also amort over the life of the loan. Thanks,

An ADP representative visited me last month and she was telling me about a service called Wholesale for accountants, basically you run all your payroll through ADP, includes 941's, SUTA, FUTA, W-2's etc..... Your client won't know you are using ADP, ADP bills you and you bill your clients. I don't remember the monthly cost, but it's not that bad. Here is the link: http://smallbusiness.adp.com/accountants_wholesale/index.asp

One of my client called to today to let me know he has no business right now and if he can collect unemployment compensation like his other employees. He is on the payroll, the business pays SUTA for everyone includiing the owner, is there any restriction on the owner collecting unemployment? This is a contruction company. I checked the IL Dept of employment security, but couldn't find an anwser. Thanks

Cool, thanks :-)

Can 1099's be processed through ATX like the W-2 and be filed electronically? I ran out of pre-printed 1099's and a new TP needs some for his subcontractors. Thanks

One of my client filed for bankruptcy and he included a rental property in the filing, however the bank the holds the mortgage asked him to remove the rental property from the bankruptcy filing and they (the bank) would take over the property and sell it. To me it sounds more like a foreclosure, but the client insists it;s not. Has anyone ever heard something like this before? I did make my client aware if it is indeed a foreclosure and the bank sells the property he will get a 1099C. Thanks

I too agree some of those places are expensive, I think I know why they have to charge so much, they do a lot of advertising and somehow they need to cover the cost of the commercials and overhead. Us smaller people don't have the budget to advertise like they do. My advertising budget for 2009 is zero, but I have rent to pay, utilities, telephone etc... then whatever is left over is my profit.

Thanks, box is checked off. Need to look closely next time.

I have a client that applied to college in 2008, but started school in 2009. She recieved a 1098-T for the tuition for spring 2009? The TP doesn't benefit from it in 2008, but she will in 2009, would it be okay if it is reported in 2009 instead of 2008, also she started paying in 2009. Thanks,

Best bet is to has TP verify all W-2's with employers, if this TP is a prior year client, check to see if he had the same employment in the priors years and verify the EIN.

Hello Terry, I think I am going to have to disgree with you on this, for some reason the above statement does not make any sense to me and I will tell you why!!! Please explain to me why someone with a valid SS# being Mexican that would benefit from claiming HOH, getting the EIC for the children flee to Mexico when they get an IRS letter vs someone with an ITIN claiming HOH and not getting the EIC because of the ITIN? You talk about defrauding the IRS, to get a whole lot of money back, as you know the IRS does not dish out some credits without the a valid SS#. Someone can prepare a return with ITIN and calculate all the credit they are entitled if they had a valid SS#, but most likely the IRS would catch that and disallow the credits. No matter what race, everyone wants to get more money back and will try to cheap the goverment, not saying this right but the best medicine is to inform someone about the consequences. You did right in trying to correct the situation, however the other thing you wrote is not context with the situation you had witht the client, sounds a little offensive to me.

Your client can sue the former employee for the theft or issue a 1099 for the 15K to reduce his income. I do work a CPA and he has a client that owns various currency exchange so he has a high employee theft, the currency exchange is going through an IRS audit now and the agent is looking very closely at the "Bad Debt", he wants to see insurance claims and police reports. We consulted with a retired IRS agent, he said next time if the employee doesn't repay the stolen money or the insurance claim is denied, to give the employee a 1099 as additional compensation, and don't worry about the employee coming back and saying "I didn't earn that money, oh wait a minute is that the money I stole..."

Ok, thanks I will give it some time before I amend the return.

Can one cancel an e-file that was accepted 2 days ago? A client forgot to bring additional information, I was wondering if it can be done, or I would just need to amend the return. Thanks

I have client that does not qualify to itemize, however they qaulify for "The Housing Assistance Tax Act of 2008 allows homeowners to claim an additional standard deduction for property tax if the taxpayer does not itemize. The additional amount is limited to $500 or $1,000 for joint filers." I have checked off line 39c of the 1040, but ATX doesn't calculate anything, does anyone know what I need to do to activate this line? Or what step I am skipping or missing. Thanks

Has any of your clients ever come back and say you missed a deduction on my tax return? According to H&R, these are most commonly overlooked credits and deductions: 1. EIC for lower income workers 2. Mortgage Interest 3. Charitable Contributions 4. Student Deductions (Lifetime and Hope) 5. Job-hunting expenses 6. Medical expenses 7. To itemize or Not to Itemize Source http://www.napsnet.com/pdf_archive/116/56379.pdf I agree with #3 and #6, many of my clients prefer not to include these amounts because they don't keep track of them, so they rather leave it out. What makes me laugh if they didn't provide you with the information at first, how are the going to provide the omitted info to H&R to double check??