ILLMAS

Yes, a couple years ago.

Try requesting a transcript but it’s probably too early for anything to be available, maybe wait until May.

I prepare their 941's and I do see in the month of December 2020, 12-25-20 (Friday) payroll was paid on 12-23-20, one darn payroll caused this mess.

I have a client that received a notice, I don’t prepare their payroll but at first the notice didn’t make sense but I am wondering if this caused the problem. Employees are supposed to get paid every Friday and payroll is prepared on Tuesday or Wednesday, I am thinking the person preparing the payroll is using either Tuesday or Wednesday date as the check date and not Friday, or sometimes they run payroll checks outside the payroll cycle.  Your thoughts?  

As I was driving to the office, I am now thinking they applied for the EIDL (received $2,000 forgiven) and the rest was a loan.  Cry me a river, their payment is going to be like $60 a month for 30yrs.

Agree, but just don’t understand how “contractors” status slipped through the cracks, I heard of people getting busted for submitting fake payroll documents, so I am thinking something along the line might of happened.

https://chicago.cbslocal.com/video/5412047-music-business-owner-on-the-hook-for-36000-she-cant-afford-after-mixup-with-ppp-loan-i-feel-that-i-was-misled/

Prayers

Q1 up by 21%

Q2 down by 23%

Q3 up by 42%

Q4 up by 39%

Overall sales increased by $200K

Ok so for PPP2 that requirement remains the same even if it's the TP first request correct?

Can someone confirm this for me, if a business sales did not drop by more than 25% they don't qualify?  Or they do if this the first PPP loan to them?  I did an analysis for one of my client and their sales did not drop by more than 25% but they still want to apply.

Hope you are charging just for thinking about this mess, get compensated, don’t play a super hero for free.

Thanks

I don't remember if it was mentioned here or on the Facebook ATX group, this was around the time they were talking about potentially making the first $10,200 of unemployment non-taxable.

There's been mentions about incorporating the 3rd stimulus into the 2020 1040, does it seem it's going to happened?  Asking for some clients 

13 hours ago, Slippery Pencil said:

At first I thought the advisor for the client w/ the $28K fee in 2017 didn't have the fee listed on the 2019 1099, but I was wrong.  The fees were $25K in 2018 & $22K in 2019.

 

 

Wow, my client paid peanuts compared to those fees.

TP sold over $200k in stocks, gain was like $7k, fees were around 1,500.  

Thank you, just didn't want to miss out on deduction for my client, largest brokerage fee I have seen in my years of tax preparation.

I haven't seen a 1099-B with fees in a while (was reporting on Sch A), but were do I report them in 2020 if allowed, TP paid a lot.

Thanks

MAS

And please don’t forgot to donate to cover the maintenance cost for this wonderful forum.

That was easy, I was searching for it on the other schedules lol

Thanks

Can someone guide me where to go to enter the 2020 ES payments, thank you.

MAS

Sorry your loss Rita, my condolences to the entire family.

What are thoughts when a business owner uses business funds to pay for personal expenses like mortgage, groceries, personal health insurance etc....?  Again these personal expenses are greater than owner payroll and the prior preparer just booked it as a distribution vs a due from shareholder.

I see your point, unfortunately they worked all year and their ideal salary for working for someone else would be $120-140K.  They provide maintenance for industrial equipment and 15K doesn’t seem reasonable for how much they charge their customers per hour or job.

Reviewed new clients 2019 1120S and they had a very low pay compared to the distribution.

15,000 vs 75,000

I understand they already paid taxes on distribution, but do you see anything wrong with this ratio?  There are probably worst ratios but this probably the worst I have seen and I did mention to the client thier salary is not reasonable for the type of work they do.