ILLMAS

Thank you everyone for your concerns and excellent question for the client, sometime I feel both you and I are more worried then the clients, shouldn't it be the other way around

Excellent questions, I am afraid the TP might not have the best answers

TP took the liberty of adding them back to the books with dates dating back to 2011 after the 2012 to 2014 returns were prepared.

It's a trucking company, average cost of 5 trucks is $18,000 and 5 trailers $15,000,

TP is really not a magician, but he made some fixed assets appear on the books dating back to 2011. Last year I prepared TP's 2012 to 2014 1120S and he only had two assets on the books, I recognized them and prepared the return, this year he included additional assets, he never took depreciation for them and have been placed in service is 2011, would it be safe to date them back to 2011 (2015 tax return) and just let ATX calculate depreciation or put them in service in 2015?

They said no, so a payment plan it is.

Yes TP is way under the 59.5 age.

Does anyone know if code L (Loan treated as distribution) on a 1099-R is not subject to the early withdrawal penalty? ATX is not calculating a penalty and just want to make sure. MAS

Thank you Judy.

Where would one enter this information on a 1120? I need to start doing research for a client that might be impacted by not providing health insurance to its employees.

I will get as much details as I can from the TP, I was going based on the information the other partners told the TP I am working with, I will take all the above comments and find out what really happened. Thanks

Does anyone know where I can enter the disposition of partnership interest in ATX? You would think it should be on the K-1 (1065) or in the worksheets on the bottom, but I cannot find it. Thanks MAS

"If the other partners didn't ask her to put in cash to bring her capital account up to zero, then I'd say she probably does have a 12k capital gain. " This is exactly what happened and here is my next question, how do go about reporting it on Sch D? I cannot find where to enter in ATX.

TP was in a partnership and other partners were covering her share of the pie, partnership was dissolved TP capital account was negative $12K (increased by $12K to arrive at zero). Would the $12K be a capital gain to the TP since she was getting a deduction in the past? Thanks MAS

TP did some work back in 2010 (Sch C, cash basis) and didn't get paid until 2015, however in 2014 he retired from the railroad and has received a letter (applies to 2015) stating they are going to adjust his retirement because of the income. Here is the funny part about it, he has not filed his 2015, but the company that owed him the money sent him a 1099 in 2015 and the retirement board already found out. Would a letter to the railroad retirement board explaining the problem resolve the issue?

I was caught off guard by a fellow accountant, she has a client that is the only employee in a S-corporation, the corporation pays the shareholders/owner health insurance premium, then it's added back into her salary. The questions was, should the company's SEP contribution be based on the regular salary or should it also include the additional salary that covers the health insurance premium? Thanks https://www.irs.gov/retirement-plans/retirement-plans-faqs-regarding-seps-contributions

I have 2014 return that was transmitted on 4/8/16 and it still shows as transmitted to the IRS as of today, what gives?

I think it's 90-day wait.

There is this awesome Facebook study group "IRS Exam Study Group" join it, best study group out there and it's free.

Took part 1 & 3, passed with minimal studying, failed part 2 by a couple of points again with minimal studying, I will be retaking it August. Don't be like me

Agree, the last one I bought from Sams had the perfect specs for me, except for the Win8. Jump on newegg and bought Win7 Pro and an SSD drive, installed it myself and my total cost was under 1,050.00

I am big fan of the Dell XPS 8700 or 8900, Costco or Sams Club sometimes have great deals.

TP has has owned and lived in her home since 2009, in mid 2013 (6 months in 2013, 12 months in 2014, 12 months in 2015 and going on 6 months in 2016) TP has rented her home, so totaling close to 3 years. TP wants to do a short sale, might take two to three months to complete, bank has approved the short sale, would she be out of luck and lose out on treating it as a personal residence and not qualify for the mortgage debt forgiveness: "Normally, debt forgiveness results in taxable income. However, under the Mortgage Forgiveness Debt Relief Act of 2007, you may be able to exclude up to $2 million of debt forgiven on your principal residence."? TP is not in bankruptcy nor insolvent.

Sound a lot like this company: https://www.tasconline.com/products/flexsystem

http://www.thetaxadviser.com/issues/2008/may/disposingofanactivitytoreleasesuspendedpassivelosses.html