ILLMAS

SSD drives are the best thing that's has happened since the invention of whipped cheese in a can.

Go with WIN7 Pro, avoid the home edition. A couple of months ago I bought a Dell XPS 8700 desktop with WIN8, I didn't even bother turning it on, pop in an oem Win7 Pro, formatted the drive to get rid of WIN8 and I am happy. Win7 Pro cost around $130.

No one else is working on last minute corporate tax returns?

I think everyone is just waiting to see if Hillary Clinton is going to run for office.

Our city cracked down on businesses/individuals that provided immigration services that were not in compliance with the City ordinance regulating immigration service providers.

New client, prior year corporate tax return is mark accrual, but when I compare the income to their QB file it seems it was reported on the cash basis, even the BS was does not reflect any A/R or A/P. I am at a bind here would hate to dig deeper into the mess, what would you do? Thanks MAS

I will assume this is for TurboTax support for the DIY preparers out there correct?

Ah crappers, another store I shop at.

Nothing wrong with applying for an ITIN for him and paper file.

Sign me up, I can just imagine the fees they would charge.

Override the fields, but if you are signing a return it has to show your information.

Thanks, I was waiting for someone to post this.

LOL I wish I was at the age of playing playstation, but thanks for the info.

Thanks for your question, made me look more into it and found this: S Corporations S corporations are corporations that elect to pass corporate income, losses, deductions, and credits through to their shareholders for federal tax purposes. Shareholders of S corporations report the flow-through of income and losses on their personal tax returns and are assessed tax at their individual income tax rates. This allows S corporations to avoid double taxation on the corporate income. S corporations are responsible for tax on certain built-in gains and passive income at the entity level. To qualify for S corporation status, the corporation must meet the following requirements: Be a domestic corporation Have only allowable shareholders including individuals, certain trusts, and estates and may not include partnerships, corporations or non-resident alien shareholders Have no more than 100 shareholders Have only one class of stock Not be an ineligible corporation (i.e. certain financial institutions, insurance companies, and domestic international sales corporations).

Thanks, but he if decides to make an election to be treated as Sub-S corporation, then we would need to use his SS# to be shareholder/member correct?

TP obtained a SS# when he came to the US on a student Visa, 20+ years later he entered the US on business visa. During one of the visits he bought an investment property and the attorney advised the TP to put the property in an L LC. TP would like to be a foreign shareholder/member and would report the profit or loss on his home country tax return, can this be done? I have not encountered a situation like this before, but him having a SS#, wouldn't it be proper for the LLC issue him the K-1, and he would report it on a 1040NR? Thanks

There is probably more to this story, but did you know control freaks make bad managers?

Elvis has left the building

As a father, what this lady is doing to her child is very mean, I hope when the child grows she does the same to her and ties her favorite comfy underwear she lilkes so much to a balloon. http://www.liveleak.com/ll_embed?f=3b7df4baf828

I clicked on the thread thinking it was going be on Hugh Hefner empire

Thanks KC, just one thing that has always puzzled me, not that many people who create an LLC really put the property in the LLC, the title is under the owners name and so is the mortgage loan, and to make things worst they mostly do all the work themselves to rehab the property, now what type of protection can they get.

TP: I created an LLC and I don't know if I should report it on my individual or corporate tax return? Most of these calls are from individuals that bought investment properties and setup their own LLC's.

People caught with drugs get a longer sentence, maybe criminals need to change careers for less sentencing.

Tax Court: Bad Loans to Corporations Treated as Non-Business Bad Debt Losses February 2013 The IRS is always skeptical when individual taxpayers claim deductions for bad debt losses. The reason: losses from purported loan transactions are often from some other type of deal that went south. For example, the taxpayer might have actually made a contribution to the capital of a business entity that turned out to be a loser. Or the taxpayer might have advanced cash to a friend or relative -- without a written contract -- with the unrealistic hope that the money would be paid back. Therefore, to claim a deductible bad debt loss that will survive IRS scrutiny, you must first be prepared to prove that the loss was actually from a bad loan transaction instead of from some other ill-fated financial move. One Tax Court case illustrates how a taxpayer was unable to accomplish this, and therefore, had to settle for less favorable tax results. Assuming you can establish that you made a legitimate loan that has now gone bad, the next question is whether you have a business bad debt loss or a non-business bad debt loss. This is an important distinction for the following reasons. Business Bad Debt Losses Losses from bad debts that arise in the course of the taxpayer's business (or businesses) are treated as so-called ordinary losses. In general, ordinary losses are fully deductible without any limitations (for an exception, see the "Warning" below). In addition, partial worthlessness deductions can be claimed for business debts that go partially bad under Internal Revenue Code Section 166(. Warning: When the taxpayer makes an ill-fated loan to his or her employer that results in a business bad debt loss (because the taxpayer is an employee of the company), the IRS says the write-off should be treated as an unreimbursed employee business expense. That means the write-off is subject to the 2 percent-of-AGI threshold (when combined with certain other miscellaneous itemized deductions such as investment expenses and tax preparation fees). In addition, miscellaneous itemized deductions are completely disallowed under the AMT rules. Unfortunately, the courts have supported the IRS position. (An example is Kenneth Graves, T.C. Memo 2004-140 upheld by the 9th Circuit in 2007.) Non-Business Bad Debts Losses Losses from bad debts that do not arise in the course of an individual taxpayer's business (or businesses) are treated as short-term capital losses. As such, they are subject to the capital loss deduction limitations. Specifically, you can automatically deduct up to $3,000 of capital losses each year even if you have no capital gains ($1,500 if you use married filing separate status). Additional capital losses can only be deducted against capital gains from other sources. So if you have a big non-business bad debt loss and capital gains that amount to little or nothing, it can take many years to fully deduct the bad debt loss. In addition, losses cannot be claimed for partially worthless non-business bad debts. The Tax Court's Haury Decision In a 2012 decision, the Tax Court concluded that an individual taxpayer was only entitled to a non-business bad debt deduction for worthless loans made to two software development companies. Harry Robert Haury was a software engineer who managed and held substantial stock ownership interests in the two companies, which were attempting to obtain contracts to develop national alert warning software for the Department of Homeland Security. Haury withdrew $434,933 from his IRA and gave the money to the two companies in exchange for interest-bearing promissory notes. The hoped-for government contracts never materialized, and the companies were unable to fully repay the loans, although one company did repay $40,000. After the taxpayer failed to file a federal income tax return for 2007, the IRS stepped in, and Haury eventually filed a tardy Form 1040 for that year. On the return, he claimed a $413,156 business bad debt deduction. The IRS denied the deduction, and the unhappy taxpayer took his case to the Tax Court where he represented himself. Unfortunately, the Tax Court opined that the IRS had acted properly in denying the business bad debt deduction. The court felt the taxpayer's dominant motivation for making the ill-fated loans was not to protect his business of being an employee but to protect his stock investments in the companies. The court gave little weight to the fact that Haury actually received meaningful amounts of salary from one of the companies. The taxpayer's "investment in, and management of, the companies do not amount to a trade or business," the court stated. Bottom line: The taxpayer was only allowed to claim a non-business bad debt loss. As we explained earlier, non-business bad debt losses are treated as short-term capital losses that can potentially take many years to fully deduct. In this particular case, the taxpayer would need to collect some very hefty post-2007 capital gains to be able to deduct his whopping big non-business bad debt loss anytime soon. To add insult to injury, the 51-year-old taxpayer also owed the 10 percent early withdrawal penalty on the taxable portion of the money withdrawn from his IRA that was in turn loaned to the two companies. IRA withdrawals before age 59 1/2 are hit with the 10 percent penalty unless an exception applies, and no exception was available in this case. The penalty amounted to more than $30,000. (Harry Haury, TC Memo 2012-215)