ILLMAS

Every other year I encounter a tax return that was setup in a way to qualify for EIC via Sch C losses, TP respect that I tell them their tax return was done incorrect but they don't respect me when I tell them they need to correct and most likely return the money, this year I had person pick up their information because is was asking too many question about how they qualified for EIC with someone else's kids.

Thanks Tom for your words, just to share with all, I already went through a an uninsured losses with the IRS, I know what to get and what they will be looking for. MAS

Probably not but I will ask

TP received a check from the sale of stock of a relative, I have an understanding that cost basis starts the date the person died, but happens when they simply cash out and don't hold on to it?

Just wondering it your client ever asked why he received additional money?

I know it sound fishy, I've been holding on this tax return for over a month because things don't make sense to me, I even called another TP that works at a gas station to ask her about stolen lottery tickets how, and honestly it doesn't make sense to me. TP is aware, he is responsible for his numbers and what he is reporting on his tax return, unfortunately I am relieing on his documents and he can sue himself if he wants.

Part I TP had a smash and grab break in damaging thousands of dollars in spices and other merchandise that was trampled or damaged in the robbery, he submitted the following claim to his insurance company: Computer $300, TV $200, Security Cameras $300, Printer $50 and $21,000 in assorted spices and merchandise, the insurance covered all the electronics and only covered $17,150 of the merchandise, TP received an insurance check for $13,000 after $5,000 deductible, in other words he was paid $18,000. So he is out $3,000 that he had to replace out of his pocket. Part II As part of the robbery, $7,000 was taken from the register, insurance claim paid zero, so he is out $7K Part III Thiefs took $10,200 in state lottery scratch off tickets, insurance claim paid zero, state made him responsible for repaying money back. After various attempts to try to get a answer as to why he had to pay the money if the state can disable those tickets and make them invalid, he was told not ever call back again, he hired an attorney and was told it was better to pay the state. He currently has a payment with the state. Part IV TP got upset and closed his state lottery account and was assessed a $3,500 fine, that fine was added to his payment plan. Part V After the business was up an running, someone managed to withdraw $5,450 from his business bank account, bank was not able to trace or recuperate the money because it was an authorized transaction according to the bank. Out of all these what can be taken as a loss and how is it reported? Thanks MAS

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TP borrowed money from his corporation, then he loaned it to his BFF, BFF is not going to repay it and is okay receiving a 1099, would he be safe to classify it as other income since it's not related to compensation? Thanks MAS

In accounting terms, that is what you call billable time.

Can you post pictures of your setup? I recently bought a setup for two monitors from dell and a dell XPS 8700

I once felt insulted when an employee of one of former client said, "oh accounting is easy, quickbooks does it all for you" but If were to ask her how a credit and debit works she would have no idea.

I'll break down the 45 minutes for you: Print out tax return Compare totals on tax return to W2, brokerage statements etc... making sure nothing is left out Sign/date required pages including client lettets Prepare invoice Scan everything Staple package with a heavy duty stapler Put copy in fllder Leave up front for client pickup I probably missed some other steps but that is what 45 minutes look like

This going to be a tough one, 6 out of 7 are going to be non-resident returns which require extra work. I would only charge for 6 states, first state is included with the federal, but charging somewhere between $25 to $40 would be good. Per state. MAS

It took me almost 45 minutes to assemble and scan a tax return, imagine if I had a client waiting

For those who do face to face tax preparation, in 10,000 words or less how do you manage to get work done?

I like the salvation army thrift value http://satruck.org/donation-value-guide

Thanks I had not seen your response and thank you Lion too.

I will rephrase my original question, in ATX if I enter a sale of personal residence (independently of a 1099S) which is below the $500K joint exclusion, let's say there was a 100k profit from the sale, should the $100k appear on Sch D just to show the sale or should it appear on another form. In my case, the Sch D is blank and I want verify that should be the case, I appreciate everyone input so far.

Thanks

The issue here is that it doesn't appear once I enter all the necessary data on sale of personal residence worksheet. For example on a joint return, house was sold for $300k and bought for $175k, nothing flows to Sch D.

If a TP is under the exclusion amount, should the sale appear on Sch D Yes or No? Thanks MAS

Your client is probably working with a broker, very common practice back in the day. I would just respond back saying something like your tax return would be a projection for 2014, but what really is taken into account is YTD wages, debt to ratio and your credit history if you are going for a stated loan you'll end up paying a higher interest rate.

Today again, I had to use the I am embarrassed to email you and remind you have an outstanding bill with my office shenanigans, we will see if it works.

Just look at the extra amount paid as a bonus subject to SE tax. Also the reimbursed expenses should be expenses of the company, not of the employee.