Chowdahead

Has anyone else here seen cases where the State Employer ID (bottom left on W-2 input page) doesn't roll over and must be inputted again manually? It happens on maybe 1 out of 3 returns. I'm just wondering if there is a particular reason for this. Furthermore, my state use the same number as the Federal ID Number. I wish there was an option to use the same number automatically for the state employer ID number, after inputting the federal number. It's just one of those little ideas to save time and wear on the fingers.... :mellow:

I have several clients who were paid around $10K on a 1099-MISC for office/clerical type work. They don't consider themselves to have their own business. Another was paid about $1,800 by a real estate company for cleaning apartments. I notice that the software allows the earnings to be sent directly to the 1040. However, I don't believe the ''self-employment" tax will calculate this way. Whereas running through the Schedule C (or Sch C-EZ), even without expenses, calculates the Self-Employment tax. How do you guys handles these types of situations? When is it appropriate to send 1099-MISC earnings directly to the 1040?

Is there a better way of splitting mortgage interest and real estate tax between Schedule A & Schedule E, besides manually dividing the figures with the calculator and inserting them into the respective forms separately? I've always noticed on the Asset Entry form it allows the "Business Use" percentage to be adjusted (i.e. 50% or 66.6% etc). But I don't see a corresponding box on the actual Schedule E input form. I also noticed that Schedule A, on the Real Estate Taxes tab, has a data field for "Interest from Schedule E", but I haven't been able to figure out what it's for and how to access it. What do you do?

Thanks for the responses. No amendments needs since I just sent the return. I checked the last return I did 5 years ago and it did not have an affect on the return.

I'm waiting for the same form to be released. I'm also waiting for Massachusetts e-file.... its annoying.

A client came in with a copy of her 2007 return which was prepared by the local IRS office. She releases her son as an exemption on the father's return (they are not married). She claims the other child they have. I've only seen this twice in 5 years. What I found interesting when reviewing the 2007 return was that the IRS agent listed the both the children on her EIC Eligibility Sheet. She also received a bump in her EIC and additional child tax credit as a result. However, only the child she is claiming is listed on the front of the return, and she only received the exemption for her and her child listed on Page 1. For 2008, I entered in both children on the dependent input sheet, but for the child she is not "claiming" this year, I checked the box that says "do not claim this child this year". Once this box is checked, the unclaimed child is removed from Page 1 of the 1040, but is still listed on the EIC page. There is also a similar bump in her EIC and Additional Child Tax credit amounts, similar to her 2007 IRS-prepared return. I just want to make sure this is not a glitch in the program or anything. I'm still wrapping up a few other things on the return. So releasing the "exemption" does not affect a person's EIC and other child credits correct?

I see this message as well, but it's a blue "informational" message that doesn't prevent e-file. I have a PTIN, which is entered. I'll have to check if there is an EIN box checked somewhere on my Preparer tab.

I remember those dark days [shudders].

[i'm so glad I didn't pay the $700 extra for the Document Manager and Scan & Fill. Seems like more trouble than it's worth.

Funny but I have the opposite problem. I want to be able to add a mailing slip to each return automatically when started, but there exisist no such option. I have to go to ADD FORMS and them type "client" in the search box to find the Client Mailing Slip, and Add it. I do this for each return. I put this on top of each return and then place the return in a large envelope with address windows. The envelope says "Important Tax Documents Enclosed". I saved some money doing this and it looks very professional.

SBBT is a bit picky. River City is ok, but you can tell they are a small operation. They don't charge $100 up front. At least they didn't charge me. HSBC are jerks. I managed to get my loss ratio from them last year amidst them trying to ditch all independent preparers. My loss ratio was also 0% out of about 50 RALs.

Wow your right. For some reason I was completely forgeting about the maximum they could charge. I was calculating their 2.5% plus $31 all the way up to the $10,000 max. So this makes SBBT a fair deal then. Well... as fair as you can consider a RAL. But to each his own. Personally, I would never use a RAL. But some customers want their money fast so I have to offer it. Yeah the paperwork is nuts. Not even so much the paperwork, but the number of boxes that have to be checked in the program, like 2 consent forms. It slows the process down.. Plus they don't allow a doc fee to be entered so any fees for all the paperwork have to be entered in the efile box or the tax prep box.

Really? I read through the contract twice and didn't see it. I must have missed it. If it does then I will be using SBBT without a doubt. It just kills me to have to charge anyone over $300, including my fees and bank fees, when they are looking for the 24 hour product. Right now, SBBT Charges over $300 in just their fees, without me even adding in tax preparation fees. I love their service but wish they were a bit cheaper.

Last year I had no major issues with using two banks: River City and SBBT. But this year ATX is telling me that I can only use one bank, even though I can actively switch between the two banks in the online bank products manager Personally, I prefer SBBT. Customer service is better and turnaround time for Refund Transfers is only 9-11 days usually. That's pretty quick. But their 24 Hour product is expensive. It's $80-$90 more expensive than River CIty in many cases. River City is a good choice to have when I want to offer a better value to my customers. I had quite an animated discussion with Support because no where does it say that EROs must stick to one bank. It doesn't say it in the EULA, or on the page where you make the applications and can switch between banks all-season long. Once I said this, I was told that I could switch but I would be locked out for 24-48 hours. To me this doesn't sound like good info. I realize most of the users around here don't deal with Bank Products, but for those that do, have you had any experience with this tupe of issue yet?

Me too. However, I like to read through the entire manual so that I can be as informed as possible on the program's basic and semi-advanced features.

ATX TY2007 automatically filled this form in based on the boxes checked on the dependents input sheet. This year, it appears that the questions also have to checked manually on the EIC checklist as well. My point is, if I am checking these off on the dependent input page designed by ATX, why isn't the software propagating those choices on the checklist? Maybe it was a one time glitch or has been fixed in an update, I'll have to go back in check. But usually, while filling out the dependent input page, I ask the client line-by-line the various questions (name, relationship, lived with more than 6 months, student, etc) This used to propagate on the checklist as a result.

Where in the IRS rules does it require that a preparer verify proof of residency for more than 1/2 the year, support, and relationship? Are we to have clients bring in letters from a government agency, school, or church to verify address. Should we start requesting birth certificates for nieces or nephews, sons, daughters, grandchildren? There are rules. Our job as the professional are to explain the rules to the taxpayer. Some tax preparers have the client sign the EIC checklist or a customized document to "protect" themselves. By requesting additional documentation from some individuals opens yourself to a discrimination lawsuit from a client unless you ask for the same type of documentation from all clients. Not even H&R Block attempts to verify all the qualifications to be claimed as a dependent, and they have one of the better relationships with the the IRS.

Use the links provided above. The reason I know that it was looking for .Net framework because I noticed it was looking for certain .Net files in the install... and then it would produce an error dialog box. So now I have .Net 3.5 running on both the server and the workstation and everything is fine. I'm not sure it will help you, since your error seems related to a print operation or driver. But it's worth a try.

Did everyone here get a user's manual for ATX TY 2008? I can't seem to find mine and now I don't even think they shipped a manual this year. Are they relying on a PDF this year?

The way I feel is that I am not an IRS employee so it's not my job to force a client to prove to me that a dependent lives with them. I explain to the client the IRS rules for claiming a dependent. If they understand the rules, and agree to file the return claiming said dependent, they are liable, not you. If the IRS desires additional evidence, they will mail them the request, and adjust the return as necessary.

Do you have the latest Microsoft .Net Framework running on both computers? I had to upgrade my networked PC to .Net Framework 3.5 before it would install correctly. Both the "server" and the "workstation" run XP Home SP3.

Has anyone else noticed that the EIC checklist now requires that you answer 4-5 questions regarding the eligibility of the taxpayer before it will calculate the EIC? Is this a bug or am I really going to have to do this now for every single client who qualifies for the EIC? :unsure:

I have a client, who is also a family member, who received about a lump sum payment of about $25K in Social Security Disability payments. The lump-sum payment covered 3 years of benefits, 2007-2006-2005. Last year, when he filed, I used the Worksheet within ATX to determine if any of it was taxable. The SSA provided him with a breakdown of the amounts applicable to each year. The worksheet indicated no tax was due, because his income was low those years and the amounts of disability payments were low enough when spread over the 3 years. In December he received a letter from the IRS stating that he failed to report the earning and he owes them. I have power or attorney. It seems that ATX doesn't e-file the worksheet, so the IRS probably never saw the calculation of the lump sum over the 3 years. Does he have to take a hit on the tax all in one year? I was under the impression that the worksheet existed for the very purpose to determine if the payments were not taxable....

There are already some peeves I am developing for 2008. My first is the fact that ATX still has not instituted an "Automatic Update" feature, sort of like "Windows Update". How hard is it for them to have their server send the software a notice that an update is available? This might not seem like a big deal. But during peak hours it can get hectic, with the seat in front of my desk not evening getting cool before the next customer settles into it. The most horrendous problem is that if you create any returns under the "older" version, you cannot transmit them, and must recreate all the e-files. This isn't as easy as it sounds, because I have found that some forms refuse to update within those returns, so you have to delete the form (and all the important data in it), and add it again to see the newer version. I remember last year. I updated in the morning and did about 9 returns by mid afternoon. When I tried to transmit, I got the dreaded "old program version". It took me nearly an hour to clean up the stubborn forms that wouldn't update to a newer version of themselves that also happened to be released. Is it so hard to at least give us the option to auto update if we choose? It's hard to remember to hit that update button during busy times.

Is anyone here familiar with network setups? The reason I ask is because I have two workstations that work fine when I enable only the Windows Firewall on both machines. However, I would like to use ZoneAlarm for the added security of preventing outbound unauthorized transmissions. The problem is that when ZoneAlarm is running on the Server (which also doubles as a workstation), the other PC cannot connect to the server because of ZoneAlarm. I get no ZoneAlarm alerts on the server. If I did I would just allow the connection. I know there is something I have to do with the internet settings to place the second workstation within "the trusted zone" in the network. But I don't know how. Last year, I just uninstalled ZoneAlarm completley because I couldn't figure it out. The built-in Windows firewall didn't seem to have a problem. Any thoughts?