Lion EA

Does she qualify to be a dependent of her parents?

https://www.irs.gov/help/ita/whom-may-i-claim-as-a-dependent

Both. The property was in Kentucky, so Kentucky wants their tax, probably on a NR Kentucky return. Wisconsin will tax his worldwide income while a resident, so it'll be on a PY Wisconsin return, taking a credit for taxes paid to Kentucky on that same gain from the sale. But, I don't prepare returns for either state, so can't tell you if Kentucky has a NRPY return as one return. Read the instructions on their website. Someone will jump in here who knows about a Kentucky NRPY return.

He is adorable! 

I need pictures! What is a Morkey? What do your cats think about your dog?

Use the LLC. Save the AOC for his 4 most expensive years.

I think it's for post-secondary education only, so I guess that means he has to have completed secondary ed...

Can you personalize each clay pigeon?!

I found it !!! Can't tell how full the bottle is, though (dark under your desk).

But then we're waiting on signatures to direct debit payment  to the IRS, and especially to the states where so many require payment to accept the extension. I've been sending these late ones to DirectPay and their state equivalents. Then they call/email me with questions, but I can go only so far in the states to tell them each step. I'm tired. And, cranky!

You're a natural teacher!

Wait a minute! I don't remember you under your desk with a bottle of whiskey. (Full or empty?) Was that in my handout?!

Is this a DIY project for a tax payer, or does it require an unbiased third-party cost segregator to break out the land from the fences from other land improvements to depreciate? Like getting a qualified appraiser.

Any Form W2-C exist for this employer to this employee, that used along with the W-2 you have would solve the mystery?

Yes, we held Catherine's previews at the NY/CT-ATP September Super Session last year!

Did the employee contribute his full wages to a 401(k) or 457 plan, health/dental/vision insurance, flexible spending accounts, or retirement and tax deferred savings plans? Is that even allowed?! If so, his contribution would NOT appear in Box 1 but would be taxed in Boxes 3-6.

I tell them they can lower the amount if they want, but to write it down on the list I gave them &/or make a copy.

I push DirectPay and the state equivalent, because they get instant confirmation. I tell them to save the confirmation AND to send it to me each time they pay an estimate. That way I have amounts and dates. If I haven't gotten 3 confirmations from a client by December, I remind them and adjust their 4Q amount if needed.

I also strongly suggest the 4Q be paid by 15 December (instead of 15 January the next year) so when they look for all their 2024 expenses, that 4Q shows up as 2024.

If he has a daughter who assists him, you might ask her to use DirectPay and your state equivalent. Instant confirmation.

Kiddie Tax on taxable scholarships or no?

I think each school is required to provide the information based on whatever, % of their cost, geographical area, I don't know how formula is created, but I've seen such info on college websites back when our kids were students.

https://www.glassjacobson.com/blog/529-off-campus-housing/

Even when no one else fits in the vehicle, the driver might stop to pick up the dry cleaning or a gallon of milk on his/her way home or attend his kid's game after school or go to the dentist during the work day or...

The state where the house is located will want their taxes, too!

Awww. That's a letdown!

Yep, hadn't thought to look there at first, because I'm giving the now-former client away and NOT preparing a tax return for her. I do get my biz ELs from TTB, so I should've gone there first.

Thanks, everyone!

No, I'm firing clients, telling them to pick up their folders if they don't want extensions!

(I do have a local guy with availability who'll pay me for clients, if I'm in a mood to make a referral.)

The worst I've had is cigarette smoke. But I did have one year where the envelope the client dropped off included one of those perfume samples that are small, porous cards attached inside magazines. Really strong after being enclosed.

Thank you, that's what I was remembering, but the only thing I found in my searches was trade publications and not IRS. Going to save that release.

And that same executor just wrote to me this morning that 2021 is due in two weeks, and now has me second guessing myself. Let me write it out for my sanity: 2021, due 2022, so +3 = 2025. Is my mind still working? And, that was the July deadline in 2021?

And, what if deceased client filed an extension, let's say 2021 (she filed extensions every year and then actually filed a couple or three or more years at once!) but did NOT end up filing 2021 yet, because she died in 2023. Do we get 3 years from October 2021?

Executor told me lawyer filed 2023 returns. I had her confirm that yesterday, and he told her he filed only Form 706. Client died January 2023, so did we miss that due date/extension possibility?! I am so tired of this client. I'm so tired. I have an S-corp shareholder still questioning me for the last two weeks (again this afternoon) on individual lines from his 3-page P&L, but he has his own bookkeeper who created the P&L.

Thank you for letting me vent !!! My daughter sent me an You Got This gift box, so I'm going to light the candle and eat chocolate and get some work done!