Lion EA

I don't use ATX, but it's probably a box you need to check that he lived with his parents all year (all the year he was alive) or was born or died during 2016 or put 12 as months lived with parents or something along that line. Make sure you have his birth date in 2016 (I sometimes default to now, 2017, and get weird error messages). Save and exit and open and try again.

I know, it's not logical, it's just the law. In this case, it's business day vs. holiday/weekend. She doesn't have to pay much, so I'm going with the 18th. Haven't printed a payment voucher for a MA trust yet this year, haven't started the trust return! Thanks, everyone.

Thank you, Catherine. The MA DOR calendar on their website still gave 15 April as the date for estimated payments. True? (My MA trust does make ES payments.)

I know about Emancipation Day and how it moved federal deadlines to 18 April, and most of the states I work with follow. But, MA has their own Patriot's Day around that same time, so just double-checking that their holiday doesn't change the 18 April deadline for MA returns.

Am I reading the MA DOR calendar correctly that the deadline for MA income tax returns is Tuesday 18 April at midnight? Just checking that Patriots' Day (nothing to do with the football team!) doesn't move the deadline around this year. Only one MA resident and one MA trust and I think a couple NR college students this year. But, the ES payment is still due 15 April?

I downloaded Pub 970 to my desktop. I have a lot of clients with college kids, but almost none that have had 529 plans (and not sure about this one!!). Parents claim student so get to take ed credits -- still lots of tuition monies paid after grant and after 529 distribution to student (or to unknown SSN person). But, if the 529 distribution had been larger than ed expenses, the taxable earnings would be on the student's return, right? Freshman, so I'll have more years with this one; hope they correct the SSN before next year. And, yes, I understand that I can report more taxable income on student's return to save ed benefits for parents, but don't need any more for this family situation.

So, the 1098-T is reported on the parents' return when the student is their dependent, right? But, the 1099-Q is not reported on the parents' return?

It's in the student's name, but it's not his SSN. Not the SSN of his parents or sister, either. Was addressed to student. Recipient is an unknown SSN.

Do I report the distribution on the return of the recipient? If so, I'm not preparing the return of the recipient. To the person addressed? That's the student who spent it all on education -- so do I report anything? Or to the parents who claim the student as a dependent? (Now with the amounts as scholarships and distributions, I'm going to have to work on a support sheet. That doesn't happen much in Fairfield County, but the parents are entertainers with fluctuating incomes and a family of four while student had nearly $47,000 worth of scholarships, distributions, earned income, dividends, and interest.) One of three families that want their returns before the weekend to go on spring break.

Thank you. The recipient's SSN is NOT the student and is NOT either parent and is NOT the younger sister. What do I need to know about that?!

Form 1099-Q has student's name. Recipient's taxpayer ID# that is NOT student and NOT either parent. Distributions over $25,000. Expensive school, so tuition net of scholarships is nearly $33,000. I'm lost already. Please point me in the right direction to college distributions and college expenses on student's return &/or parents' joint return. (At least no divorce in the picture!) Don't know if grandparent funded the 529 plan. Want a road map before I call parents. Thank you.

I use 4835 as I have sharecroppers. There's a line for Lime that I actually used one year. And, cash rent on E. I just do what my cousins tell me!

I get Production Flexibility payments for not growing crops on certain parts of the IL farm that my grandfather bought in the 1880's. Maybe $42 per year! (I have only a few acres; my cousins have acreage also.) Our tax dollars at work.

Including our speaker Rita's wine per diem.

If she doesn't require RMDs yet and doesn't need the distribution and didn't take any distributions, then no 1099-R. Her choice to let it grow more until RMDs are required. If they don't file, the SOL never runs. Especially this year when you're suspicious that there might be income out there, urge them to file so if something shows up, at least they won't have a failure to file penalty. If you're suspicious, you could do a quick income vs. expenses calculation to see if they are living on only SS.

New bank didn't do RMD? Is she old enough that it's required? Have her call new bank. Curious!

I agree. If one employer creates an excess, employee must get that employer to refund his excess from within the company. If multiple employers create the excess, your client gets credit for excess taxes paid on his federal tax return.

I can never pass those "public database" type questions. They have too much information that has to do with my ex (1987 divorce) and his second wife. I don't know what street they lived on in Syracuse or what bank gave them a mortgage in Philly or how many cards they have from Brooks Brothers. I always fail. Couldn't reactivate my e-Services account online or even by telephone but had to wait for codes to arrive in the mail. I don't get any W-2s or 1099s in my name/SSN except the one from my sharecroppers who always, every single year have a typo; a different typo each year, but a typo. And, IRS says my cell is not in my name, but AT&T says it is in my name so can't change it to my name. I can't prove I'm me, but some thief in Turkey or someplace can prove he's me!

I have clients who assume they've been in line since February or whenever and now give me a K-1 or other info. They really don't understand why they might go on extensions as it's now April. The earlier deadline for partnerships really wrecked my usual schedules. Everything shifted late February to prepare S-corps and partnerships. Then had to pick up speed again on personal returns. Only to start getting the calls "I'm leaving for Disney World the 8th so I have to come sign before then." I may lose a couple of clients this year. Just told one easy one that never owes that she might go on extension and used Catherine's text to another who just gave me one more piece -- they'll think it's rude and they do not want an extension, but if they bug me one more time they definitely get an extension. And, I have a pinched nerve that radiates down my leg and slows my walking and dressing and...that I don't want to take the strong pain med that keeps me from working. Not to mention granddaughter was here last week, so took time off to go to the beach (in winter gear) and zoo and such.

OK, so the IRS site (e-Services? Get My Transcript?) was compromised and the IRS notified 100,000 people that their data may have been compromised, but the problem grew to over 600,000 people. The IRS told us to use their site to obtain an IP PIN so we could e-file, but they had to take down that site before I could. My point was that I was surprised that I was able to e-file the next year, when the IRS e-newsletters made it sound that that would be impossible without an IP PIN. I was hoping to make Terry feel a little better and let him know that not everything in his life will change forever due to possible ID theft.

A lot of my older clients don't have enough taxable income to be required to file a CT return. (I worked at Block, and we always included the state(s) returns in the client folder.)

A couple of years ago I filed an extension for our joint return 15 April. When I finally filed in October, return was rejected because spouse's (mine) SSN had been used. Mailed in with that five-digit form on top. (States still e-filed.) Send that form now. When you're ready to file, try e-filing; you want the rejection notice to include with your paper file. Immediately freeze all credit bureaus. We'd frozen years before when Anthem got hacked and that was hubby's health insurance for our family. Deal with things (credit card existing in your name) as they arise. AmEx has their own fraud department and had me sign a form allowing them to pursue. Unfortunately, no one, police, CC companies, IRS, states, can really provide you with much info. You can get a heavily redacted copy of any federal tax return filed using your SSN. Privacy laws don't always help us! The Federal Trade Commission has some great info and puts out free booklets you can have on hand for your clients (minimum order is like 100, but I ordered and gave away to other preparers; free plus free postage; our tax dollars at work): FTC.gov/idtheft Interestingly, I was able to e-file the next year. My hack came after the IRS had been hacked (e-Services?) and I didn't discover it until their IP PIN service had also been hacked, so I thought I'd be paper filing for the rest of my life. The down side to my issue was that I was e-filing the last day after all my paying clients. So, the mailed returns and checks were a day late! And, even the states were after midnight by the time I figured out I could send them without the fed. But, we try to owe a small amount, so nothing too bad there. It's time consuming. Good luck!

Exactly. Look for a treaty. He'll have to pay into one country's system. If it's the US, then he'll pay SE tax. If it's France, it may have already been withheld or paid with his return in France.

If he had SE income of the equivalent of US$400 or more, he owes SE tax and must file.

I have to try that.