Lion EA

The tiebreaker rules come into play if two people try to claim one child; the IRS steps in to break the tie. If the parents living together cooperate, which I would expect since they're both parents and living together, you can work it out to the best benefit of the whole household staying within the law. Pacun's way works. However, did she (maybe via a joint checking account) pay half the upkeep of the house? It is possible for her to be HOH if the housing costs aren't expensive. You see their whole picture. Run the numbers every way you can think of. Do a housing spreadsheet. Also, some planning for 2015 is an opportunity for you to help them pay the lowest legal tax liability.

Yes. If they were not in business, then they don't have an accounting method until they start in business. So, you have a chance to start them out under the new repair regs. Would also apply to a 2013 return just being filed now as new repair regs could be used for 2013, I think. Annual elections.

Some timeframes have to be within a certain time of the lack of insurance. Not sure about bankruptcy. But, if insurance gap was February - May, maybe the bankruptcy needs to be within six months before or after the gap, or during the gap. I have no idea. Charge him a bundle for research.

Sample forms filled out as examples from BrassTax for $20. Worth the money. And, a spreadsheet for attachments is free. http://brasstax.com/3115%20Booklet.htm Also, free newsletters from David & Mary Mellem: Dave L Mellem <[email protected]> Make sure you ask him for his 01/30/2015 newsletter Form 3115 Requirements and Our Interpretation.

Form 3115 as part of return with pdf attachments for any worksheets I create outside the return. Still have to mail a second one to Ogden or where ever. Only a very specific list of documents get mailed with 8453.

Talk to her about MFJ. It might save them both some money.

Didn't they spend their wedding night together? Just met at the JP's office and then went their separate ways?!

If he's gone the second half of the year, never to return, HOH is easy to defend for the spouse. But they got married in November! I'd suspect they spent at least a few hours under the same roof. And, he's in the military! That just screams temporary. (Either he's getting out someday or she's going to join him some day or just spend R&Rs together.) Both those choices really imply that they will eventually spend time under the same roof (and probably already have). I think it would be hard to defend that this is a permanent separation when they just got married in November. Doesn't marriage imply you intend to spend some time together? Really tough sell to an auditor. Now, if they'd been married with him in the military and her filing for divorce in November, maybe you could make a case.

When their eyes get big looking at my bill, I heft their thick folder and say, "You're lucky I don't charge by the pound!" Usually gets a smile as they reach for their wallet.

It has been fun seeing physicists and other scientists getting some press recently!

Agree with everything Easy said -- except new laws taking effect in June or any partial year. Remember the years when we had two mileage rates during one calendar year? When I'm king of the world, all tax laws will take effect 1 January, but as Easy said, at least six months after voted and final.

I want a fat client copy so I can charge a fat fee!

I root for the commercials!

Outdoor Hands: http://www.outdoorhands.com/site/

The estate could've made significant portfolio income which it passes along to the benes. If your client inherited a stock on DOD, there would be no income. But, if that stock has been paying dividends since DOD or bonds paid interest or..., then the estate had income to pass through. Maybe something like that is your case.

Amendments are in May or later. Separate bill.

My clientele sounds a lot like Gail's. However, I do a freebie for a family friend. I've spent a month with her (and with her mother in tears saying all her 33-year-old daughter's friends have their refunds) and AccessHealthCT and Husky to see if she's going to receive Form 1095-A or not. AccessHealthCT is mailing forms, but Medicaid via Husky is not, but client says her family is not on Medicaid. Very time consuming. I could not charge enough for this. And, as Gail says, I should be reviewing biz clients records and preparing 3115s now. People are starting to drop off even though they haven't received brokerage statements. Lots of phone calls. I let more and more go to voice mail. I'm running to catch up this season.

I expect some employees with employer coverage only for the employee. So, still have to ask questions for the rest of the family members that might result in a separate form. And, next year we have to wait for the 1095s for everyone (well, maybe not Medicare users, but they might have SS and thus a piece of paper). Struggling now with a family that used the marketplace, so waiting for 1095-A. But, marketplace sent her to Husky, which is really Medicaid and does NOT send a 1095. Except that client swears it's NOT Medicaid and all her mailings say the marketplace, so I'm making her wait until next week to see if she does get a 1095-A from the marketplace. Then client's mom calls me in tears, because all her daughter's friends got their refunds last Monday. I can't talk to you, mom. Daughter/client is 33 years old, by the way! This is VERY time-consuming, even though this may up as just a check-the-box.

Gotta love IntelliConnect: U.S. Master Tax Guide (2015),1010A.Legal Fees and Costs Related Information – Federal An individual can deduct from gross income attorney’s fees and court costs incurred in connection with an action involving: (1) a claim of unlawful discrimination; (2) certain claims against the federal government; or (3) a private cause of action under the Medicare Secondary Payer statute ( Code Sec. 62(a)(20)). 12 The deduction is limited to the amount includible in gross income on account of a judgment or settlement, whether as a lump sum or in periodic payments. The deduction is claimed by entering the amount and "UDC" on the dotted line next to line 36 of Form 1040 and including the amount in the total for that line. An “above-the-line” deduction (formally referred to as an adjustment to gross income) is also allowed for court costs and attorney’s fees paid by or on behalf of the taxpayer in connection with any whistleblower award under Code Sec. 7623( for providing information regarding tax law violations. The deduction cannot exceed the amount includible in gross income as a result of the award ( Code Sec. 62(a)(21)). 13 The taxpayer claims this deduction by entering the amount and "WBF" on the dotted line next to line 36 of Form 1040 and including the amount in the total for that line. For deductibility of legal fees associated with the production of income, see ¶1093. Footnotes 12FED ¶6002; FILEIND: 9,088; PTE §5,805 13FED ¶6002; FILEIND: 9,088

Sorry. Just remembering something, probably an e-Newsletter from NAEA or similar, that noted a new rev proc or reg or.... It may come to me in the middle of the night, so I'll post more if/when I remember.

Sat with client's bookkeeper last week and stepped through new 1099 wizard in QB. All was well. (They'd upgraded from 2010 to 2015.) She was going to print a couple to hold up to forms from Staples to make sure. We were going to print this week when I was in. Boss didn't want me in this week for a variety of reasons. Told her to print. She stepped through wizard and two of eight vendors changed amounts, one to $0 and other to higher than last week; diagnostic re thresholds; and a W-9 arrived for a new vendor that I didn't know about so wasn't mapped. I spent hours on the phone with her, but really can't do this without seeing her screen. I told her to check with her boss re me going in Monday.

If it was discrimination, and a narrow definition (hostile job environment/sexual discrimination/something?) then the lawyers' fees can get netted on line 21 instead of being a 2% on Sch A. As you say, I would not supply the wording but direct the lawyer to designate discrimination if appropriate to the settlement.

I file now to recipients and the week before the deadline to the IRS/SSA. There's always that call about a new address or even an error in the amount (had a husband/wife songwriting/singer team for a client; we didn't have the breakout right).

Excel worksheet is free; booklet is $20 but worth it: http://brasstax.com/3115%20Booklet.htm Lisa Ihm is a great speaker if you have the opportunity to hear her live or even take a home study course.

Nice. Thank you for sharing.