Lion EA

Wait a minute. When OP said father had rights to the children, did he mean he has rights to have the children live with him and the children actually did live with him? If the mother had the children for more nights during the year, she DOES claim the kids as dependents. If that was the case, then your client files Single with 0 dependents. He certainly can go back to court to try to amend the custody agreement to include the ex signing a 8332, but is it worth the cost? Why don't clients consult with us before they sign a legal document that has tax implications?!

And, it doesn't matter how much support each parent provides. It matters only that the child did not provide over 50% of his support.

Years ago when I was at Block, a family arrived with their kid and fast food. I cleared a spot on my desk for them to eat while I worked (didn't do a lot of returns with client there -- Premium office -- but a few). When they were done the kid actually asked Mom about cleaning up crumbs, but Mom told him to brush every thing on the floor just as she was doing, adding "they have a cleaning crew anyway." Well, those of you who worked for Block probably know we cleaned our own offices. By the way, she cleaned houses for a living! One freebie I do always brings me some Avon Skin-So-Soft products, because she knows I love them.

The IRS looks to the parent who had the kids the most nights during the year. File on paper and tell your client to gather documents that show the children lived with him: report cards, doctor bills, even pages from divorce decree which carries no legal weight with the IRS but may help with their reluctance to believe the father had physical custody, letters from his church and neighbors attesting to the children with the father, magazines or mail in the childrens' names arriving at his address, his 2013 calendar with notes about after-school events/parent-teacher-conferences/doctors' appointments/all the things we schedule for our families, everything you/he can think of for 2013 so he'll be prepared when he gets a letter from the IRS. By the way, a letter from his lawyer to hers might cost only 15 minutes of the paralegal's time and make his ex think twice before filing for 2014, unless she has more money than him to spend on lawyers and enjoys being the defendant in a lawsuit.

Email from a client who belongs to a model train club that's a 501( c)(4). Are his out-of-pocket expenses to volunteer at train shows deductible? (And, yes, I know the part about mileage &/or actual expenses; it's the 501( c)(4) part I need direction on.) His email: Occasionally the club gets a "donation" from the show sponsors. None of the club contributors get anything financial. We are strictly volunteers working at the show. The train club is a registered 501©(4) corporation. Am I able to deduct mileage, gas and hotel expenses for train shows?

Which tax prep softwares have a Mac version?

Yep, I'm in the Just Kill Me range, too!

Filo-Fax for me. Hubby has his calendar on his iPhone, but I want to see it spread out on paper.

I bet it costs less than my plow guy. Think I'll look online.

I think the poster meant the most recent revision/edition/whatever was not that long ago, maybe 2011.

When they want to go through all their documents with me, I put them to work going through all their documents -- but by themselves, sorting them into stacks. I have them separate all the income documents first, and then I grab that stack and tell them to separate all their deductions next, then we can see what's left. If they have a business, they usually have those separate from their personal, even if in a shopping bag or large plastic bin.

I used ATX for several years and changed the colors for each year. We need all the help we can get when we're busy to keep us in the right place. Each year I seem to have more prior year returns, clients who bring in two or more years at once, and even a fiscal year entity or two beginning in the prior year.

That middle section is when the businesses need their returns and K-1s, when brokerage statements come out and then get corrected, when a few K-1s start arriving, and when clients go skiing or to warmer climes on vacation when their school kids have a February or March break. So it's just as stressful for me.

Me too. More clients dropping off earlier. And then sending in more documents! People that were on extension last year not wanting extensions this year. And, I've had a sinus infection that wiped me out for over a week of moving slowly. And more clients calling for me to explain their documents to them, because HR or the broker or whoever doesn't return their calls. I have them queued up via date dropped off (and move them when they send me more info) but also have notes about the fiscal year nonprofit due 15 February and the S-corp who needs his K-1s by 26 February and all those leaving in March on vacation and not returning until after 15 April. And the prior year returns (why more every year?) who I have in my queue but may get put on the bottom of the stack as they're already late anyway. I'm overwhelmed. With businesses due 15 March and most of my clients finally getting their broker statements later this month and then corrected statements in March and clients leaving for spring break trips in March and April, I have no lull.

Call her to tell her you'll deduct her ratio of actual expenses for her car's business use. That should reduce her income and lower her EIC and drive her away for good. Did one yesterday with nearly $10,000 in refunds from IRS and CT. Her mother cares for the three kids frequently for free. Her boyfriend contributes financially, but apparently not more than 50% of housing costs (lives elsewhere). Last year she bought a car with her refund; this year it's vacations. If they were married, that $10,000 would disappear. They will probably never marry. If I divorced my husband...

I would want to see something in writing from the employer that the Form 1099-MISC was issued in error. Or, I'd include the income. By the way, if they do correct the 1099, will they then add it to a corrected W-2? I think you have to wait while your client interacts with her employer. Or, tell her your charge for amendments.

Each year your client will get a new DIFFERENT IP PIN. Enter his latest PIN.

It's piling on today. DIscovered my stepdaughter emailed me her docs at the end of Jan before I was sick, and I never moved them to my clients' folder and forgot about her! Biz client who usually files personal returns after 15 March is going out of town so needs his biz returns and K-1s by 26 Feb. Nice couple in FL each winter usually files near 15 April is going to Europe 11 March and needs returns earlier. A client needs me to go to her house to notarize her father's signature as he's getting too frail to leave the house. I have a doctor's appointment in a few minutes. Another client wants to discuss her new biz venture as she's starting it up NOW.

I've used the "no 1099" excuse to refuse to deduct an expense that I did not feel was really business-related; softer than calling a client a liar to her face. Sometimes it gets action. I had one gal who did get her mileage log together when she realized she had to answer a couple of questions on the return; but she didn't 1099 some workers that I suspected might've been babysitters and not really business assistants (didn't speak English!) so backed off on some expenses to avoid the 1099 questions. (And, yes, we had a discussion about child care, but I think there's no SS#.)

I definitely agree. If this is a continuing cleaner, tell your client to hand them a W-9 and tell them they can pick up their check when they return the filled out form. If your client leaves a check in the office or mails it, leave/mail the W-9 instead with a note. Tell your client he will have to withhold, which might get your client to take this more seriously if he has no employees/payroll and would have to deal with the withholding reports himself or pay you to prepare them.

When I lived in Santa Barbara, there was some Hawaiian king's holiday (maybe it was a Spanish settler, I really don't remember any more!) with a parade that closed the main street so no work got done.

If I'm preparing the 1099s for that client, I prepare the 1099 to the recipient with REFUSED and a W-9, and if I think they read English, a copy of the regs or instructions or whatever might get their attention. I tell the client to use Return Receipt Requested. Then we wait. I have client follow up with a phone calI. Come the end of February, or end of March if e-filing, I make sure client understands what his penalty will be when we file with IRS. If I'm not preparing 1099s, then client will answer the 1099 questions for his return with the truth. I'll make sure he knows the potential consequences. That's pretty expensive office cleaning, so I'd ask him again about the amount. (My whole house is only $2,340/year, but I don't have my OIH cleaned so it's only 9-10 rooms.) I haven't had the situation come up, but if I did my due diligence that he had a business-related expense that cost him $7,000 and we are answering the questions correctly, I would put the expense on the return. I can see where a client might have that number included with other repair & maintenance amounts and tell me the answers to the questions, and I might never suspect that something's missing anyway.

Thank you all. I'll do what I can. (Still fighting a sinus infection; priest afraid to drive in snow so I'm leading morning prayer Sunday instead of being just a chalicist so gotta work on readings and a homily; Wednesday biz client wants his info Wednesday for his personal returns; Thursday biz client wants her info Thursday for her personal returns; and hubby wants to go out for a Valentine's dinner.) But might end up having director sign and mail Tuesday. With the POs closed, I'm going to hope the Feds consider Monday a holiday. I'll reduce next year's fee by any penalty they pay. Or not. I already give them a 50% nonprofit discount. Let them wait !! (And, hubby too; I've already postponed Valentine's Day from his suggested Thursday to Sunday and now want to wait until the following weekend. So hard to be romantic during tax season!)

Exactly. When my guy who earns $500,000 (or 1,200,000) spends $100,000 on each family member per the support worksheet and invests the rest, and grandma's trust fund has income of only $50,000 to pay the student's tuition, room & board, and spending money, student is not paying over half his only support -- and his Earned Income is very definitely not more than half his support. So, (none of those high earners have come in yet this season) parents are eligible to claim their child and Kiddie Tax applies. But, you have to run the support worksheets for each case.

Is the PO open Monday? I grew up in IL where we celebrated Lincoln's birthday, even after the combined Lincoln/Washington Presidents' Day started being THE February holiday!