Lion EA

Tell him the max he can contribute and ask him what he's going to do. I have a couple of clients who like nice round numbers and would never add the extra $87.12 and others who would go up to the max. It's their decision.

A very :bday:

Hey, that's why many of us are no longer with Block! However, they have a big legal department, so if they said it was against the law to reveal clients' names without a warrant, then that was probably true, at least at that time. It would've been to their advantage to make it go away as quickly as possible. They gained nothing by delaying and lost plenty due to bad press during the delay.

A very :bday:

Wouldn't giving out the name of a client fall under the disclosure of information for OTHER than tax preparation rules and call for the client's signed consent prior to naming him? So many of us worked for Block in the past. Block taught me to NOT mention the name of a client nor even enough identifying characteristics that someone could identify the client based on my description. When a receptionist in White Plains pilfered client credit card information, Block said they could not provide the police a list of clients who might be affected until the police returned with a warrant due to confidentiality.

Do tax preparers wear the costumes and act as barkers, or do they hire separate characters?

And, now we've sent some of that attitude to D.C.!

And, you can get it in the FREE e-file marketing kit from the IRS with the schedule printed on slick paper and brochures explaining e-file and payment options and some cute stickers to denote the client copy as e-filed and a desk sign and posters and...

It sounds like part of his job search expenses.

I'd deal with 2008 with the documents I was given, if they came from other bookkeeping. But, I'd lay out the correct procedure for 2009. Set him up for EFTPS to direct debit his ES, maybe. If he doesn't file ES, then can he be trusted to get you a good balance sheet, file annual reports with the state, and do other obligations of an S-corp? If he needs simplicity, he's probably better off as a sole proprietor/LLC. If he needs withholding, then explain the requirements for an S-corp. You do have a very few more days to make the election for 2009, if that's really best for him. You explain his choices; he makes the decision. You live with it or send him elsewhere. Maybe you can train his bookkeeper, preferably for a fee.

Obviously, if she has some high interest rate debt, she should pay that down first. But, otherwise, putting $7,500 against the principal of a 30-year loan will make a nice difference in the true cost of her home.

It seems to me that the highest concentration of the wealthy are in D.C. Didn't they give themselves raises recently? And, we know they don't have to pay taxes, and when forced to don't have to pay penalties and interest or go to jail.

I make the clients give me the FMV. I do provide the Goodwill and Salvation Army web sites and Tax Book lists and sometimes some others if current. I do explain the meaning of FMV. I don't insist upon their writing or signature since more and more is done over the phone, but I try to ask the question via e-mail so I can print out a hard-copy of their answer. As far as purchase date and purchase price, I'll put Various and an amount 4-5 times the FMV once they give me the FMV. Yes, I try to get ALL the information from them, but if I get FMV from them, I'm happy enough.

Take the loan and pay down her principal. Show her how much she'll save. Then, raise her fee!

Probably estimate and charge hourly. Tell him you'll give him a template/sample to do the bookkeeping himself to save X hours or Y $. Or, if you have a good handle on your form charges, estimate using forms. Charge a lot more for other states than your home state. I agree with those that say estimate high. You'll find more when you get into it. And, if you don't, you apply a discount this year.

Happy!

Don't we have to keep our clients' identities confidential? Not just names, but identifying information? How can he talk to his per diem firm about a client from his personal firm?

If the aunt died after giving a gift, it's still a gift and follows those rules. If the reason your client has the stock is because he inherited it from his aunt who still owned the stock when she died, then it's an inheritance and follows those rules. And, why do you have to amend 2007. Did he sell the stock in 2007?

If he received the stocks as a gift from his aunt who was alive, his basis is her basis and his holding period includes hers. If he inherited stocks from his aunt upon her death, his basis is the FMV on her DOD or alternate valuation date and the stocks are long-term no matter how long held. Did he have income from the stocks during 2007? If not, why do you have to amend?

If they bought a house for purely tax reasons, they're just adding to the "housing crisis." If they bought a house for family reasons, because it fits within their budget and lifestyle, etc., then the fact that they get tax advantages from mortgage interest, property taxes, points, etc., should be icing on their cake.

I vaguely remember something about a W-2 from a new employer, EIN issued within the year, disqualifying a return for e-file.

Hey, let's stop picking on each other. This is the place we can go to vent with colleagues. We see things in our practices that we can't mention to other clients or friends or family who might be able to infer identities. Here we can talk about anonymous clients, vent, and return to our desks as politically correct preparers. So someone noticed that married couples were filing two HOH returns and returning to their nearby homeland when the feds came knocking. Just an observation. So what. Read his story or don't read it. I took it as a geographical observation rather than a dig at any nationality. I don't have any relatives from the country that was mentioned, so am not trying to tell you not to be offended. But, if you are, stop reading this thread and read another that enhances your tax knowledge or gives you a laugh or unites you with fellow posters. Don't stick around here if it's stressful.

I'd also contact the IRS's new Identity Theft unit and SS to ask about activity on his account. Get all three credit reports to see if someone has been opening up accounts, taking out loans, etc.

Happy!

It sounds like the tax for a prior year, catching up.