Lion EA

I use IRS's DirectPay: https://www.irs.gov/payments Or, I make the 2021 Extension payment large enough to cover both the 2021 balance due + the 2022Q1 ES payment. Then when filing the 2021 return, apply the refund to 2022Q1 ES.

Thanx, everyone.

And, Pell Grants can be used for practically anything college related, such as room & board. Yes, you need the bursar's statement to see what those other expenses are, as well as receipts from student/parent re books, computer, and things. And, the timing of payments, expenses, scholarships, etc. Drill down to the code.

Thanx, all. Yes, Box 7 + Box 3 = Box 1. And, I get no diagnostics. Haven't had a Box 7 before (I do have a hairdresser with unreported tips, but I know what form to use.) Medicare tax is perfect for Box 5. But SS tax is too much for Box 3 alone, but too little for Box 3 + Box 7. Again, I'm not getting any diagnostics. And, it's a kid who's under the standard deduction and getting all his w/h back.

First time ever: W-2 Box 7 Social security tips for $3,200. Is the $3,200 already included in Boxes 1 through 6? Do I have to put the $3,200 anyplace?

I haven't had one this year, but... I think the taxable part is $8,000 X the ratio of 15000/40000 with 10% penalty on that same amount. And, can you use Room & Board against his 529 Plan distributions? Books? Etc. TTB give Qualifying Expenses: Books, supplies, equipment, room & board if at least 1/2 time, computer equipment, software, internet access, related services. TTB says Tax-free earnings = Earnings X Adjusted qualified education expenses/Total distribution Taxable earnings = Earnings - Tax-free earnings So, what TTB says.

That's my concern this year in this very compressed season when I'm putting so many clients on extension, and a bunch of them owe. The easiest -- but not a check in the mail -- way for them to pay what I compute for them. And whether their online payments substitute for me e-filing their extensions. I have about 13 states (FL & TN are no problem) such as CT, NY, MA, PA, IL, CA, CO, SC,...

Some of my states are NOT allowing me to file extensions with a balance due but NO payment made with the extension. Would you still e-file but claim a zero balance? Then have client mail a check or go on the state website? Also, one client last year where I had for years e-filed his extension and then he'd go online to pay -- last year he received a letter that his e-payment was a duplicate extension filing and therefore DENIED. What are all of you doing about extensions with balances due?

They're already an entity, MMLLC being taxed as a partnership by default. So they only have to elect to be taxed as an S-corporation, only have to CHANGE their entity for tax purposes.

If already a MMLLC, then NO Form 8823. Just the 2553.

You have to read the terms of each scholarship. Some are restricted to tuition only. Let's say your daughter has $10,000 in tuition and $10,000 in scholarships. That's not bad; a free education. But what if not all her scholarship(s) are restricted to only tuition; maybe $4,000 may be used for other expenses, such as room and board. Now she has $6,000 tax-free scholarships applied to tuition and $4,000 taxable scholarships at her tax rate of 0%-10% (does Kiddie Tax kick in over $2,200?). But you now have $4,000 paid toward her tuition for a full AOC of $2,500; a credit that's valuable at your typical marginal rate of 22% or 24%. You have to run the numbers to get the best outcome for the whole family, but there are possibilities to be a real hero to your clients.

I'd use Sche E when qualified to save SE tax. You can use any reasonable method to split the utilities, such as by square footage.

An LLC files only 2553. Make sure your client is running the business like a corporation, reasonable compensation on payroll, etc. (What's an LLC tax return?)

Extension. Tell minister to ask for a corrected W-2.

The IRS suggests this method. Read the sections on "Coordination." https://www.irs.gov/pub/irs-pdf/p970.pdf

I don't have a problem with EIC for a senior citizen under the new regs. I do have a problem with SS/Medicare withholding for clergy. Clergy are hybrid employees, employees for income tax purposes and self-employed for SS/Medicare AKA Self-Employment Tax purposes. Their returns typically include Schedules C and SE. This isn't my niche, so ask around and do your research. https://www.irs.gov/businesses/small-businesses-self-employed/members-of-the-clergy https://www.irs.gov/taxtopics/tc417

And, make sure you check out the separate TaxWise forum , or Drake forum, or whatever software you use forum, also, within this website. I don't use any of those, but I love the main forum - ATX Community - for tax help, practice help, help help, and good cheer. As well as putting up with my rants. With some of the best colleagues to ever meet around this virtual water cooler.

So, have them mail in checks this week? I'm so reluctant to have anything mailed. That is what I always did in the past, though.

I'm attacking extensions, more extensions than I've had, ever. Those that owe, I've sent to IRS's DirectPay and their state(s) equivalent sites to make a payment that also files an extension. But those have been just a couple who are computer savvy and are used to making their ES and other payments online. This year I have more, such as new clients I can't fit in until the summer. Would you send them to DirectPay + State? Then, I don't know if they did it, when, for how much, and most importantly, if they actually clicked on the right items to record a 2021 Extension. Or would you e-file their extensions yourself, meaning you need a signature for direct debit? I haven't even done that before, an extension payment needing a signature with an e-filed extension.

Each taxpayer should call the department responsible for issuing unemployment benefits in the state sending him Form 1099-G if he did NOT apply for/receive unemployment benefits. The IRS has been issuing guidance on this since 2020. cbslee said the IRS recently released revised FAQs for UCE. Here's an older one: https://www.irs.gov/newsroom/irs-offers-guidance-to-taxpayers-on-identity-theft-involving-unemployment-benefits

You mean like Abby showed above?

Terry, I think you'll love TTB WebLibrary. You probably have prior years and All States and Tools and... Under Tools for Tax Pros, there's a WebLibrary Guide. Enjoy!

https://proconnect.intuit.com/community/lacerte-tax-discussions/discussion/ppp-loan-forgiveness-statement/00/196854

I have TTB Web Library Plus, but don't open it first; though I'm getting better using it over time. Also have TTB Deluxe which I'm used to using after many years. But my favorite (and priciest, but I don't get all the bells & whistles) is CCH's AnswerConnect. It's freestanding AND it's inside ProSystem fx (ATX, also, right?) AND if I Google -- which is handy when I'm not sure of what search terms I need -- AnswerConnect links show up in Google searches (and Edge and IE and in other browser results). AnswerConnect gets better each year, and does anticipate what I'm looking for based on my stab at what search term I try. It has links to the tax code, court cases, practice tips, law explanations, states, charts, everything from one search.

And, those "simple" college kids' returns, don't forget kiddie tax! So, I can't complete any of the kids' returns until I prepare the parents' returns. So, a family of parents, two kids, and a trust for each kid takes days, not hours. Add a partnership or S-corporation to the parents, and it can be weeks to clean up the bookkeeping, drag all the missing forms out of the family, and prepare all six connected returns before those two "easy" kids' returns are complete. And, nobody remembers to give me their Car Tax.