Bart

3 hours ago, Medlin Software said:

Must compare all possibilities to know which is most beneficial.

You can get both

Are you limited to only applying for one type of assistance?

I am trying to do a partial 1031 Exchange on a rental house held in a partnership. I can not seem to get Form 8824 to calculate the taxable portion correctly. Rental house sale price $200,000. Basis $140,000. Only purchased a new Rental for $170,000. Original Purchase price of Property sold $150,000

Kansas City Kansas and Kansas City Missouri are shutting down midnight Monday

Leave it to Intuit to keep giving us maddening programs.

There is income in excess of $600 since they sold stock for $4000.

Did someone on here ask me about Timeslips?

Not black balled.  You are a sixth degree black belt

My friend asked me what I saw myself doing tomorrow.  I said that is a silly question.  Do you think I have 2020 vision?

From another tax talk board they got a transcript from eservices a half hour ago.

Try Notice 2011-26, Administrative Exemptions to the Specified Tax Return Preparer Electronic Filing Requirement 

My two sons were born February 28 and March 4.  Sounds like me and my wife get reacquainted in the summer after deadline

I love eggs

You might point out to her that as long as the estate is still open (and it cant be closed until she signs so you can file the final return) there could be claims against the estate that she might have to pay if the estate has no money.

Mother owns and lives in house.  Mother puts daughter on deed so house will automatically pass to daughter at time of death to avoid probate.  Mother dies five years later.  When is daughter's basis determined?

There is now another level of assurance to producing financial statements.  It is called financial statement preparation and I think only CPAs can do them also.  They have an assurance level below compilation.  They require an engagement letter that includes a lot of the language in a compilation report but when you issue the financial statement you do not attach any kind of accountants letter.  I have my book ordered and will learn more about it then and in a future CPE class.

5 hours ago, Lion EA said:

Donor of trust did NOT die, so that trust is still irrevocable, right? 

Donor of the trust did NOT die, so that trust is still REVOCABLE by the donor.

2 hours ago, Lion EA said:

Sorry to muddy the waters with the trust. That's a whole different topic, I think. (CPA gave them the brokerage statement as if it's reported on their joint return.) They didn't tell me about it. Discovered the brokerage statement in their paperwork. I now have the trust document, and it uses language like Donor and Revocable. But, MIL's/donor's lawyer obtained an EIN for the trust. So, I'm not sure if it's a standalone on a 1041 by my client or if it needs to be reported by MIL/donor. But I told client that as it was a surprise to me, it's not on my schedule for right now. I will return to that after managing to complete their personal returns and preparing returns for a couple other clients.

 

If the trust is a revocable trust, even if it has a federal ID number, it is reported on the donor's tax return.

Why would wages be exempt from income taxes?  I have a W-2 from ADP that is blank in Box 1 and two and has amounts in boxes 3, 4, 5 and 6.  In the earnings summary provided by ADP it shows gross pay for the amounts in box 3 and 5 then it subtracts out "Exempt Wages"  of the same amount to get a zero balance.

How has the SMLLC elected to be taxed?

When we have a tax return picked up we explain the signature pages and have the client sign.  One of the pages verifies their bank info.  We have them initial by the account number and sign and date at the bottom.  Had a lady who is separated from her husband.  His account was listed on her return.  Her $800 refund went into his account and he will not give it to her.  He is due a $1200 refund.  She was really upset with us and wanted us to list her account on his return or call the IRS and have them take it back out of his account.  She did sign the form verifying the account.

I missed that the estate started in 2017.  I think you are correct Gail.  I thought Danrvan was saying the estate did not get a step up in basis.  Jeez April 10 and I am easily confused.  Imagine that.

7 hours ago, DANRVAN said:

After assets pass from estate, heirs get stepped up basis less depreciation allowable by estate.  Look up  Uniform of Basis Rules per reg 1.1014-4.

That can be significant if estate has a long drawn out duration.

In reg 1.1014-4

If the bequest is of the residue to trustees intrust, and the executors do not distribute the residue to such trustees until five years after the death of the decedent, the basis of each piece of property left by the decedent and thus received, in the hands of the trustees, is its fair market value at the time when the decedent dies. If the bequest is to trustees in trust to pay to A during his lifetime the income of the property bequeathed, and after his death to distribute such property to the survivors of a class, and upon A's death the property is distributed to the taxpayer as the sole survivor, the basis of such property, in the hands of the taxpayer, is its fair market value at the time when the decedent died.

I read that to mean the estate/trust does get a stepped up/down basis to FMV at date of death.

and have a nice audit

There is no 3115.  There is no missed depreciation for the estate.  DOD step up basis starts everything from new.