JohnH

I'm not very familiar with non-profit accounting, but am learning. This 501(c)(3) reports about $260K in total revenue. Late last year it published a book authored by the director. Cost of printing and other book-related expenses was about $25K, which was charged to "Resource Development". Books were sold at full price, some discounts, and some were given away during the year. Average cost of the books remaining in inventory was about $18K at year-end. I see there's a place on the 990 to report inventory, but no place to report the full COGS calculation. So do we just reduce the $25K by $18K, or is there something I'm missing? If we do it this way, then in future years we will increase the charge to "Resource Development" by the average cost of books which leave inventory (whether by sale, discounted sale, or gift). Am I on the right track or is there another way? (I had considered just leaving the $25K in Resource Development and not accounting for inventory on the 990, but not sure this would be acceptable since the amount is material. So I'm leaning in the direction above). I'd appreciate any guidance or opinions you wish to offer.

That's what our church did when we initiated a name change about 18 months back. We sent a letter to IRS giving them the old and new names, with a certified copy of the Articles of Amendment attached. Took them about two months to acknowledge it. You might need to do the same with your state revenue dept if you have any state filing requirements. In the course of the changeover, it's also important to make changes to EFTPS registration as well, if that applies.

I think the taxpayer got VERY lucky on this one. I'm glad for him, but I'd have never predicted that outcome. Certainly wouldn't suggest it to anyone as a course of action.

And regardless of how she ultimately is able to file her income tax return, she may still need to file the FBAR.

You missed a spot...

Nice.

Good to know. If I ever get sideways with Drake I'd consider ATX again, but honestly I think that's very unlikely.

I came to the exact opposite conclusion with respect to the no-brainer side of the equation. Especially since input speed is only a part of the efficiency equation. Incredibly fast speed of backups, speed of updates, rapid startup - all run circles around ATX or any competition in this price range. The ability to write macros in Drake is an incredible time saver, but a novice Drake evaluator wouldn't even know what I'm talking about. Nothing touches Drake in all these areas. But, as Judy pointed out, to each his own. That's why each company is still in business. And anyone contemplating a change would do themselves a disservice not to do a through evaluation of each software package as well as the company backing it up.

Good suggestion. I predict that anyone who actually does a valid side-by-side comparison will conclude that Drake wins hands-down, simply on the basis of speed at all levels of operation (preparation, production, organization, backup, and updating). Since time is money, saving time means greater productivity and more money on the bottom line. But the problem is that a true comparison requires abandoning the notion that direct forms entry is all that important, and many people just can't break that dependency. Additionally, Drake's customer service and overall business practices leave everybody else in this price range in the dust. I readily admit that I'm a biased Drake user, but I will add that my bias is a result of long-time experience with both ATX and Drake (as well as with Ultra Tax prior to switching over several years ago).

And. If you REALLY value your time, switch to Drake. You'll find you have much more of it available.

Your day at the beach brought to you by their day at the beach...

What about a hybrid transition plan? Keep Ultra-Tax on a pay pre return basis while making ATX your main program? It might cost a little more in the transition year, but at least you don't have all your eggs in one basket. You have Ultra Tax to fall back on if you run into trouble on a given return, and you have protection against any sort of meltdown (software or operational). I've always advocated multiple platforms for complex, busy offices for this very reason. But in a transition year I'd say it's a necessity. If I were considering ATX again (which I'm not now that I've discovered the superiority of Drake), I'd certainly want the absolute assurance I had a way out of the mess if I found it to be a mistake. At least my practice wouldn't be in danger. Another advantage might just be that Ultra Tax would find a way to make their pricing more acceptable to you once you tell them you're transitioning to another vendor.

I thought this might be of interest. (but can't vouch for its accuracy) http://www.mirror.co.uk/tech/microsoft-forced-pay-woman-10000-8299880#rlabs=1 rt$category p$5

(Deleted - picture was unclear)

I thought of this thread today when I read something on www.bogleheads.org Financial Advisor: "Your portfolio need changing. It isn't set up to properly pay for college for the kids." Client: "I don't have any kids/" Financial Advisor: "I was talking about MY kids."

The extension would have completely eliminated the 5% monthly failure to file penalty. All that would have remained is the 1/2 of 1% monthly failure to pay penalty and a tiny amount of monthly interest. Filing an extension with proper estimates is an absolute guarantee that no FTF penalty will be assessed. It makes no difference how much is due on the estimate or whether the client pays all, some, or none of the balance due.

Very sad to hear. Will be praying for your nephew's family. Just had a client tell me of an almost identical story about his sister's son last week, also in his 20's. This has to be devastating to a parent.

So you're saying you don't want to hold her hand while she pays this off over the next 4-5 years, constantly reminding you of YOUR mistake without admitting her own mistakes of much greater magnitude? I think you're on the right track. Pay her the $194 and terminate. As long as she gives written acknowledgement of receipt of the $194, why should you care whether she sends it to the IRS or spends it getting her nails done?

It's all smoke & mirrors marketing. I prefer the way Drake handles this discount issue. Just like their software. Smooth, efficient, & predictable - with a minimum of fluff.

That's an inappropriate installation. Everyone knows that duct tape is the only acceptable means of attaching an auxiliary cooling unit to an electronic device.

Katherine: That's a nice organizer. Much more compact that most we see, but it covers all the major bases. mrewa: Whatever type of organizer you use, it's a great idea to email it to your clients (if you aren't already doing that).

Yep, that caught my attention too. A smart reviewer would note Rita's closing and say "It all looks good to me. Case closed."

A good friend who spent his banking career in commercial lending always says "You haven't sold anything until all the checks have cleared the bank". But he is speaking from the practical side rather than from the legal side. And he really has some interesting stories to tell .

I agree about TV and radio. I think the absolute best financial planning advice is found at this site: https://www.bogleheads.org/forum/index.php The quality of the discussion on that site is amazing. Nothing even closely compares to it, including one-on-one sit-down sessions with the majority of financial planners. But it does require spending some time to learn the basics of investing, which really are not very complicated once one cuts through all the noise & nonsense that passes for advice.