JohnH

I can't speak for anyone else, but I am CERTAINLY getting an education reading these posts. Thanks for all the insights into how this process works and the warnings concerning the pitfalls.

CONGRATULATIONS !

Yes, politics at all levels is essentially the art of selling influence and buying votes. By the time they get on the national scene, they are already owned by one or more special interests. You're right - we're crossing the line here. I'm going to stop. Not because I don't find it interesting, but I have lots of work to do. Need to earn that income so I can pay those taxes, and at several levels I'm grateful to have that sort of problem.

I agree with the above up to a point. But taken to its logical extremes, it breaks down. I'm sure that logic worked for many tax preparers when they had clients sitting in their office while the little hourglass spun, or the software crashed. I can almost hear the conversation "Yes, I know it's agonizingly slow, but it it were faster it would cost more and/or wouldn't be as good." Hey, if that works for you and you have plenty of time to waste, go for it. Speed should never be an issue with tax software - this is not rocket surgery.

I don't see how ATX could ever beat Drake in speed - it never has in the past. I think they only way they can beat Drake's speed under current conditions would be to enable ATX to sense what you're about to do on the keyboard and do it for you. Maybe some sort of mind-reading capability. (Yes, I know I'm exaggerating.) But who knows, maybe ATX is learning their lesson and they can magically fix it. They certainly are telling us that is the case with this latest missive. Past history doesn't suggest that is likely, but if they ever do succeed at this I'll certainly acknowledge their accomplishment. Aside from having moved to Drake for purely business reasons, I have no hidden agenda or loyalties of any kind. This is all about business for me.

Gerald Ford and Ronald Reagan were politicians just like the rest of the crowd in Washington. I don't withhold criticism just because of the jersey someone happens to wear. And a true conservative who understands economics WOULD advocate elimination of the EIC and moving its administration where it belongs. As for your other comments, I disagree with the "job creation" myth associated with most business incentives. Depreciation is a legitimate deduction - accelerated depreciation is mostly a shell game for the gullible. Investment tax credits, job creation credits, and most of the remaining list of incentives are very similar to the EIC in their flawed logic. So on that point we are in agreement somewhat. There are some marginally logical arguments for special long term capital gains rates, but a one year time frame is way too short. I think it should be scaled, probably beginning at about 3 years. (Depends upon your definition of "long term"). And special taxation of dividends makes no sense to me, but then I think corporations which pay dividends are engaging in a shell game of their own. A well-run corporation should not pay dividends at all, and its shareholders should demand that it not do so. If shareholders need income, they should sell shares, which will be increasing in value if management is doing its job. (I base that primarily on the reasoning of John Bogle and Warren Buffett).

Yes, it's a very effective way for the government to steal what one citizen has earned and give it to another who hasn't earned it. Robin Hood government at a highly refined level. Incidentally, it hasn't affected the overall economy in the slightest, because in the process the government doesn't create any new wealth - it simply transfers it. Whatever spending the recipient is enabled to do is offset dollar-for-dollar by the spending ability that the victim of the theft loses. But it is very effective in buying votes. (Which is the primary reason the cynical politicians in those states have adopted it)

Looks like they noticed how fast Drake is (any maybe some other competitors). Good thing for ATX they realized smart tax preparers equate speed with greater revenue. One would get the impression they didn't know that until now.

Ordained by whom?

It was an extra special Fathers' day for me. I had the honor of baptizing my youngest grandson in this morning's service.

Thanks for filling in the details Judy. Don't know why I thought to ask the "related party" question. Maybe it derives from the habit of listening to what isn't being said...?

Is the rent paid to a related party? If so, there are special rules to consider.

The fact that his SE tax was credited to his wife suggests that the SS numbers were reversed across the entire return. That type of mistake can span several years, so you might want to look at their prior and subsequent years' returns to see if the same error occurred. That type of mistake typically happens when you first set up the client or when you change software vendors, and then it just continues until something of this type calls your attention to it. I'm not sure what kind of "relief" you are seeking, but I agree with jainen - this isn't about assigning blame, it's a matter of fixing the error.

You can print off a transmission receipt from the fax. I'd think that would be just as good as postal receipts. But it would be a good idea to call IRS in about 2-3 weeks to be sure it's being processed. I'm doing that now with a response to a CP2000 I faxed in back in late May. I called on June 7 and again on June 13. RS still doesn't show it as being in process, but they are logging my calls in the client's file. They told me that after we reach to 30-day mark, if it still isn't in the system they'd have me re-fax it. In any event, the most important thing to do is NOT fax and then mail a hard copy - that can cause lots of headaches.

If he owes the state $800, how much will he owe IRS when the state notifies them of the audit change?

Thanks OldJack. If they ever deny my 8944 I may fall back on that and postpone retiring another year or two. Sounds like it's going to be up to either you or me to be the last one to turn out the lights on the e-flinging happy dance.

I'm not sure why it would matter to you, unless you just enjoy being under the thumb of the IRS and want everyone else to be in the same boat. Personally, I've never aspired to be their lap dog. In any event, so far IRS hasn't agreed with your assessment. My approvals have all arrived in record time, with no questions asked. I think it has something to do with the way I word the request, but one never knows...

Glad it works well for you and most others. But one size does not fit all. For me, e-flinging will never be preferable. If IRS ever refuses to approve my 8944, that's the year I'll probably retire from the tax preparation business.

No problem whatsoever. You don't "get around" the IRS mandate at all - you comply with it. You flle Form 8944 and obtain a letter with a Waiver Reference Number.

Ditto!

She will also need to be on the lookout for electrical problems in the future. Oftentimes they don't show up right after the flooding, but then contacts & connections begin to corrode and odd things begin to happen. Seat belt retractors can also rust, which would be a definite safety hazard. Mold & mildew can also form in places & panels which are inaccessible. A car that had been flooded by fresh water is less of a concern than one which had been flooded by salt water, but in either case problems can surface long after the car appears to have dried out.

--> He is attempting to make me feel guilty because I informed him that unless the bank will re-issue the 1099-C with his SS# on it, the S-Corp must claim the income and "I do NOT want to pay tax on this money!" <--- Jack: Is he trying to make you feel guilty, or is he somehow trying to make you feel liable? You know how weird things can get with some clients, especially when they're in trouble. Their imaginations run wild and their common sense even wilder.

I second all that has been said in the last few posts. Reminds me of a situation I experienced on another forum. I rarely take offense on an emotional level, even when someone gets insulting. Generally insults and personal attacks are just water off a duck's back to me. But for some reason that I still don't fully understand, a person on the TMI forum really got under my skin a couple of years back. And I was clearly pushing that person's buttons as well. After a few grenades back & forth (plus a warning from the moderator), I simply hid that person's posts for a few weeks (as Judy suggested). That removed the temptation to take pot shots at him and freed us both up to focus on what's important. - TAXES. Eventually when seeing people reply to him on legitimate tax issues, my curiosity got the best of me and I removed the "hide". Haven't crossed swords with him since then, and if we found ourselves on opposite sides of something I believe now I'd just move on. Burying the hatchet is always wise, just as long as the place we bury it isn't in the other party's head.

Ah yes, that question of randomness and order. I worked with a guy when I was in the Air Force who was a perfectionist. When we would be playing cards, I'd deal left to right, and then occasionally switch during the deal and go reverse for a couple of rounds, then back to the usual. He would drive himself nuts trying to catch the cards (still face down on the table) and push them back to the "correct" person. But he had a sharp mind. After the hand was played, he could usually tell you how things "would have" turned out if I'd dealt properly.

If speed is your main priority, I haven't seen anything that tops Drake in that category. Since time & expertise are our merchandise, speed = money. That clinched it for me.