artp

Has anyone prepare a farmer's 1040 on TRX this year?

I have tried to find an input screen to mark the return as a farm return (more then 2/3 of the taxpayers income is from farming). This type of return needs to be filed by March 1st and estimate taxes are not required so it is an important distinction. In ATX there is a box to check in the general information screens, but I can not find a similar input in TRX. I have called tech support twice and only got some rookie who didn't have a clue what I was taling about. I have also send an email to tech support-no reply. I would appreciate some guidance.

Thanks,

Art

Thanks Mike & Ryan. We really need this forum. I will get back with you (to post my comments after the Super Bowl--a guy has to have his priorities straight-tax season or not.

Art

I just sent the following email to Ryan Toone @ TaxWorks as he was instrumental in assisting all of us through the conversion period.

There have been many posts regarding content and functionality with TRX Pro 1040 2010 software, 1040 Works from Red Gear, since I last corresponded with you during the conversion process.

We can't seem to get answers to our inquiries from TRX directly and was hoping that you could assist us as you were gracious enough to do during the conversion period.

Many thanks from all of us.

Mike Dubin CPA

Let's all keep our fingers crossed.

On the "letters" screen, there are options to print a privacy policy and an engagement letter. The Privacy Policy prints, but the engagement letter does not. I have not found any way to add the engagement letter to a return, and it does not appear in any of the distribution sets. Has anyone else figured this out? The search term "engagement" pulls up nothing on the TRX or Redgear help pages.

Julie,

I set up a custom letter that includes the cover letter, engagement letter and privay letter under the Settings>Custom Letter>Other Letters. After I open a return I go to Instruction Letters on the left navigation, check the box for custome letter and go to Other Letters and choose Privacy and Engagement from the pull down list. If you want to save this setup for all future returns hit Crtl D and it should bring this selection up on all future returns. (You do have to check the box for custom letter on each retrun). After you have opened the return in Review mode, all of the forms, schedules and letters should appear in left nagivation. You can then make a manual selecton of the forms to print by placing a check in the box for the forms you want to print. A better way is to select the distribution set from the Settings>Distribution Sets. Most any of the selection options will include all of ther letters so all you need to do is go to the Adv button (Advanced Form Delivery) icon and select the set you want to print. At the same time you can select a set to save to file.

Hope this helps.

Art

I have used the wagereportingonline software, which I think is what you are refering to. I am disappointed that the documentation is very sketchy and out of date (2009). When I tried to e-file a W-2 the notatiion in red at the top of the form says "this return has been efiled". When I click on the employee tab it shows a status of "e.file locked". What does this mean? Has the W-2 been accepted or what? Again, the user guide is not helpful and there is no support phone number or email. I have contacted TRX support, but they only have 1 individual who apparantly handles all inquiries and he is difficult to contact. If TRX is going to offer this product they need to support it better. Just my experience so far. I would appreciate others feedback/suggestions.

Art

Good evening everyone,

The comments are very nice to see and I want to take a quick minute to acknowledge what has been added here.

It is true that we have another smaill module called "Wage Reporting" that can be easily added to your current packages, and it is very inexpensive. I am not sure of the details because that is something between you and TRX, but it is simple to use and easy to access. Be sure to contact them so that you can get using it, and let me know if you have any additional thoughts or questions.

Thanks again.

Ryan

I am somewhat disappointed with this late communication regarding the issues that I raised some time ago. That being said I look forward to putting this behind us and moving forward.

Are these adjustments that you have already corrected now available through the upgrade from the internet function?

I will be happy to provide you with the returns in question. Please let me know ASAP how to get them to you?

Will you also be correcting the business return conversion programs as well before they become available?

I would like to go through the conversion process once as there will be many unresolved issues that need to be corrected manually for example, depreciation, multiple states, NOL, e file data, etc.

One thing that all tax preparers share in common is that we don't need any additional unnecessary work, especially with software issues, as the tax season approaches, we will have more than enough to deal with.

Thanks

Mike Dublin CPA

Mike,

I agree with your comments. I have had similar problems, but as you said they do seem to be making progress. I finally got all of my 1040 files converted. I am told that the business entity conversion package should be ready about 01/05/11 for download. I hope this will go better than the 1040's, luckily I only have about 25 or so. Please do keep the comments coming as we need to share our thoughts on this board. Hopefully, more users will find this board and post their comments.

Have a safe New Years !

Art

Ryan,

I am still waiting for a response to my question I posted earlier"

With respect to items 3 and 4 and the depreciation issue, if we take the time to make all of these manual corrections, will this information rollover correctly from your 2009 program to the 2010 program ? I hate to waste my time during tax season re-keying the same data again.

I would appreciate a direct response ASAP.

Thanks,

Art

Beckster,

I will have the team double check the birthday's as indicated above.

Also (FOR ALL), please note the additional changes/fields we have added over the past few days. My team is working very hard on other systems but based on your feedback, I have had them get some additional things done on ATX and wanted to point them out to you:

8283 grid – all fields added.

6251 – checkbox will allow the TW 6251 form to populate calculations. For this one to work, you will just need to uncheck and recheck the Preparer’s copy checkbox on the top of 6251 prior to converting, then the form will create with a checkbox in TW to print form and show the form with calculations.

2210 – the two amounts on the top of the form will convert if it’s a direct input or if those fields are auto populated from calculations from another location. Either way they are entered, they will now convert over.

4952 – has a few fields added. They are mapped to only fields that are direct inputs, not amounts that show as calculated from other forms.

Also, one of the issues raised in the forum was with assets prior depreciation. It dumps from ATX differently depending on the return so our team has added another mapping so that it will be covered both ways depending on how it dumps. We tested the changes with the customer’s live returns and they now work.

I know for some of you, this info and respective changes come too late, but we are appreciative of your feedback and use of returns, etc. As stated before, you have the option of going with what you already converted, or doing them again with the latest changes we have implemented. For those that have not converted, you will certainly benefit from the issues raised by counterparts on this forum, and as I mentioned, we appreciate that from our standpoint.

Please let me know if I can answer additional questions, etc.

Ryan

Ryan,

I have gone back and converted the balance of the returns that I had not previously manually corrected to see if the "fixes" you listed below are working. Here is what I have found so far.

Items 1,2,and 6 seem to be fixed for the limited testing I have done.

The 1099's still have some missing state codes. Additionally, any 9 digit zip code entry will error out on e-file audit review-dont't know if this is a program error or what. Most state code errors are for DC where the program fails to recognize the state code.

With respect to items 3 and 4 and the depreciation issue, if we take the time to make all of these manual corrections, will this information rollover correctly from your 2009 program to the 2010 program ? I hate to waste my time during tax season re-keying the same data again.

That is all I have so far. I am very interested to see what other users have to say. Please post your thoughts.

Thanks,

Art

Good evening.

I want to try and take what the team has come up with and summarize it for everyone to take a look at. Please let me know if you have any questions with regard to this response:

First, here are the corrections that have been made to our program, as a result of researching pieces of your feedback:

1. Almost all returns have an erroneous entry in the foreign address input field –

our mappings have been updated to remove random entry.

2. All MFJ returns have box checked for spouse claimed on another return –

With further review of this mapping the dump is the same regardless if the spouse box is checked or not. It is more likely a spouse would not be claimed on another person’s return. We do not want that box checking incorrectly anytime a client has a MFJ return. Due to ATX dumping with no differences to map correctly, this field has been removed. This will no longer be an issue to clients with the disclaimer that you will need to check by hand if spouse claimed on another return.

6. All W-2 input fields for SSN are blank even though the correct entry for T or S has come over –

This was happening if allowing ATX to auto populate would not convert the TP & SP SSN. This has been resolved by our team and it will now convert both as a direct input on the W-2 or as an auto populated field.

7. All 1099 forms have missing or incorrect address fields –

This was occurring if the address was foreign and auto populating. For all 1099 forms this has been resolved, and will now convert for direct input changes and auto populate for both domestic and foreign addresses.

As a sidenote, the direct feedback from this forum has been helpful for us to see real examples from the field and we have made some of these changes to be more universal, so there will be improvements to all of our conversion programs.

Second, there are a number of other legitimate issues that were raised, and we have tried to summarize our thoughts on those as well:

3. None of the e-file input forms are correctly populated –

We have never considered this for mapping, mostly because our competitors do not, and it is difficult in a number of ways.

4. Direct deposit information is not carried over. –

We have begun mapping these fields from some of the competitors, but when we work to get the best coverage for a system, while releasing it timely for our customers, we typically lower this info in terms of priority. I have made a note of it, and we will see what we can do next year to improve that coverage

5. All dates for signatures and letters default to current computer date.-no override available. –

This is not a conversion issue; the letter date can be overriden on the LTR screen “Letter date if different” and an invoice date can be overridden. This is on the INV screen “Date to print on invoice” It looks like both of these dates can be defaulted to a specific date that will show up all returns if that is what the user wants. We are not sure if there is a default for a signature date but we do not think so. We will try and follow up with the programmers of this particular code.

8. Virtually none of the depreciation schedules are converting properly. –

We agree that our assets conversion is fairly limited in this system. Due to restriction of time we were not able to get as much coverage, but we will look to make some adjustments on this for year in order to see some improvements.

Some other miscellaneous thoughts that may be helpful:

Our current conversion program does not include anything for state returns and that could be part of what you experience with some returns. That is in line with our competitors, for the most part, so at the current time it is not included.

For the Sch D, we would need to see the actual return with the Sch D that does convert and one that does not. In researching ATX again, it appears as there are multiple locations for entry so we need to look at each one in play. The situation is similar for the 6251 - as we haven't done much with the mappings on this form, but potentially could if we looked at a couple of returns you have mentioned.

NOL’s will generally need to be adjusted because we cannot do a mirror image return. We would need to see what NOL’s you are referring to in order to be of better assistance now and in the future for other customers.

Thanks,

Ryan

Can you please clarify. Are the corrections available now ? Is there an update that we need to run? If so, please explain. I have already run the conversion program and made many manual corrections for about 60 clients. Do I need to delete the conversions I have already processed, but not corrected ? I would appreciate a quick reply on this so I know how to proceed.

thanks,

Art

Thanks, Mike. I understand the dissapointment, and don't have a satisfying answer that will help at this point. We were not informed of the issues, and just happened across this community post from a co-worker.

To answer your questions, yes, the fixes are available now, and they will be applicable to the business returns once that system is released this month as well.

I will email you directly with how to get us those returns, and we will take a look accordingly.

We will do our best as a development team to help you as you get closer to the season, and we understand the need to eliminate or avoid any unnecessary work.

Thank you,

Ryan

Mike,

I am also disappointed with the converstion.

Here is what I have found so far:

1. Almost all returns have an erroneous entry in the foreign address input field.

2. All MFJ returns have box checked for spouse claimed on another return.

3. None of the e-file input forms are correctly populated

4. Direct deposit information is not carried over.

5. All dates for signatures and letters default to current computer date.-no override available.

6. All W-2 input fields for SSN are blank even though the correct entry for T or S has come over.

7. All 1099 forms have missing or incorrect address fields.

8. Virtually none of the depreciation schedules are converting properly.

I am forwarding this to TRX, but I based on my previous discussions with their tech support, I am doubtful that much can (or will) be done.

Art

I am somewhat disappointed with the conversion software from TRX. I downloaded about one month ago and converted all of my 1040 clients; business conversions are not available as yet. The initial results were less than nirvana.

The good news is that simple returns converted 100%, while others were rife with the following issues.

Multiple states appeared as only one state

Schedule D did not convert on all returns

Form 6251 appeared on some but not others.

Depreciation and NOL needed to be adjusted on all returns.

Many other less significant issues.

I spoke with Jeff from TRX who was involved with this software and advised him of my dissatisfaction with the conversion software, he looked into it and the result was that he was to have the developer contact me directly. As I previously stated, that was one month ago and I have heard from anyone as yet.

The good news is that my entire practice is about 50 returns with about one third business. If necessary I can reenter all of them and still be ready for 2010.

The bad news is that many of you are preparing quite a bit more returns than me and this can be a real problem for you.

I have converted previously from Tax Relief 1040 to ATX and had only minor issues with depreciation. This is what I was expecting from TRX but to date it hasn't materialized.

I would like to hear from others who have used this conversion software and see if the results are consistent with my outcomes.

Remember we are all in this together and as a united bloc we should have some clout!

I will keep you all posted and look forward to hearing from you about your outcomes.

Thanks

Mike Dubin CPA

I feel like chopped liver. I called ATX they quoted me $1154 with 10% discount. Of course they are kidding. I told them I had ATX since the 1990's and last year I had ATX through TRX. This is the renewal cost. Jake, the saleman, told me to tell him what I could afford and he would take it to his manager if I gave him my credit card today. Sorry, Mama did not raise a dummy. Told him TRX is offering at $299 with business and unlimited e-file. I don't like to haggle give me your best price to start with.

I was also thinking if I go with ATX how much more will the business portion be in the next years when businesses have to file 1099's (that includes me and you). Maybe I can learn a new program over the summer. TRX has free conversions and will help walk you through their program. Maribel is a nice salesperson at TRX.

Got only 3 days to make a decision. How I hate to rush.

I have also being using ATX for many years. I purchased TTO at discount through TRX last year. I contacted TRX to review their own product for comparison and got them to extend the $ 299 special thru 05/31/10. While reviewing their product, I also wanted to get a renewal price for MAX thru ATX since I really did not use the extra features in the TTO product. After 4 phone calls and promises to call me back over a six day period, I finally talked to Troy at ATX. He told me that almost all of the people who purchased TTO thru TRX were "not in their system" and had to be "manually added" in order to get a price quote"-excuse for no one calling be back I guess. Anyway the bottom line was $ 800 total price for MAX which would be good thru 05/31/10. Meanwhile, I have done several returns on TRX 1040 Pro and sat in on a webex for new customers. So far I generally like what I see-yes there is a learning curve, but given a little more time and practice I think the TRX product will work fine. So far the support people have patiently answered my questions and have made suggestions to help with the transition. They assured me they will be able to convert my 2009 ATX files and I should know how that works in a few seeks when hopefully the conversion package will be available. As for now I am stronly leaning toward TRX. I will post more as I work with the software and convert some 2009 files. Meanwhile, I suggest you may want to contact TRX and see if you can get them to extend the time frame for the $ 299 special to 05/31/10. Good luck with whatever you decide.

I received a call last week from CCH sales and retention inquiring if in fact if I would be returning to ATX for 2010. I had purchased ATX for 2009 through TRX and never looked back.

I explained my dissatisfaction with ATX specifically their altering the software without any notification, i.e. fixed assets, and subsequently offering to sell you the same functionality. In addition we discussed pricing, etc. He was ready to discount the software had I shown any interest in renewing!

I explained to him that I had already purchased Tax Works from TRX for 2010 for $299 plus shipping, which by the way includes their fixed asset manager, document manager, RIA Checkpoint and client write up with payroll. He wished me luck. I do believe that this offer of $299 is still available until May 1, 2010. Anybody interested should call TRX, http://www.trxalliance.com/index.html.

Best of luck to all.

Mike Dubin CPA

Mike,

Yes, that is still what they are offering. I am evaluating that same package now and I was able to get them to extend the time till 05/31/10. I am going to get a price check with ATX before making by software decision for next year.

Art

I got caught up in that Mcafee mess yesterday and it's hopefully fixed now, thanks to VMS. My subscription is about to run out and I am looking for a good security suite that will play well with ATX and Windows XP. I will be getting a new computer this summer, but I probably want to switch software now. I had Norton before and it caused lots of problems, but maybe they are better now. Thanks!

Bonnie

I have used Viper from SunBelt software for seveal years. Works great and very reasonably priced. Here is the IP address. Check it out.

http://www.sunbeltsoftware.com/

Art

I don't know for sure if I can help with this or not but here goes. The ALT, in my opinion, is the Alternative Depreciation Systems also known as ADS which you have identified. The alternative depreciation system has some fairly strict usage and once elected is irrevocable and usually gives a slower rate of recovery. Also, the ADS must be used which figuring the AMT. I have tried to come up with the figures you presented and am having trouble backing into it as well. Given more time, and that is not a luxury right now, I think this can be figured out. Here is a suggestion, see if your client is open for an extention that will allow you the extra time to work on the math. In the mean time,check out the depreciation tables in the my link below and see if they might be of any help. I tried only one of the tables that I thought were appropriate and still the numbers are off. The worse case scenario here is having to correct the depreciation from the previous year which will require amending that return.

My link

Thanks, I did try the ADS tables too. I will check out your link. Appreciate your reply.

>>cannot find 2007 return<<

Let's make a TV show about a forensic accountant who reconstructs depreciation schedules from obscure clues everyone else is missing. ALT will mean Add Laugh Track.

OK Jainen, I am glad you got a chuckle out of it.

I would really appreciate your thoughts on this:

John & Mary lived together (unmarried) in 2009 in John’s house. They plan on living together in 2010, but not get married in 2010.

John was divorced in May 2009. He and his former spouse lived in a home which was titled in his name only for over 5 years when she moved out in 2009. John retained the home after the divorce.

Mary was also divorced in Nov 2009. Her former spouse was the sole owner of the home they lived in for 6 years before she moved out in Dec 2008. Only his name appeared on the title, deed, loan, ect. He retained the home after the divorce.

If John were to buy a new home in 2010 would he be entitled to the FTHBC ? NO, because he fails the 3 year rule. Agree?

But could he qualify for the long-term credit? It appears he meets the 5 out of 8 year test so he should qualify. Agree ?

If Mary were to buy a new home in 2010 would she be entitled to the FTHBF? No, because of the imputed ownership with her former spouse. Agree?

But could she qualify for the long-term credit ? Even though she was not on the title, deed or loan documents she would still be considered an “owner” for purposes of the 5 out 8 year test. Agree ?

I'd guess ALT means Alternative.

OK ..but what does that mean? All I see in MACRS, ADS, ect

Pleading confused. Does anyone know what ALT depreciation method is? Prior accountant tax depreciation scheduled showed a 2007 SUV with a purchase price of $31,912 and 2008 bus use 49.84% business use %, no special allowance or Sec 179 taken in prior year, 5.0 YR life HY convention and A/D of $ 3879 and 2008 depreciation of $ 2672. I cannot work back to those figures. Client cannot find 2007 return or depreciation schedule and prior accountant went out of business. Can you give me a hand on this? Thanks

When did CCH say they're going to merge ATX with TaxWise?!?!

I see Drake in my future......

I signed up today as well. Got them to extend the date till May 31st to give my more time to review the software. If I am not satisfied I can get a full refund.

Please disregard the above post. Found answer in Pub 225

Looking at the rules under Sec 179 "single purpose agricultural or horticultural structures and storage facilites"-- grain bins seems to fit. Correct ?

The original posting was confusing to me, so I chose not to answer. Now, I *think* was OP is saying is that husband's 50% ownership when into the trust where the wife had the right to income from his share during her lifetime, and she (wife) retained her own 50% ownership outside the trust.

In that scenario, wouldn't the husband's 50% get the stepped up basis at the time contributed to the trust in 1982. Then the 50% ownership of wife outside the trust gets stepped up at her death. If that is the case, shouldn't the children's basis in 100% of the property be this: 50% coming from the trust at the 1982 value and the 50% coming from mom at the 2000 value?

Yes, that is what I was trying to convey in my original post.

>>On W’s death in 2000 her 50% [in parcel B] went to the children.<<

Why?

Her will provided that her interest went to the children upon her death. Or is there somethng I am missing in your response?

the 50% of parcel B that went to W, would get another step up in 2000 when W passed

Thanks for your replies. In the heat of tax season the brain cells sometimes get overloaded and I need some feedback from the people on this board.

>>Trust held title to the land until W died and the children inherited<<

The trust received a step-up at creation with the children as remainder beneficiaries. Thus, it appears to me that the children inherited with the trust tax step-up basis and would not get another step-up for distribution after W died.

I guess I did not clearly state the facts. I am talking about the 50% interest that W had in her name when H died in 1982. That 50% went to the children from W at her death in 2000. That is where the 2nd step-up issue came from.

OldJack,

Just want to clarify my understanding of your response. Are you saying there is no separate step-up for the portion of the property that passed from W to the children when she passed away in 2000?