Janitor Bob Posted February 23, 2014 Report Share Posted February 23, 2014 Taxpayers separated in September 2013....legally married as of 12/31. She remained at old address and he moved to another city. It is MUCH better for them to file jointly, and they agreed to do so (and have 1/2 of refund deposited to each of their accounts)....But before I even get started, I'm stumped on this otherwise simple return....WHAT ADDRESS DO I USE ON THE RETURN....His current or her current? Quote Link to comment Share on other sites More sharing options...
Jack from Ohio Posted February 23, 2014 Report Share Posted February 23, 2014 Taxpayers separated in September 2013....legally married as of 12/31. She remained at old address and he moved to another city. It is MUCH better for them to file jointly, and they agreed to do so (and have 1/2 of refund deposited to each of their accounts)....But before I even get started, I'm stumped on this otherwise simple return....WHAT ADDRESS DO I USE ON THE RETURN....His current or her current? Ask them which they prefer, IF they can agree. If they cannot agree, use your address. The IRS will not care. Quote Link to comment Share on other sites More sharing options...
grandmabee Posted February 23, 2014 Report Share Posted February 23, 2014 WOW using our address would be cause for losing license in the state of Oregon. But then Oregon is one of three states that license preparers. When I first read it I thought you were going to say if they can't agree on address then they should file separate. Quote Link to comment Share on other sites More sharing options...
Janitor Bob Posted February 23, 2014 Author Report Share Posted February 23, 2014 The problem is that she does not live in a taxing school district...he did/does.....So I think I will use his for simplicity. Quote Link to comment Share on other sites More sharing options...
Jack from Ohio Posted February 23, 2014 Report Share Posted February 23, 2014 WOW using our address would be cause for losing license in the state of Oregon. But then Oregon is one of three states that license preparers. When I first read it I thought you were going to say if they can't agree on address then they should file separate. How does Oregon law have any effect on IRS rules? It is perfectly legal to use my address for a client if I choose. Quote Link to comment Share on other sites More sharing options...
jklcpa Posted February 23, 2014 Report Share Posted February 23, 2014 How does Oregon law have any effect on IRS rules? It is perfectly legal to use my address for a client if I choose. If a state regulates preparers and has rules that say some acts are forbidden, or unethical, or has rules that are more stringent than the IRS, then that preparer must follow those rules in addition to the ones by IRS. If grandmabee is from OR and says this is so, why do you have to question it and argue? Why can't you take grandmabee at her word and accept that this might be true, even though the rules for you as a tax preparer from OH are different than hers? In addition to the IRS rules, I also have to comply with the rules and regulations of my state board of accountancy and those of the AICPA, and because of that, I may have do some things that some others of you don't have to, or may be limited by not being allowed to do some others. My records retention requirements might be longer than the unregulated preparers too. JB, sorry for the slight hijack of your topic. You can use whichever address makes the most sense for your client. I would probably make the primary taxpayer the person that is actually living at the address on the return and make the other person the spouse. After the return is processed, the spouse then would file form 8822 to change her address in the IRS system for going forward. Be careful if you change the primary from what was used last year if you were their preparer and you are rolling over the return data. Quote Link to comment Share on other sites More sharing options...
Jack from Ohio Posted February 23, 2014 Report Share Posted February 23, 2014 If a state regulates preparers and has rules that say some acts are forbidden, or unethical, or has rules that are more stringent than the IRS, then that preparer must follow those rules in addition to the ones by IRS. If grandmabee is from OR and says this is so, why do you have to question it and argue? Why can't you take grandmabee at her word and accept that this might be true, even though the rules for you as a tax preparer from OH are different than hers? In addition to the IRS rules, I also have to comply with the rules and regulations of my state board of accountancy and those of the AICPA, and because of that, I may have do some things that some others of you don't have to, or may be limited by not being allowed to do some others. My records retention requirements might be longer than the unregulated preparers too. JB, sorry for the slight hijack of your topic. You can use whichever address makes the most sense for your client. I would probably make the primary taxpayer the person that is actually living at the address on the return and make the other person the spouse. After the return is processed, the spouse then would file form 8822 to change her address in the IRS system for going forward. Be careful if you change the primary from what was used last year if you were their preparer and you are rolling over the return data. So help me not be confused... The state of Oregon has the power to force tax preparers to abandon or ignore FEDERAL IRS regulations and rules concerning a FEDERAL tax return? I am missing something somewhere..... Point of reference... Same sex couples legitimately married in a state that recognizes it, yet are living in a state that does not. Prime example, Ohio. We have to create one kind of return for Federal because of the Federal rules and laws, and then create 2 DIFFERENT returns to file for the State. I was of the understanding that for Federal returns, IRS rules trump any state rules? Am I missing something?? Quote Link to comment Share on other sites More sharing options...
michaelmars Posted February 23, 2014 Report Share Posted February 23, 2014 I am with Jack on this one. And we have so many foreigners that just ignore or don't understand things that by having our address, we get the notices and can respond instead of getting them months late. Quote Link to comment Share on other sites More sharing options...
jklcpa Posted February 23, 2014 Report Share Posted February 23, 2014 I should have deleted the first post about Oregon and the responses that follow because we are now off topic once again. This was not to be a debate of ethics rules for preparers. Quote Link to comment Share on other sites More sharing options...
kcjenkins Posted February 23, 2014 Report Share Posted February 23, 2014 Judy, I find it a useful addition rather than a diversion. Although I agree partially with Jack and partially with you. I agree that, while Federal rules are primary on federal returns, states can have ADDITIONAL rules, as long as they do not conflict with the feds rules. But I also agree with Jack that a taxpayer can use any address they choose, for their convenience. Quote Link to comment Share on other sites More sharing options...
jklcpa Posted February 23, 2014 Report Share Posted February 23, 2014 Jack, they are additional rules imposed by a state that regulates tax preparers. If an OR preparer is regulated by her state that says that she isn't allowed to use her address on taxpayer's returns, or a preparer from one of the other states that regulates preparers, why do you question that? Why was the comment not accepted as being what is required for preparers in that state, even if it is different than for you? The State of NY has banking rules about when a preparer is allowed to charge the client fees for bank products that are dependent on the form the client's refund is received that preparers must abide by. We've also had discussions about some states having very specific rules regarding tax preparers transmitting documents to clients electronically where state has stricter rules about encryption to protect the clients' data. Those are 2 very good examples of where states may have additional rules on the preparers beyond what the IRS requires. As preparers, we are working with rules established by more than just the IRS. I have IRS rules, state board of accountancy rules, AICPA rules, ethical rules, banking rules, rules for rules.... Quote Link to comment Share on other sites More sharing options...
Jack from Ohio Posted February 23, 2014 Report Share Posted February 23, 2014 Jack, they are additional rules imposed by a state that regulates tax preparers. If an OR preparer is regulated by her state that says that she isn't allowed to use her address on taxpayer's returns, or a preparer from one of the other states that regulates preparers, why do you question that? Why was the comment not accepted as being what is required for preparers in that state, even if it is different than for you? The State of NY has banking rules about when a preparer is allowed to charge the client fees for bank products that are dependent on the form the client's refund is received that preparers must abide by. We've also had discussions about some states having very specific rules regarding tax preparers transmitting documents to clients electronically where state has stricter rules about encryption to protect the clients' data. Those are 2 very good examples of where states may have additional rules on the preparers beyond what the IRS requires. As preparers, we are working with rules established by more than just the IRS. I have IRS rules, state board of accountancy rules, AICPA rules, ethical rules, banking rules, rules for rules.... So which states' rules trump and override Federal IRS rules about Federal returns?? Simple question... Quote Link to comment Share on other sites More sharing options...
kcjenkins Posted February 23, 2014 Report Share Posted February 23, 2014 State rules can not "trump and override Federal IRS rules about Federal returns", they can only add additional rules that cover things not addressed in the Fed rules. Quote Link to comment Share on other sites More sharing options...
Jack from Ohio Posted February 23, 2014 Report Share Posted February 23, 2014 State rules can not "trump and override Federal IRS rules about Federal returns", they can only add additional rules that cover things not addressed in the Fed rules. Exactly my point. So, "...a taxpayer can use any address they choose, for their convenience" had been a long standing protocol for the IRS. At least 25 years. I would be interested in knowing any State regulations that state that a taxpayer must use their current, legal, last, or whatever term you choose, address on the State tax returns? Quote Link to comment Share on other sites More sharing options...
Lee B Posted February 23, 2014 Report Share Posted February 23, 2014 I have been an accountant in Oregon since 1976. Oregon was the first state to require the licensing of all tax preparers in 1973. The only exceptions are for CPAs and Attorneys. Enrolled Agents are not exempt from the license requirements and the last several years the Oregon Tax Examiners Board and Oregon EA Society have been butting heads over similar issues. So far the Tax Examiners Board has prevailed.The IRS attempt to make the RTRP mandatory was the first time that the IRS stepped into this area. I haven't followed these issues closely, but I recall that the IRS did not try to override the state regulatory agencies which already existed. With a little research, I am sure I could come up with a long list of Oregon tax preparation rules that would upset a lot of preparers in other states. After 40 years, in Oregon it's just part of the process of preparing tax returns. 1 Quote Link to comment Share on other sites More sharing options...
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