Booger Posted March 11, 2009 Report Share Posted March 11, 2009 I am SO GLAD that ATX sent me an e-mail telling me when the calendar year-end Corp Returns are due.....I NEVER WOULD HAVE KNOWN that March 16th is the due date, since the 15th falls on a Sunday. PS Catherine, I still LOVE you. Quote Link to comment Share on other sites More sharing options...
Ray in Ohio Posted March 11, 2009 Report Share Posted March 11, 2009 HOLY COW!!!!!!!! Now that IS a lifesaver! Thanks for the alert!! Quote Link to comment Share on other sites More sharing options...
Catherine Posted March 11, 2009 Report Share Posted March 11, 2009 I am SO GLAD that ATX sent me an e-mail telling me when the calendar year-end Corp Returns are due.....I NEVER WOULD HAVE KNOWN that March 16th is the due date, since the 15th falls on a Sunday. PS Catherine, I still LOVE you. It's soooo good to know that returns are not due on Sunday; I was really worried about that. And Booger dear, I still love you, too. Catherine Quote Link to comment Share on other sites More sharing options...
RitaB Posted March 11, 2009 Report Share Posted March 11, 2009 If I can interrupt the love fest (just kidding, I love you all, too) This MORON broker just told me that my client's IRA was a Traditional IRA, not a ROTH. (Well, I'm lookin at the &^*% form, and IT SAYS ROTH.) I sent him a fax of the Investment Summary with the word "ROTH" circled saying, "Here's why I thought it was a ROTH..." Just my contribution to the sarcasm, cause I am all over it today... Quote Link to comment Share on other sites More sharing options...
JRS Posted March 11, 2009 Report Share Posted March 11, 2009 Another MORON and his company: My client's broker told me two weeks ago, "Of course, that REIT dividend is tax exempt, that what it says on the 1099." I asked if he meant it should be a nondividend distribution. "No, tax exempt." Wrong, a taxable dividend. The brokerage has yet to change it, even after the VP of the REIT called them! The IRS gives them extra time to get it right and they still can't. Quote Link to comment Share on other sites More sharing options...
schirallicpa Posted March 11, 2009 Report Share Posted March 11, 2009 Can I add to the list the agent I had the other day who insisted that the 1099-R distribution was a capital gain and that there would be no cap gains tax on it this year. So the 90K+ that the client drew under his direction was supposed to be tax free. My client was not happy. Quote Link to comment Share on other sites More sharing options...
Catherine Posted March 11, 2009 Report Share Posted March 11, 2009 Can I add to the list the agent I had the other day who insisted that the 1099-R distribution was a capital gain and that there would be no cap gains tax on it this year. So the 90K+ that the client drew under his direction was supposed to be tax free. My client was not happy. I had some folks who were told (or at least, understood from the "adviser") that their mutual fund exchange was tax-free. Well, the _interest_ was tax-exempt muni bonds, but selling one fund and then buying another was most certainly NOT. They weren't too happy, either. Catherine Quote Link to comment Share on other sites More sharing options...
RitaB Posted March 11, 2009 Report Share Posted March 11, 2009 I had some folks who were told (or at least, understood from the "adviser") that their mutual fund exchange was tax-free. Oh my gosh! Me, too! Here is part of an e-mail I just sent to client yesterday, cause I knew she didn't understand: "The Edward Jones statement does not show the cost basis in the shares (your kids) exchanged for other shares. EJ may think it is not necessary, or they may not have the history. Here's from one of my tax guides: Transfer of mutual fund shares. Any exchange of shares in one fund for shares in another fund is treated as a sale. This is true even if shares in one fund are exchanged for shares in another fund within the same family of funds. Author's Comment: This is a source of confusion for clients. The investment community may use the terms "transfer" or "exchange," but for tax purposes the transaction is a sale and a purchase." The quote is from The Tax Book. I will have to keep it handy... Quote Link to comment Share on other sites More sharing options...
Catherine Posted March 11, 2009 Report Share Posted March 11, 2009 <snip> Transfer of mutual fund shares. Any exchange of shares in one fund for shares in another fund is treated as a sale. This is true even if shares in one fund are exchanged for shares in another fund within the same family of funds. Author's Comment: This is a source of confusion for clients. The investment community may use the terms "transfer" or "exchange," but for tax purposes the transaction is a sale and a purchase." The quote is from The Tax Book. I will have to keep it handy... Good quote; I have The Tax Book as well and will have to look that one up and have it carved on stone tablets or something. Quote Link to comment Share on other sites More sharing options...
RitaB Posted March 11, 2009 Report Share Posted March 11, 2009 Good quote; I have The Tax Book as well and will have to look that one up and have it carved on stone tablets or something. 6-12, top left. God bless em, huh? Quote Link to comment Share on other sites More sharing options...
mcb39 Posted March 11, 2009 Report Share Posted March 11, 2009 6-12, top left. God bless em, huh? It must be an epidemic. I had one today. I told her I was going through past year returns to find the basis for the stocks she sold. She said, of course, "We didn't sell any stocks!" Same situation, stocks sold and reinvested inhouse. Is this some kind of a broker ploy to make money. My client has had these shares since 1999 and has garnered nice CG and dividends over the years. Even with all the addbacks, was still a gain. Quote Link to comment Share on other sites More sharing options...
Catherine Posted March 11, 2009 Report Share Posted March 11, 2009 6-12, top left. God bless em, huh? Hallelujah! They have saved my bacon more than once (like this forum, only different). Quote Link to comment Share on other sites More sharing options...
JRS Posted March 11, 2009 Report Share Posted March 11, 2009 "It must be an epidemic." It almost seems like a return of the "churning" days. Brokers are hurting and not making any commissions. I have had 10 clients this year, where the broker recommended selling ABC fund and buying XYZ Fund. Unfortunately, the broker used the magic "exchange" word and I get to brake them the news. Though, in eight cases, the clients did call their "tax advisor" who clued them in AND I made a couple chocolate chip cookies in return for "my vast knowledge of investing." The other two fired their broker and filed complaints against him. Quote Link to comment Share on other sites More sharing options...
fredazcpa Posted March 12, 2009 Report Share Posted March 12, 2009 "It must be an epidemic." It almost seems like a return of the "churning" days. Brokers are hurting and not making any commissions. I have had 10 clients this year, where the broker recommended selling ABC fund and buying XYZ Fund. Unfortunately, the broker used the magic "exchange" word and I get to brake them the news. Though, in eight cases, the clients did call their "tax advisor" who clued them in AND I made a couple chocolate chip cookies in return for "my vast knowledge of investing." The other two fired their broker and filed complaints against him. The very reason I have the licenses, should have called the tax man to find out the real story Quote Link to comment Share on other sites More sharing options...
mcb39 Posted March 12, 2009 Report Share Posted March 12, 2009 "It must be an epidemic." In my client's case, the broker is her sister....go figure! Quote Link to comment Share on other sites More sharing options...
RitaB Posted March 12, 2009 Report Share Posted March 12, 2009 The very reason I have the licenses, should have called the tax man to find out the real story Yeah, and my client's broker (that first story I was telling up there) told her she would owe $1300 MORE after I corrected return to show the IRA as DEDUCTIBLE! I would not have believed that if the client told me. But the broker actually called ME to tell me he had explained everything to my client, and she is cool with everything, and knows that she'll owe $1300 more. Bet he spent all afternoon recharacterizing that ROTH as a Traditional. Or chewing out his assistant. Just leave the tax stuff to me, please... Quote Link to comment Share on other sites More sharing options...
Gail in Virginia Posted March 12, 2009 Report Share Posted March 12, 2009 Good quote; I have The Tax Book as well and will have to look that one up and have it carved on stone tablets or something. I like the idea of stone tablets - I feel like hitting someone in the head with a couple of rocks today! Quote Link to comment Share on other sites More sharing options...
RitaB Posted March 12, 2009 Report Share Posted March 12, 2009 I like the idea of stone tablets - I feel like hitting someone in the head with a couple of rocks today! DIYer just left. His taxable income was zero. He did not know how to figure the tax on that. Had the instructions to 1040, and wanted me to help him on that one little thing. "I got all the other stuff, no problem." Where's that 40 pound reference book? Quote Link to comment Share on other sites More sharing options...
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