GeneInAlabama

Looks like for each of our accounting clients, we will have to set up a chart of accounts that includes a separate account for each vendor that is paid by check or cash. A client might write a check to a vendor for $10 in January and then in December write another check for $590. Unless we keep an ongoing account for each vendor from the very beginning, we won't know how much to write a 1099 for. How much extra are we going to have to charge our clients? How many of those clients will we keep? This is going to be a hugh headache for everyone concerned. Oh, I guess this is going to a big boon to the credit card companies. I wonder if they had anything to do with this?

In past years, I have received letters from IRS and the State with facts totaly mixed up as in your case. I simply sent a letter back stating the actual facts and as I remember, that was the end of it. I don't remember even getting a reply back.

>>To me, it doesn't seem he intended to hold it for investment because he didn't hold it for investment. He sold it instead.<< If you buy something and never resell it, how can it be an investment? If I buy a widget for $10,000 and someone comes along the next day and wants it bad enough to pay me $20,000 for it, would that make it not an investment if I sold it to him? I bought a dining room table one time at an auction and before I got it loaded on my truck, a lady came by and offered me a price much higher than what I paid for it. I loaded it on her truck instead of mine.

>>If the taxpayer does dig ditches for the developer and therefore did not provide any skilled labor of his own on this house, but rather hired sub-contractors to do the work, then this could be investment property rather than inventory.<< Even if the contractor does NO work and contracts ALL of it out, if he is in the business of buying houses and fixing them up for resale, it would be a schedule C. In the original post, it stated that this was his first house and he had no intention of buying any other houses to fix up. I don't see that the fact that he has a schedule C business (plumber, electrician, brick layer, whatever) has anything to do with THIS house. If he bought this house with the INTENT of going into the house fixing up business, then it would be a different story. The original post states that he was in the construction business and WORKS FOR ANOTHER DEVELOPER which I take as being a sub contractor or a mistitled employee. It seems that he found a house that he could buy at a good price and bought it with the intention of reselling it and making a profit. Does the amount of work he had to do to it to resell it make a difference?

I just reread the original post and since the expenses of fixing up the house were on the 2008 return, I would file an amended return for 2008.

Looks like a sch D investment to me since he's not in the business of buying houses and fixing them up. I don't see that his sch C business has any bearing on this.

>>Hey, I took a dozen balls and still came back with 5. That is a very good round for me.<< I don't think I could hit a ball far enough to lose it. I tried playing golf once - more than 50 years ago. I might try it again when I retire.

I got an email from them yesterday with this same exact info. I don't know how they got my email address.

>>Don't you think your current customers should hear about this announcement FIRST, before it is announced on a ATX forum?<< This isn't an ATX forum. This is a forum that Eric set up for those who were on the old ATX forum that got canned. This forum is for users of any and all software. I am considering this to be good news. TRX will have their own software and not be dependent on other software companies. Seems like I remember some very good comments on this forum about Intellitax and Orrtax from those who have used those programs. There are risks and benefits of being in on the ground floor of a new company. I consider the guaranteed price of $300 a year, forever, a very good benefit.

I will be using the TRX program next year and have started doing a few of my extensions on it this year. The learning curve is pretty sharp for me because I have used ATX for the past 17 years and have never used a worksheet program before. I am having some trouble learning some of the maneuvers, but once I learn them, they are quite simple. Overall, I think I am going to be well satisfied with the program - especially with the price. As for the forum, I believe this one is the best, and it doesn't matter if you are using ATX, TRX, Drake, or any other program. Everyone here is extremely helpful.

I wonder if it could have been a rent to buy transaction. If so, what would be the proper way to handle it?

I haven't had any issues with the software so far. Once I learn what to do in each situation, everything seems to go well. I have never used any other software other than ATX except for one program I used about 1990 for one year, so the learning curve is pretty sharp for me. Some things about the software I like and others I don't like. I think I am going to be well pleased with the software once I learn it.

I don't use the A/P, but I use the P/R, G/L, and A/R. All three modules suit my purposes just fine. If you like the payroll I'm sure you will like the general ledger and accounts recivable. The main disadvantage I see is that there isn't a lot you can do to change the APPEARANCE of the reports, but for me, that is no problem. The big advantage is the simplicity of use and of course the price. You can't use the program on a network, but for me that is no real problem, but it would be nice if I could.

I also downloaded off the web and had no problem until I tried to prepare a return for efile. I had to call support and they took over my computer and made some changes and everything works fine now.

I failed the test. I guess I'm not old enough. Or, maybe my memory is going.

Chiropractic expenses are deductible. I don't see much difference.

I can see both sides of the discount issue. It's kinda like a city exempting a restaurant chain from sales tax for a certain period of time to encourage them to open a restaurant in their city. It helps the city to grow, but it means that the other restaurants in the city are financing the city to bring in another restaurant to compete against them. That has happened several times in my city.

ATX MAX does offer unlimited Efile - at least they did for the 2009 program.

I too am one of your 90%. I really like the simplicity of your program. I used Quick Books years ago before switching to Medlin and if I made a mistake, I had to go around the world to correct it. Now, if I make a mistake, all I have to do is back up, correct it, and go on. My only wish is that it could be used on a network, but that is not a real problem.

They didn't call me either - I don't think! When I get a toll free call, I usually pick up the phone and say "I don't buy anything over the phone" and hang up before they have a chance to say anything. I know that might not be very smart, but I get awfully tired of telemarketers. They don't notify you over the telephone if you win the sweepstakes, do they?

>>Does the Pro version have any payroll forms in it? 941, 940, State unemployment, W-2, 1099? If so, I might do what Margaret is thinking about. Renew ATX in the Fall, purchase TRX now and play with it.<< Diane, they told me that the payroll portion of the program will be ready about July, but you know how that is. I was told that the payroll is active and passive, so I am sure it will include those forms IF they come through with what they said. If they don't, it is still a bargain. The program is also supposed to contain client write up. That's a lot for the money. This year I got ATX Max for $299 so I'm willing to gamble again.

Margaret, I may have been a little misleading when I said it took me 3 days. I worked on it for 3 days in between other things I was doing. The program is a lot different from ATX and will require a lot of getting used to. I have been using ATX since 1994 (for 1993 returns)and am not familiar with other programs. There are some features I like about TRX. One is that you can elect to have data entered in bold characters. It makes the return look nicer. And I like the print menu. Maybe there will be enough of us using the new program that we can help each other out. By the way, you may have to remind the TRX people that they have offered the Pro version at the $299 price. The first person I talked to said the Pro version is $599. When I called back I talked to Kimberly and she gave me the Pro version for $299 (guaranteed for life).

I went ahead and bought the TRX Pro for $300, renewable for life. The learning curve is very sharp (at least for me), but at least I have a while to practice before next season. I am doing my extensions on it. It took me about 3 days for the first return (a very simple return), and the second return about a half day. At this rate I will soon get into a negative time frame where I will finish a return even before I start it (grin). I believe we are all going to have to learn a new program sooner or later. As for trust - how many of you trust CCH?

The only thing I have seen just says "full time student". I don't think it makes any difference whether it is high school or college.

>>You beat me by about six months<< Jainen, looks like you and I are running neck to neck.