Pacun

Yes, the file attached to my previous post shows how to get to the backup returns.

Most of the time the points that are reported on the 1098 is the one I use. The HUD normally has the same amount as origination charges.

There is a way to restore. Close your ATX program and open restore/backup as shown on the attached document. how to restore from backup.doc

Did you have a back of the database prior to yesterday? Install on another computer and copy the database folder. Open the program and then backup the return you deleted and restore on your work computer. If you rolled over this file, you could roll it over again. Using a recover program, you could recover the file but ATX will not be able to show it to you.

Personal loss. No deduction.

When you delete a file from within an application, such as ATX, it will be difficult to bring back to a level meaninful to you. In other words, you could bring the file back to life but you will not be able to force ATX to add it to its data base of names (file manager where we double click to open returns). When a file is deleted, the OS flags that space on the hard drive as ready for occupancy. You can recover that file if you realize soon enough that you made a mistake. As you save new files or install new programs, the spots flagged as ready for occupancy are written over. Since you have saved many other files since January, you don't have a chance recovering that file. Keep in mind that nothing gets deleted permanently but that's beyond the scope of our lifes and budget.

I am not CA expert, but it happens all the time here. In my states, employees never change their witholding to the new state so I end up filing non-resident returns to request money. States don't use what you type on line 15, 16, 17 but rather use AGI. You go to the state returns and exclude money that should be taxed somewhere else. I don't know how it works on community states but that's the way I do it.

This rule applies to most states. I don't prepare NC returns but here you go. File Federal MFJ and file state MFS for both and he needs to file part year.

Don't you think that the US would close the borders within a 24 hours if the ones crossing the border were terrorists that were coming to blow up buildings? Within 24 hours not even flies would be able to cross the south border, correct?

We should make a donation to this board while we are making some money to help with the electrical bill.

In situations like this, I really like to have both incomes and both clients tell their story in order to correctly calculate dependency. Last year I had a similar situation. Not married client (but both husband and wife paid expenses) came to me and we prepared the worksheet and based on the information she provided, she could claim her daughter and qualify for HH. She made about 17K. I asked her "how much does your boyfriend make"? She said "not a lot". I asked, do you think you made more than him? She said "yes, they pay me $8 per hour and he gets paid $7.50 per hour". I asked if it was possible to see his return before I sent mine... and both came next day with the return. He already claimed their daughter and filed as HH AND he made $25K. How would my return had looked like if I got only one side of the story?

I think you are worry about how you will enter that information next year since we already know that the IRS will be happy to be paid in any way, shape, form or frequency (carried away but we get the point). If you client pays $100 every 15th of the month, next year on the estimated tax payments, you include $400 or $300 (depending on when they started) for April 15 (first payment).

Don't fire her. Who claimed the twins? Is there a third person involved, I mean, forth? The notarized letter is a good record to keep and redo the interview asking her to include ALL her global income. You should amend this year and tell her that next year you need all her income from the very beginning. Ask her to keep records of her income from this very moment. Find out what she is doing now, how much money her business has generated for January, February and March. Keep that information handy for next year IF she comes back. If someone comes and tells me, I clean houses and I make 1,200 a month. I ask, how did you come up with that amount? If they have a notarized letter stating that, you have to believe them. Nothing wrong with that and it happens all the time. I do feel lucky when they have a simple letter from the house owner stating that they paid. You start your interview document by stating: How many house do clean in a week, how much do they pay you, do they pay you cash or with checks, do you have any letters or written contracts, do you deposit all the money? Can you get me your bank statements, etc. Now, I had a potential client this year. I asked my partner to request, how much money he made in 2010 and the copy of his tax return for the past year. We know the store he works for is not his, so he must be an employee. His 2009, showed that he made 17K and he was using a portion of his house to keep inventory. After deductions, his income was about 12K with 2 children. His income for 2010, he said it was 12,500. I told my partner to tell him that I didn't feel confortable doing his taxes and to go somewhere else. My partner asked him why he wasn't an employee, and he didn't provide a good answer. Why will I waste time on a new client if you don't trust them to begin with? Even if they are right, my standards are very high for new clients. If you feel confortable with the amount of clients you have, you should raise your standards for new clients and your prices too!

This is a quote about EIC. "ok- that's what I thought, but geezsh - I just can't believe the credits given to some, and the ones that work hard and have a decent income, don't get anything. I have a lot of clients this year who earn to much for the "work to pay" credit; who have paid for their children to go to school, but have too much income to get a credit; who can't qualify for a deduction for student loan interest. And I have clients getting hit with AMT. Then there's these people - I'm sure she collects other benefits from the county and state, not to mention free lunches at school, and eventually free ticket to college." It doesn't seem fair that the government taxes a group of people and the others just take a free ride and lunch included. The government takes a lot of money from some people and give a bunch to other people. Most of the time this goes from generation to generation. What would you change if you would have the power to change at this point of the game? Do you know how much it will cost the government to take out pennies from circulation? I mention the pennies because some of your answers will cause a lot of other issues and costs.

You mean like in a desaster declared area where you can amend your previous return?

Circular 230, which includes all paid preparers, prohibits us from giving advice based on fact that the IRS might not audit the return. The United States recognizes marriages from other countries where poligamy is not legal. The fact that they got married somewhere else doesn't make them single. What do you think they will say if one of the spouses is killed while in the US and there is money to be collected? Will they say they are single? Will the US Government accept their marriage certificate?

I was trying to see where you got the quotes from and I couldn't. I searched for useful and unlikely on this forum and ended with no results. If I search for contribution or information I get some hits.

Let's move on without putting people down. Arguments are always good and helps us remember the rules better. In the past, we have lost good contributors because some people have insulted them. I hope this is not the case and we appreciate OLDJACK's contributions to this forum. Bees Knees, you seem to be knowledgeable about taxes but let's keep the tone down. If you check my questions, OLDJACK has given me good answers and I appreciate that. I am sure you will answer my questions in the future but please let's keep it in a professional way.

We all do, but...

Fair enough. From BEES KNEES "Section 7703 which applies to married individuals living apart says the taxpayer must maintain “as his home a household which constitutes for more than one-half of the taxable year the principal place of abode of a child...” If there is no child living with the taxpayer, then that code section does not apply. If that code section does not apply, then a married individual living apart from his/her spouse cannot use that code section to file as unmarried." Oldjack, Keep in mind that the absent parent MUST file MFS once the custodial parent has filed as HH. The fact that one of the spouses is "not considered married" doesn't apply to the other spouse. Let add más leña al fuego. ALSO, remember that it MUST be child the one living with you. If you are married living apart from your spouse for the whole year and you support your parents, you do not qualify for HH.

Whoever is HH with one dependent and makes about 20K-24,999 should put money on an IRA when doing their taxes so that the credit is fully utilized. This is a non-refundable credit and it is automatically calculated if you correctly enter the W-2 information on ATX's W-2 screen. Who will have money for 401K or IRA if you make less than 25K? Those ladies and men who get a bunch on child support. Also, if you make about 29K and you open an IRA for 5K, your AGI goes down to 24K.

I was hoping to understand your point after someone replied to your post but no luck even after your autoreply. Are you talking about the additional child tax credit? If you are, you need to request it by clicking on the bunny. Clicking on the bunny will open up form 8812 and correctly calculate the refundable credit (the same way that you need to request EIC). I efiled today a 1040 with 5 children. The first one was 17 and the other 4 were under 17. The refundable credit was calculated properly for the amount of $3800 on form 8812. We discussed this about 4 years in this forum and we are careful when we see that the tax liability is lower than than amount of the credit.

How hard is to get a divorce in the USA in the 21st century? If you don't know where your spouse is, no problem, thank God that we still have printed newspapers. Your lawyer will place an ad in the newspaper and you will get divorced in a matter of months.

You can elect to add taxes to the basis or you can deduct them on Schedule A, Real Estate line 4.

Sounds good. "tax benefit" I tried to cover my basics by saying that Schedule A was 40K but now I understand that I forgot to mention that client made 60K and that's why you mentioned "tax benefit" twice in your response. Thank you for your reponse. I just wanted to verify it. How about if my client owed 3K to the state for 2007 and 2K for 2008 and he paid both amounts in 2009, could he add those 5K to schedule A in 2009?