Pacun

I think it was not deductible because she was not actively participating in renting the place. In other words, why short term rent since it was available for rent every day since January 2024?

My return has many entries, so I am going to create a simple one and post.

In 2024, my employer contributed $1,200 to my HSA account and I contributed about $7,000. When I entered code W and $8,200 in my W2, the program automatically did "everything" and after stating that I was qualified for 12 months, I thought I was done. After I created my efile file, everything passed but I noticed a few blue warnings. While clicking on a couple of them, I noticed that my HSA contribution worksheet correctly listed $8,200, but "amount contributed by employee" was blank. When I entered $7,000 on that worksheet, my tax liability was reduced by more than $2K. My clients don't like HSA and very few trust 401k, so I doubt I made mistakes on client's return. Please ask your clients with Code W, how much they contributed and make that entry accordingly.

I guess we have to see what the doctors have on paper. Permanently disabled to me it means that you cannot take care of yourself... let alone have a job and possible "help others while performing your duties".

EIC is not available if filing MFS. Income limit will play a role since they are not permanently disabled. So female will not be able to be claimed as a dependent by anyone. Male can be claimed by parents or by whoever qualifies to claim the exemption. If they file jointly, they will qualify for EIC because their salary seems to be low enough.

Other income. Unless, the S corporation was insolvent one day before the date on the 1099-C. Insolvency in this case might be very hard to prove, especially if S corp has equipment or money in the bank.

No. Let's call it a rent dividend which is only given to the people that paid rent in the past. I wish I can call it rent dividend and make it NOT taxable. I never listen to clients when they tell me that the IRS told them it was not taxable... but this client had conversation with the IRS and she claims the agent told her that the money she received was not taxable.... I wonder if it is because moving out is a pain. So the payment could be for pain and suffering and therefore not taxable. I also thought that it could be a rent refund... rent dividend, etc.

Both

Client got 1099-misc for 30K. She was given that money to move out because the building was repurposed. Taxable or rent refund? If taxable = other income. If rent refund, how to report 1099-misc?

Office seating has to be arranged and some offices will have to share desks since real estate has not been used for years.

Going to the office is not immediately. Some departments have until march 1st to report to the office.

In December 2024, Block is reporting 4K to my client on a 1099-K. Other months have 0 amounts. Client claims that she doesn't know what it is. Any suggestions on how people use that company when moving money among family member or others? Than you in advance for your input.

I saw that and I pasted it in a word document but I don't know when to use it. I guess it makes sense in case I don't have my phone.

"unforeseen circumstances" means that he/she didn't expect the neighborhood was going to turn bad. I would use partial exclusion.

Coming from Vacation: What's the latest, people have to register or not the law yet? Any extensions of BOI registration deadline?

So, today (12/29/20240 we don't have to file, correct? Only volunteers have to file.

If a married filing jointly return has $100K W2 income and then they have $1 million short term capital gains and $1 million Long Term Capital gains, which $1million is added first to the $100K? Is there a place where I can find out how income listed on 1040 is added to the income pile and tax bracket applied?

"Starting in 2025, employees aged 60 to 63 years old who participate in one of those work plans have a higher catch-up contribution limit. That cap is $11,250, instead of $7,500. But remember, "right now, technically, there is no law that says that employers must offer a super catch-up contribution so I believe an employer’s retirement plan must be amended to specifically allow for a super catch-up contribution."" I wonder if my employer will allow the super catch up and if people who will be 60 in mid 2025 qualify for the full super catch amount.

Let's admit it, there is nothing similar to 401k in the banks and that's why there is no many suggestions or straight answer. Technically, after you are off your work and out of your 401k, you might as well fork out the taxes and invest the other half left in stocks. I have seen $50K IRAS making $200 in a year, which is much less that COLA or inflation. So it might not be a good idea to have the money rolled over to an IRA. Sometimes I feel that we are stuck with working until retirement and then we can enjoy your money when 90% of the foods will not be welcome by your organism. se la vie.

Your sister, 56 years old, comes to you and tells you that she has one million in her 401k and she wants to quit her job next month (November 2024). She wants to live with $50K yearly and hopes that her principal will not be touched for the next 10 years. Since she will not continue to work, she has to roll over, move her money or pay a lot of fees to Fidelity. What are her options and tax consequences?

Earnings, meaning working for an employer? or earning meaning SE income?

Not clear if you are a practitioner or an auditor. If you work for the IRS as a revenue agent or such, you are correct.

DC doesn't allow itemized deductions if you don't itemize on Federal... but the standard deduction is exactly as the federal.

If elected officials don't care about the debt, mua, that is me, as a simple tax preparer... just say... it is not my "jab".

The correct solution is to issue two W2s and for the tax preparer is to paper file with the new (which is the real SS) and attach both W2s. For the employer, the employee can maintain their seniority since that's a separate and internal record.