Janitor Bob

The only way anything appears on the 8829 is if I do NOT have the "safe harbor" box checked. So in this case it appears I can solve the problem by simply discarding the 8829. It seems that the system does not like the 8829 being in the return (even if it is blank) when using safe method.....but that seems very odd.....as ATX does not seem to have an issue with other blank forms being in returns. I want to see if I get the same error if 8829 is in the return and safe method is NOT being used. I think I will duplicate the return and investigate.

When I attempted to create Fed e-file, I received the following error: System error encountered creating e-file for Fed 1040. Please update form 8829 and recreate Form 1040. If this error continues, contact customer support. System Error: 8829 $L$143 System Error: 8829 $L$147 I discarded 8829 and then re-added it (all forms are updated), then recreated the 1040.....same error when creating Fed e-file. I discarded Form 8829 completely (using safe-harbor method so 8829 was blank anyways) and was able to create Fed e-file. Am I doing something wrong? If using safe harbor method, is 8829 needed?

I am looking at the same situation and wondering the same thing.

Thanks....I posted then scrolled down and saw the same topic already being discussed!

Client owns rental property and paid a guy $2500 in 2013 for repairs on the house. I told client that we need to send the guy a 1099. However, she did not get his SSN and he will not respond to her requests. What happens if I check "Yes" on the Sch E question about paying someone more than $500, but check "No" on if a 1099 was sent?

I think Vanilla is a much better flavor than French Vanilla

Thanks! I am happy to hear that others have had direct deposit of prior year refunds. I will e-file (once it opens) and fill in the direct deposit information. However, I think I will still use my mailing address per client's request just in case.

I am gonna run a half marathon

I actually now have grandchildren of clients as clients!

I have remained stable at approx. 140 clients for the past 6 years or so. Every year I lose a few...usually because they want RAL (which I do not offer) or because I ask too many questions (i.e. EITC and dependency issues). I also consistantly gain a few every year from referrals. I do not advertise but do offer existing clients a referral rebate for sending me clients. I have grown picky about what type of clinet I accept...I really do not want more because 140 is about as much as I can do along with another full-time accounting job.

I am finally ready to file 2011 return for client who is getting a refund. Will IRS direct deposit prior year refund or only current year refunds? This client is away from home a lot for work and really does not want the refund mailed to her residence. However, I seem to recall that when I filed her 2010 return and requested direct deposit of refund, the IRS sent a letter stating that it had to be mailed because they only direct deposited current year refunds. I had never heard of this policy. If it needs to be mailed, can I use my address as mailing address on her return so that refund is mailed to me? She would rather I hold it for her than have it sit in a mailbox at an empty house...as sometimes she is away for months at a time. This client currently has her mail forwarded to me to hold, but I learned from 2010 refund fiasco that refund checks cannot be forwarded....The 2010 refund check was returned to IRS and client had a crazy-difficult time getting it...she finally had it mailed to me that year, so wondering if I should just use my address from the start.

Client finally filing 2011 1040....Can I e-file the return?

I'm going to pay the extra $40 and get Win 7 on the new system. I spoke to ATX and they said that either 7 or 8 will work with 2013 but they suggested Win 7 for prior years. I'll upgrade to Win 8 when 8.1 has been around and reviewed more.

On the new system I am getting, the only option is Win 8,,,not looking forward to that learning curve...but better now than in January!

I don't think I have a choice with this new system....Win 8 is the only option....I will still have my XP system for use on prior year returns. I know "learning" Win 8 will be tough, but I feel its is a matter of when not if. I'd rather get the system now and have a few months to get used to it prior to tax season.

I getting ready to "bite the bullet" and get a new i7 system from Dell with Win 8. Can anyone suggest software that will easily transfer all ATX programs and files from old computer to the new one?

Thanks...from my research, this is what I suspected...I had just never had it before. Client's basis was only slightly more than this distribution and she received the remainder earlier this year when the fund was terminated

OK...never had this before, Client has 1099-B with one entry. Undetermined Term, Non-covered. Gross Proceeds are 1,046.04 with no cost /basis listed. Note states "Principal Payment" what is this and how do I get the cost/basis? the CUSIP (30290A178) is for Canadian Energy and Income Fund (Cash-Fee) that was terminated

I did not prepare this person's return....they did it themselves and just called me to make sure that the loss they had was ordinary loss....they were thinking it was a capital loss and limited to $3,000 per year. I will mention to the client the depreciation re-capture...with the understanding that it will likely cause confusion and, ultimately, a review of her return by me....which is when I will find out if it truly is a loss after recapturing depreciation that was taken....or could have been taken.

Correct Old Jack 1250 property....but is 1250 property not a sub-type of 1231 property?

Thanks...I just did some reading and it looked like it would be ordinary loss....just wanted to be sure before I told the client the good news.

Client has owned a house that she rented out for several years (Sch E income). In July, 2012, she sold the property at a large loss (-21,000). Am I correct that this loss is recorded on Form 4797? Is it correct in allowing the entire $21,000 loss in 2012? Should this loss be limited in 2012 with portion carried forward to future years? This is the first time I have ever dealt with a loss on the sale of Section 1231 property

Thanks....I was pretty sure it was the 8888, and I am sure I could have found it myself...but I wanted a reason to share the situation...I hate being in the middle of these!

I know that when filing electronically, you can split yoour refund direct deposit into different accounts...but can you do the same when you paper file? My client's e-filed return was rejected because his ex claimed the kid for HOH and EIC. She had only $600.00 income for the year and $48 tax withheld...so HOH got her nothing and EIC only got her a small amount. If my client takes the child for HOH and EIC, it increases his refund by over $3,000. From what I can see (months lived with each and support) it looks like my client "should" get HOH and EIC.....but to avoid ugliness, client wants the Ex to agree (with 50/50 split of the refund) and have me amend her return. It is a win/win for both......She agrees, but only if we can have 1/2 of his refund deposited into her checking account......Since she already filed, his return will need to be paper-filed (after I mail her amendment). Can this splitting of direct deposit be done when paper-filing?

my client owns several acres of farm land that she has rented out for several years (passive rental activity). She is now thinking about selling the land. I have never dealt with a client selling anything other than their personal residence, so this will be new to me. I assume it will be as simple as deducting the basis (purchase price plus improvements) from the selling price to arrive at the lonf term capital gain. However, client is considering selling the land on "land contract". Can you sell land only on land contract? I though I read somewhere that a land contract had to involve land plus house/building. If she can and does do a land contract, how do I report this on her taxes? would it be some type of installment sale where so much income is reported every year?