Terry D EA

Apparently, the IRS site is backup. All of my credits have been sent to the IRS as of 12/23. Just thought others would like to know to follow-up on the status of their CEU's

Okay I see what you are saying. I read this a couple of times but you know the old brain blockage. I still think you are on the right track with 2017 entry for the short period. Sorry for the misunderstanding.

ADP battery backups have worked well for me but replacing the battery is quite expensive. I too have a generator to plug in but as Medlin said it is important to swap between appliances and electronic items. A gasoline generator cannot hold a steady rpm and therefore produces a ragged AC sine wave which electronic devices do not like. So, if I am running the office, nothing else is running that would cause the speed on the generator to vary.

Judy, I am a bit confused by your original statement and what the exact short period you are filing for. Is this short period from Jan 1 thru 31, 2017?? If, so then I agree with the 2017 date you mention. One thing I know for sure, nothing is as simple as it should be with the IRS. I adamantly stay on top of my payroll clients to make absolutely sure then are paying the correct amount for the correct period. Had a client that over paid his payroll tax. He brought me on board to help. A simple entry on form 941C to show what period the over payment would be applied to took an unwelcomed visit by an IRS rep, office audit, and tax payer advocate over a period of three years to get straight. Nevertheless, I understand your concern for the proper filing date.

A long time client is being made joint owner of another individuals savings account, 40K, and given exclusive right to use the money as necessary. Thinking joint tenancy, I see this transaction as a gift and if the total is given in one year, then a gift tax return must be done. Only way to avoid the gift tax return if for the donor to give 14K each year. Other opinions please.

I would tend to agree except don't forget about bonus depreciation or the fact that in 2016 there are permissible write-offs on major equipment purchases that could indeed have a tax benefit that otherwise may not be available in 2017. Just my 2 cents worth.

Complete all required CEU's last month through APlusCPE. As of this morning, the status shows that my completion credits have not been sent to the IRS. I contacted APlusCPE and they said the IRS has taken that portion of their services down for maintenance or something like that. They keep contacting the IRS and get the brush off. Has anyone else experienced this and what to do with the situation. Call the IRS???? The IRS webpage shows everything from last year but not the current year.

Lion I do agree with your statement regarding informing the client of the errors and consequences of amending or not amending. While we may not be required to amend a return we didn't prepare, we should at all costs advise the client of their responsibility to file an accurate tax return. The client it ultimately responsible for every line on the tax return. I do this out of respect for my clients as well as my circular 230 responsibility and do document to CYA at all times. I have never acquired another practice so I may be talking out of line here. But... I would assume that the transaction would have a required notification to the current clients of the transfer of their private and personal information to another. It would be interesting to know whether that would be in the form of a request that would allow the client to decline and seek other services. All of our private information is either sold by banks through mortgage buy outs and other transactions. Do we get a choice then??? Just my 2 cents worth.

Pacun I respectfully disagree. Below is a section from Pub 551 Basis of Property. Yardley CPA, I see you are in PA and I am assuming the rentals are not in a community property State. I would take some time to research a bit further but everything I have looked at leads to the same example as in the pub. There are also examples of how to begin the depreciation on the new basis as well. Based on your statement of two properties being 20 years old, I am assuming they are not depreciated out. However, the depreciation taken before the death of the spouse will be used to determine the new basis. I have not used ATX for a number of years now so I can't help you with the proper way to handle it. Maybe Jack or someone still using ATX will chime in and help. Property Held by Surviving Tenant The following example explains the rule for the basis of property held by a surviving tenant in joint tenancy or tenancy by the entirety. Example. John and Jim owned, as joint tenants with right of survivorship, business property they purchased for $30,000. John furnished two-thirds of the purchase price and Jim furnished one-third. Depreciation deductions allowed before John's death were $12,000. Under local law, each had a half interest in the income from the property. At the date of John's death, the property had an FMV of $60,000, two-thirds of which is includable in John's estate. Jim figures his basis in the property at the date of John's death as follows: Interest Jim bought with his own funds—1/3 of $30,000 cost $10,000 Interest Jim received on John's death—2/3 of $60,000 FMV 40,000 $50,000 Minus: ½ of $12,000 depreciation before John's death 6,000 Jim's basis at the date of John's death $44,000 If Jim had not contributed any part of the purchase price, his basis at the date of John's death would be $54,000. This is figured by subtracting from the $60,000 FMV, the $6,000 depreciation allocated to Jim's half interest before the date of death. If under local law Jim had no interest in the income from the property and he contributed no part of the purchase price, his basis at John's death would be $60,000, the FMV of the property.

Looks like my classroom at times. Fortunately not all the time. Working on my CE's right now and should be done before December. I try the summer thing but just can't bring myself to get it done. I keep on procrastinating though.

Thank you for this article. My calls have stopped as well. Glad they got these thugs.

In Catherine's post she was referencing the OP stating the poll worker was only paid $108.00. This amount is less than $400.00 the amount required as to be claimed as self-employment income. So, I agree line 21. I also agree with Rita, based on the income figures. No choice there but a Sch C.

Thanks Judy for this. I have been looking into this for my mother and have not done any major research. Just from the statement in your post, I now believe this is not a good idea.

It sounds as if the custodial parent was bullied into signing the 8332. None of my research has returned anything regarding giving the courts jurisdiction over the IRS with this issue. Signing the form under duress may or may not come into play. it all depends on how far the custodial parent wants to go with this. From the OP, you state the grandmother has claimed the child and therefore she has no recourse or options as she is not the custodial or non-custodial parent. If the father now claims the child with the signed form 8332 attached, and the return is electronically filed, it should be rejected due to the child's SS# being used on another return. The father has no choice but to paper file. For your client (the grandmother), you must remember you have to advise them they are required to file an accurate tax return and therefore the return must be amended. If they refuse to amend, advise them of the consequences. Of course, your client will have to payback some money.

In my original post I said 'working off of two computers" I totally agree that not having access to e-mail, internet etc.; is detrimental to our practice. That is why I stated to use one computer that stays off line until it is time to update and transmit. That can limit the hacks. It is a shame that technology is such a wonderful tool that has made our jobs easier but at the same time has allowed the crooks of this world to use it in a manner that it wasn't intended for.

Here's how you stop this crap TOTALLY!!. Unplug the friggin computer from the internet!. I guess the best practice would be to prepare off line and only go online when it is time to transmit. I already work off of more than one computer so, use one for research and the other for preparing and transmitting. Of course, there is software updating; etc. Add additional tasks such as random changing of router passwords including guest networks as well. Then frequent software password change. What a PITA!!!

What I don't get is why can't the authorities track the phone numbers??? Some of the numbers you can actually speak to someone or return their call. This has gotten beyond the word ridiculous. If funds are deposited to a legitimate bank, it would seem that the legitimate bank these folks are depositing the funds to should be able to see who or where the funds are moved to. It is a shame this kind of stuff goes on so long. I remember the days when my dad never took the keys out of the car and we never locked the house door. Now, we lock the car in the garage with the house double dead bolted with security cameras and security system. In todays world, you just can't do enough to protect yourself.

Had a client call last evening concerned about the four warrants for their arrest for tax evasion. Now, I know they owe nothing. Client told the scammer to contact his lawyer and gave the lawyer's name. The scammer said to have the lawyer contact them and hung up. These guys never quit.

Well I finally got a call today from one of the other IRS scammers that allowed me to talk to them. First question (female voice) "how much do you owe the IRS?" Me, well if you are calling me and you are indeed the IRS, then you should know what I owe. No response, me- I owe absolutely nothing and I have your phone number and will turn you and the number over to the FTC. Click caller gone. They used the name National Tax Services. I googled the name and there are some legitimate businesses with this name so the scammers are apparently stealing business names as well. I know I owe zippo and I also know if I did, the IRS would never call me. Boy this is getting frustrating.

I wish I had that opportunity. Everyone I get, the number is not a working number. These are the threats to sue me as well. Now up to five calls since I originally posted this.

Thanks All and I know I do not owe any taxes at all. Jack you made me laugh but a very good point.

I totally agree with everything that has been said here. There is nothing wrong with telling someone the return they want you to prepare is out of your league. Done it several times. I have had clients insist they want me to do it regardless of my limitations but I still refuse. Yes, I have taken on challenges but like Rita said, burn up google, the pubs and whatever other references I have available before proceeding. Just to add to Rita's % key, I had an ATX support rep tell me he thought he had heard it all until a lady who I am assuming was a tax preparer had asked where the "any" key was. Several years ago but still funny

For the last week now I have been getting the IRS we're in the process of suing you calls and to call them asap. Well OK!!! I have tried to return their calls just for fun and to mess with them a bit and have kept a list of the numbers they are using. These apparently are robo calls as calling them back returns the number you have reached bla, bla, bla. Tired of this crap, anyone know if there is a procedure to turn them into the IRS and giving them the list of numbers they are using to call? Somehow, the use local phone numbers which unfortunately gets me to answer the phone.

My statement here does not help at all but....I totally despise not tracking basis, whatever the excuse maybe. I have had many of these including partnerships and S-Corps. I have a few companies that brought me on at the beginning of their business and all basis is tracked every single tax year. Matter of fact, one partnership bought out one of the partners and their were no questions or disputes over basis. My only suggestion is as you say, is to try to re-create the shareholder basis. I think we all go into this knowing the accuracy is just not there but like you and others, I have had to do the same. I like Abby Normal's suggestion using the balance sheet figures. But... who's to say those figure are a true representation of the equity accounts unless you can see every entry. At best this should be an accumulation of income and loss. However, it may be as you said, all you have. I would keep good notes on how I arrived at the shareholder basis. As far as your client/friend goes, just explain to him that is all you have to work with. Good luck with this and get some rest. It shows the person you are and the desire to do the right thing by your concerns. Again, get some rest my friend.

The RMD if it is from a 403B which the OP stated, can be accumulated until April 1st following the year of retirement. You need to be careful and check to see if the plan has any specific requirements. The article I posted is pretty straight forward, but be sure the requirements of the plan are followed as the penalties for missing a RMD are substantial.