Terry D EA

I agree with the neat professional looking folder. These things do tend to get a little costly but they are more than worth it. Many banks in my area comment on my client's organized tax returns.

Your scenario won't work due to the household income rules and calculations. The statement below is from the IRS description of household income and whose income to include. For most people, a household consists of the tax filers and their tax dependents. Household income is the adjusted gross income from your tax return plus any excludible foreign earned income and tax-exempt interest you receive during the taxable year. Household income also includes the adjusted gross incomes of all of your dependents who are required to file tax returns.

A better report would have shown the percentage of EITC returns prepared by the big tax mills along with the percentage of low income families that were scalped on the fees for using these preparers. Who is this really boosting revenue for? Federal dollars coming back into the State to stimulate the economy or stimulating the bank accounts of the tax mills

It certainly sounds familiar. Seems there area few areas where the program uses totals instead of the actual amounts.

It is Sch E and we have been filing this way for the last two years without question. Both of these guys are active individuals with managing, repairing, renting; etc these properties. Mortgages are in both names as well. I agree a partnership would be the way to go here but until they tell me to do so or we get some kind of notice it will stay the way it is. If someone has a resource to show me differently and that there is an issue with this please post it for me.

In my scenario, both individuals provide services to the tenants.

Any documents the client has provided to the preparer belong to the client. Each client is entitled to a copy of their tax return, depreciation schedules;etc, that they paid for. The only documents that the client would not be entitled to would be those the preparer may have created while the return was being prepared. I don't think preparer notes, worksheets; etc should be provided. We are not required to keep anything after three years.

Judy it would seem to me that the depreciation that would never be allowed due to the limitation within the vacation home rules would not be part of the sale calculation. I know you're tired but I think you hit this spot on.

I am equally concerned and I am hoping that no notices will be sent. I do, and I am sure you do as well, have some very involved tax returns that would take major hours to check every calculation to be sure they were correct. Of course, and as you know, we can't blame the program on an error when we talk to the IRS. I have not received any return phone calls from Dan. I have left three messages and there has not even been an attempt to call me back. This too makes me wonder. He was Johnny on the spot returning phone calls.

I have one of these without a formal partnership where both individuals have invested 50% each into rental properties and both of their names exist on the property deeds. Splitting the income and expenses 50/50 is the same result as having a formal partnership using form 1065. I have suggested many times to create a formal partnership and partnership agreement but they do not want to so they can avoid paying the State annual report fees.

Tom, that would be interesting and what a great idea for our clients. I wouldn't even care about a delay in deposits while the return is being processed. Bank fees are ridiculous for doing absolutely nothing. The computer(s) do it all. yes, there is an initial expense, setup, networking; etc, but I bet that is paid for quite quickly and then it is all profit from there.

Be careful when using the 1040 ES worksheet. If you allow the program to calculate the estimate based on the 2014 tax due, it puts the total amount of estimated tax due for the year on each quarter 1040ES. This was extremely embarrassing in front of my client. They asked if I could calculate estimates for them and when I did, it came out wrong. Now, giving OneDesk the benefit of the doubt, this is the first time I have used their worksheet to calculate the estimated tax so maybe there is an input issue on my end. But, I entered the tax payments for each quarter manually. Also, working on a return where a 1099G has an amount in box 6 for scholarships and grants. The program continued to calculate a tax due to the State where the 1099G came from. The filer's location shouldn't trigger a tax due in that State. Clients were not residents of that State nor were they ever a resident of that State. They work and live in NC. The only way I stopped the program from bringing in the other State was to complete the return. I deleted the return for the wrong State and it still continued to pull it in until I completed the return. Be ware.

Me too. It's about time something is done about this.

Since the inception of the requirement by the IRS to e-file all returns, I wish that ALL software companies would have some form of alert that a return has been created and not e-filed. I have used ATX, Taxwise, Taxworks (TRX stuff), Tax Slayer, evaluated Pro-Series, Drake and now am using OneDesk and none of them offer this feature.

I don't this is an expense from the normal course of business. I agree with you it is a Sch A deduction and not a C. It will be interesting to see what others have to say about this.

They don't have to but they can. Can be used to stop the IRS from looking for a return on the SS# that the interest was reported on.

Just to add, your client will need to complete a police report and notify the FTC as well as the three major credit reporting agencies. One of my clients who is currently going thru this told me the IRS requires the police report with the return and form 14039 to investigate. That makes no sense. The IRS has to know who they are sending this money to or at the very least, what bank account it was deposited in. My client's SS# was used to get a 12,000.00 refund. I hope they do investigate.

Well the parents could elect to have the children's interest income included in their tax return.

I agree as well as long as she made the contribution for TY 2013 prior to April 15, 2014

I am working year round as well. One client for bookkeeping, payroll, financial; etc. Extensions, and whatever else comes my way. I want to take on more business clients and less individuals.

Ah yes, that would be so much fun.

Joan I agree but it hasn't been established where his tax home is. The OP says mileage from home.

Just got off the phone with one. TP - How's it going?Made any progress yet? Me- It may take another week or more. I take prepare the returns in the order they are dropped off. TP - Okay no worries just let me know when it is done.

Yes

The mileage from and to his home is the commute. Any jobs in-between are deductible mileage. There are always the ones who says everyone else does and you are not missing a thing.