Terry D EA

Correct me if I am wrong but doesn't the language say must have attended at least half time to qualify? If so, I don;t think she qualifies for the AOC. Life time learning credit for me.

Also regs say that the support test is not needed if they are a qualifying child and full time student. Support test comes into play with a qualifying relative.

I am pretty sure that TaxSlayer is a stable professional company. My tax season has gotten back to normal thanks to them. Matter of fact, this has been a good season with them as I haven't had any difficulty yet. If there is a stumbling block, they don't have the 5227 or the 1041-A forms available that I need for a CRUT. But, I can work around that. Found a non-common NC State form that is used for energy credits that qualify for 35% deduction not available either. Again, I have found a work around so all is well. I do plan on renewing this spring. Didn't think I would ever put money upfront again but I am feeling real confident with this.

This is just great! More power to try to obtain a refund or put them out of business.

The conversion to TaxSlayer Pro was effortless. The support folks will copy your files and convert them. Took them about 45 minutes to do mine. I have had absolutely no problems, the learning curve was minimal. Mind you, there are and will always be a few quirks here and there as you learn. Example; I had to ask how to get back to the sale of the main home worksheet. It was very simple but something I hadn't done yet this year. I have been efiling returns and have not had one return rejected for anything. Returns with form 8863 and depreciaiton have gone effortlessly. If there has been any difficulty it has been with the possible lack of a state form for NC that I need that they are looking into. As far as support goes, never a problem, no long hold times and very courteous and helpful folks. Here is my rep's information. He was very helpful with getting me up and running all in less than 1/2 a day. Byron W. Allen TaxSlayer Pro Software Consultant 888-420-1040 ext. 260 sales 706-868-1955 fax [email protected]

I have a client who installed a Geo Thermal renewable energy heating system in his home. This qualifies for 30% Federal deducation and 35% NC Deduction. I am using TaxSlayer Pro and the 5695 form has not been released yet. No problem. However, the support folks (guys on duty after regualr hours) can't find the NC 478G form that is used to claim this credit. Also, their unput on the 478 form is kind of lame as well. Here is my question, does anyone know if the NC 478G form should be filed with the return? Personally I would think so as the information should flow from the NC 478G to form 478 and from there to the NC D400 page 2. If this is not able to be done, would you fill the forms out manually and mail the return in? I don't see anyway to attach a .pdf to a return through TaxSlayer Pro. Or, the other option as the support agent told me, put the information on form NC 478 which is only one line and that line is for credits limited to 50% of the tax liability. The credit we are claiming is under the 50% limit but I am not sure if that limit applies to this type of energy credit. Right now, just too tired to look. What would you do here? Contact the NCDOR and ask them?

I have a client who installed a Geo Thermal renewable energy heating system in his home. This qualifies for 30% Federal deducation and 35% NC Deduction. I am using TaxSlayer Pro and the 5695 form has not been released yet. No problem. However, the support folks (guys on duty after regualr hours) can't find the NC 478G form that is used to claim this credit. Also, their unput on the 478 form is kind of lame as well. Here is my question, does anyone know if the NC 478G form should be filed with the return? Personally I would think so as the information should flow from the NC 478G to form 478 and from there to the NC D400 page 2. If this is not able to be done, would you fill the forms out manually and mail the return in? I don't see anyway to attach a .pdf to a return through TaxSlayer Pro. Or, the other option as the support agent told me, put the information on form NC 478 which is only one line and that line is for credits limited to 50% of the tax liability. The credit we are claiming is under the 50% limit but I am not sure if that limit applies to this type of energy credit. Right now, just too tired to look. What would you do here? Contact the NCDOR and ask them?

No problem, that is what we are all here for. Yes, this has been a long tax season and everything we experienced early on has caused me and I bet you to tread cautiously every where we go through a return. It is easy in this business to know what you are doing but question it at different times.

Thanks again Jack and I do value your opinion. The possibilities you have stated are true for the most part. A major part of the assets have been depreciated completely but there are a few with a fairly significant value that have not. I am meeting with the shareholder and their bookkeeper tomorrow and all of these issues will be discussed. As far as any remaining depreciation on the assets that is my responsibility as I have been tracking that and is easy to produce. You are right, it is a mess and one that I will bow out of if there are too many other's in the mix. As I have stated in the past with this person all it does is add confusion. Most of these opinions are not coming from someone who is experienced in S-Corp taxation including the young CPA.

Thanks Jack and I am going to do more research on reclassifying distributions to shareholders. The guarantee of loans I am not famaliar with but what I do know is there were no funds to guarantee anything and all of the assets were held as cololateral on a loan to a financial institution. I saw this as the only way to free the assets up to sell them off. When this was suggested there wasn't any talk of any way to produce any income and the S-Corp was looking toward total liquidation. I also suggested a bankruptcy lawyer as well and to the best of my knowledge the shareholder has not pursued that direction either. What are your recommendations?

Crank you are exactly correct, we all purchased quality TaxWorks software and ended up with below standard non-functioning, unusable garbage.

I too would like to file the small claims action but some of the articles I have read from NOLO, legal zoom; etc you have to sue the person in the state they conduct business in. Now, if It can be done electronically or via mail, I would be happy to go that route. From where I am in NC it is about an 8 hour drive which I wouldn't mind if I could include the expenses incurred to file the law suit. Any suggestions with this?

I leave my name and info in there as well. Doesn't hurt anything

John, the loss goes on the benficiaryfiduciary K-1 see if the link below helps you. http://www.irs.gov/pub/irs-pdf/i1041sk1.pdf

Don't you just love all these folks. Question is, why do our clients belive them and not us??? And then, they look at us like we are the evil red headed step child when we tell them sorry but you can't do that. Go figure.

John I agree with you totally and the 401K was a personal 401K that was used to pay off the S-Corp debt to free the assets. The profits should be very low if any at all which negates the S-Corp employee/non employee thing. I thought it easier too to just call it a repayment of a shareholder loan since their previous accountant had not properly tracked the shareholder basis. This company began in 1998 and I came on board in 2007 and the only thing I have done is classify everything the shareholder gives as a loan. I am not sure if the "young CPA" knows all of the circumstances and I do agree as well, if there is income where did it come from. and maybe I was thinking way past that. And like you, I am wary of the NCESCU as well. My best suggestion at this time is to evaluate what the bottom line may look like and make a decision from there. First instinct is to stop unemployment.

Man I hate to see you guys going thru these problems. As if TRX wasn't enough. I am sure glad I went with TaxSlayer as I have had virtually no problems with any States, depreciation, rollovers or nothing. Not trying to make anyone feel bad or push TaxSlayer. Just saying.

I think not. Had a client in today that has ventured into offering cell phones, home security systems, and home VOIP phones and has been told that any of the items and services he puts in his own home for personal use that he buys from his own business are a deductible expense. Really??? We put his return on hold until one of the guru's from this company (crappy company) either calls him or me. My client got mad because he insisted these people were right. I politely disagreed and asked him if these folks held any degree, registration, enrolled agent, or any other license that gave them the right to offer tax advice? He said he would let me know. This reminds me of the ads that you can buy a big flat screen for your home/office and deduct it. I guess you could if you could prove you used your living room or family room to entertain clients. Oops wait a minute only 50% of it.

It's hard to tell if there are any users left. If there are I don't know how they are operating. I wouldn't trust that garbage software to do a simple less than 500.00 1040EZ return. Maybe this is the push I needed to buy quality software at a regular price and stop trying to cut corners and cut corners somewhere else.

I guess I never thought about Doug being a coward but now that you mention it, it fits. So for me I will be filing the complains with the FTC and TN AG, NC AG and TN BBB. Like you, if I lived closed enough I would drive over there and file a small claims action for the maximum amount that I could.

Margaret you're being too hard on yourself. Anyone can overlook anything but Lion is correct, contact them for a new form. It should be pretty straight forward if you can determine the amount she received. The medicare B premiums can be found doing a google search or take the figure from another client. Not sure about the Medicare C & D though. Either way, good luck and lighten up on yourself a bit.

Here is a scenario that I am currently dealing with. I will apologize for the lengthiness but to get a good response it is necessary. XYZ recycling company has been experiencing significant financial difficulty and has ceased operations. This is an S-Corp with a single shareholder who has a captial account in excess of 50k. Also, under the recommendation of a business counselor, single shareholder has stopped taking a salary and has filed for unemployment. Again, XYZ corp is no longer producing any products, all employess have been laid off and there is no revenue from normal business operations. I have been preparing the tax returns for this company as well as tracking all depreciation and shareholder basis. With that said, I don't know why they waited so long to involve me but all of the company assets were held as a lien against a loan. I recommended the shareholder withdraw funds from a 401K account to pay off the debt to free up the assets. That has been done and the amount of the 401K withdrawl has been added to the capital account. Just a note, the sharehold is 60 years old and withdrawing funds from a 401K was not my first choice but was the only funds available to pay off the loan to free up the assets so they could be sold. Now the shareholder is involved in securing materials for production under the existing company name to sale to other recyclers for production at a fee (commission). The fees are small and I am not sure at this time what expenses there are against the fees. 1. I see no problem with XYC company buying and selling raw materials to another recycler for a fee. 2. The fact that XYZ company has to pay back debt and by using these funds to do so falls under the normal course of business and shouldn't throw up any flags??. 3. Any remaining amounts after expenses can be used to repay the shareholder as well as the shareholder can take a draw against capital. Here are the main questions, under this scenario, should the shareholder continue receiving unemployment? Wondering if the NCESCU can say the shareholder is actively employed and make the shareholder return any funds received from unemployment? Personally I say no due to the fact the shareholder will only receive a return of capital or loan repayment. Under number (3), none of the funds the shareholder receives are taxable again because they are a return of capital and loan payback. Is my thinking correct on this? A family memeber who is a (Newly licensed) CPA has made the statment that the IRS would want to know under this scenario who and where the income is coming from and who is producing it. That statment has confused me as I thought as I stated above it was pretty clear if I am correct. I don't think the IRS cares where and who is producing the income unless that income is taxable. Simply put, XYZ company is almost insolvent as the liabilities exceed the assets and yes these total liabilities include loans owed to the shareholder and I don't see anything wrong with what is happening here. Each time I think about this, I can't wrap my head around the family member's statement. So, any opinions are appreciated.

Today is the 22nd of February and still no refund, no reply to e-mail, no return phone calls. Shame on you Doug for being the deceptive person that you are. Don't ever ask yourself again why people are treating you the way they have been. You and your organization deserve everything you are getting and will get. If you are put out of business, file bankruptcy or some other short coming comes your way, just remember you cannot choose the consequence for your behavior. As a Christian, I forgive you for what you have done. However, with that forgiveness comes a demand for change. I will pray for you. Man up and face your accusers, swallow your pride and admit you failed and right your wrong. You will never gain or regain any form of respect until you do. Maybe one day in court or in some other setting I will get to meet you and I will personally say shame on you.

Yes it does and I hope you have good luck with using it. You should find the learning curve to be quite small. If you need help with any of the functionality, you can post here. I bought the TaxSlayer program on Jan 30th and am not a bit sorry I did.

This dead horse has been beaten several times. Stop digging him up to beat him again cause it won't do no good.