Terry D EA

I agree file part year resident returns for each state. You have to separate the income pertainint to each state. The federal total will flow to each state return and you will have to allocate for income and taxes paid. The big dividing factor is the W-2 forms

Had a client e-mail me her rental property information. A little background, this property was converted from personal vacation property to vacation rental property in 2010. Here is the kicker, she gave me the figures and said she would like for me to do all I can to show a loss and if it looked close, call her and she will help me make that happen. Are they kidding? I don't know how many more I can take this year.

I can see both sides of this discussion. However, I agree with Jainen on this one. It is hard sometimes watching what people do and I understand your concerns for the parents in this situation but the fact remains they came to you to get their returns prepared professionally and accurately. Got to keep the emotions out of it. On another note, Jainen made reference to the fact the parents should be so lucky that the kid is atleast working and going to school. I agree, I work with young people every day and trust me, they are more fortunate than you think. Working at some job and going to school doesn't equal total mooch. Now I am not taking up for the kid, by your post, he does need an attitude adjustment but not from his tax preparer.

Where does it say "her standard deduction is zero" "If your spouse itemizes deductions, you cannot claim the standard deduction. If you can claim the standard deduction, your basic standard deduction is half the amount allowed on a joint return." Question if your spouse itemizes and you cannot use the standard deduction that what deduction do you use? Maybe your statement is incorrect as well?

I did consider being the nice guy here and giving her the $35.00. I wouldn't take her back next year at all because of the question she asked. Matter of fact, if she wants to further harass me, I'll probably give it to her. Stupidity on her part doesn't trigger sympathy on mine. This girl is playing some kind of game here that I knew nothing of until the return was transmitted and because I refused to listen to her I still have no idea what illegal thing she is talking about nor do I want to know because of the position it puts me in. I didn't use this in a stupid way, I simply went to the bank and deposited the check on the date it was written as she asked. Agreed $35.00 is nothing and that in and of itself is not my concern.

Client comes to my office, gets taxes prepared and completed on Feb 11th. Fairly simple return, client asks if she can post date her check till she gets paid on Feb 15. I grudglingly accept. Check is dated Feb 14 and stupid me, I go to the bank and make a deposit on Monday Feb 14th. You guessed it, client's check bounced, she was charged $35.00, me nothing got my money. Now, client thinks I should reimburse her for the $35.00 fee for not waiting to cash a check dated earlier. Huh? I forgot, I didn't read her mind and didn't know she made a mistake on the dating of the check so again, it is my fault. Huh?? Well now, here is my final response to the client, remember when you asked me if I would turn you in to the IRS for telling me you were doing something illegal after your return was transmitted???? for $35.00 I'll keep my mouth shut. No, I don't know what the illegal thing was cause I asked her to leave, don't care and am glad she is pissed enough to not come back next year. Geez!

Only way that I am aware of is to unlock the form, enter the information in the cell where you want it and then lock the form. I beleive this is under the edit tab.

Me too, been doing it that way for fourteen years now and no problems

Catherine, I would file the 2009 form as it is apparent the 2010 form wouldn't have been available even if the return would have been filed on time. Just my thoughts.

JB, these type of questions are very interesting. I don't get to see hardly any of these type of returns here in NC. However, I am pretty sure the divorce laws are similar in that a spouse can receive retirement from their significatn ex-other. Questions I have are: is this considered alimony? If so, then it would be pretty clear that the receiver has to claim the amounts as income and the payer gets the deduction. But, who pays the early withdrawl penalty if one applies? Is the penalty split as well? Really, it only seems fair. Does the receiver claim the withholdings as taxes paid? I would think so. Again, I find this interesting and would like to know if my thinking is correct. I'm sure you're having enough fun with these so I won't ask you to have more.

I had the same thoughts as bcolleen. The original cost, plus improvements along with other items that can be added to the basis minus any depreciation would be the figure used to determine loss or gain????

As of today, I have received ackowledgements for each return transmitted with a Schedule A that was on hold. NO REJECTS!!! NO PROBLEMS!!! I am excited.

Hmmmm good question. If the father was required to provide insurace, which many are, he would enroll in the family plan with his employer. Personally, I would think the premiums are deductible and if not how would they be separated? Just thought I would add another twist to the post.

Here's one. Just finished this client's tax return and she is getting almost 5k refund. it is important to note this person works in a law firm and makes 50K+. After reviewing the return with her, I asked if she had any questions and she said yes, just one. "If I told you I was doing something illegal do you have to turn me in?" Me: Dumb looks are hard to conceal when you're caught off guard.

I have sent quite a few using TRX and so far no problem but no acks either. Guess we will all know tomorrow.

I just recently completed a return that had Mo, KS & NC and all went well. The only thing that didn't was the wages amount to each state and the amount of taxes paid to another state for Missouri (as a resident state), to calculate properly.

Are you tring to get to "Grand Poo Bah" status? Huh? Really? Good luck with that.

Grandmother cannot file as HOH without a dependent. She must file single Daughter can claim daughter as a single filer as it would appears she did not pay for more than 1/2 of the upkeep of the home due to the fact she made approximately 1/3 of the grandmother's income. Question is can she claim ETIC as a single filer with a child?? Off the cuff I say no. I don't see a tie breaker rule applying here. let's see what others say

Thanks Margaret, Pub 970 doesn't mention when the credit became available but does mention that you cannot use the Hope Credit this year. It is always good to keep each other straight with these ever changing issues.

Student loan interest is only deductible for taxpayer, spouse or dependents. If the person for whom the education loan is for cannot claimed as a dependent or is not the spouse or taxpayer, then the interest is not deductible regardless of who is responsible to repay the loan.

I find the following according to Pub 970. 1. This is the first year of the AOC credit, so it would be impossible to have already claimed the credit for any previous tax years. The gray area here is the fact that the AOC is an extension of the Hope Credit and if the Hope Credit has been claimed for any two previous tax years, then is there only two years remaining to claim the AOC? So far, I have found nothing to support that but it still very well may be the case. 2. The eligile student requirements are pretty clear. The credit is ONLY for undergraduate work. We all know that if a student is enrolled in graduate school, he/she had to have completed undergrad work. 3. The statment is clear regarding (4) four tax years. Going forward, the credit can only be claimed for four tax years, there is no statement that these years have to be consecutive. So, if a student took a break for one year and then resumed, he is still eligible to claim the remaining credit. So, if a student took 8 years to obtain a bachelors degree and there were a year or so break, then it appears he/she could take the credit for (4) tax years. However, if a student takes (8)consecutive years to complete a four year degree because he/she is a half time student, then it is clear the credit can only be taken for (4) four tax years. To the scenario of a student who is a junior enrolled in a four year bachelors program could only take the credit for the two remaining tax years and the first two years of grad school... the student is not eligible to take the two remainig years of AOC credit simply because the credit is allowed for pursuit of a four year undergraduate degree

Not sure on this. I have one with TRX pending as well. So, it isn't a software issue but an IRS issue. I can't remember for sure, but I think mine shows a tentative release date of 2-11.

Hi Margaret, this is a tough one. Did you client by chance have the property appraised when it initially went on the market? If so, then I would use that figure for the basis of depreciation. I wouldn't lower the depreciable basis becuase the property didn't sell. That fact that the market did not return a sale isn't enough reason in my opinion to reduce the depreciable basis. The appraisal would be the best form of substantiation. However, if there is not an appraisal, then I have to go with Pacun on this one and use the tax card value.

Thanks Ryan it is on the way.

Ryan I need your e-mail address