Margaret CPA in OH

Okay, now we're getting silly but isn't this a fun 'relief' at this season's point?

Who could imagine this would get into such detail? Thanks, Catherine, for providing this 'fun' diversion in these last grueling days of the season. It's certainly led us into some interesting rabbit holes (just in time for Easter)!

Lee B, but you have to work year round. I don't Different strokes....

Obviously all y'all's mileage varied from mine. I do wonder about the rather small (I assume) percentage of the expense will relate to the home office. Glad I don't have this problem with enough of my own!

I was never so happy as when I rehomed all business clients (save a couple of small Sch. C and E) when my other CPA retired. There was no way I was going to do payroll and accounting. My tax season is so comfortable now with about 50 clients and evenly spaced. The turnover is really small, usually passing but it seems there is always another new one coming. It works very well for me for those 10 or so weeks. I enjoy the handful that come in to check up annually and the couple I go to see. Most have been with me at least 25 years.

Referring to one of my handy dandy charts, I see this as a betterment (ameliorates a material condition or defect) or, depending on materiality, to be capitalized. I'm not sure how you would determine the materiality of the unit of property, though, even as it seems to be a building system, i.e., plumbing. Either way, my chart points to capitalization depending on materiality which may be a challenge to calculate given that percentage of the home office relative to the entire property. I am assuming that the water source is not exclusive to the home office. Given the extent of the work and material involved, I would not think just a repair. Just my opinion, ymmv.

Tom, I just finished and efiled one yesterday. I went to 4684 Input. For my client I selected Income producing (her entire retirement plus all her investments), Type was Cash, her address, the original date of retirement and date the theft began. Long term and the original cost on lines 20, 23 (FMV) and 27a ($729,462). It flowed though to Sch. A and to page 1 of 1040 as itemized deductions. It shows on 4684 page 2 section b part I column A and flows to section !!. It was efiled and accepted. We shall see what next steps happen.

Yep, a Super Saturday!

Marilyn, my all in one is my backup laser printer. When my old fax went out (I just received a 30 page fax this morning from a less techy client), I decided to have the all in one with laser to use as my back up printer. I've had to use it just once but belt and suspenders....

Yes, to backups. I have a second hard drive in my computer to back up and a small external hard drive I keep in a small safe as well as BackBlaze for continuous backup. And my trusty tech guy who performs miracles.

Yes, I always use that Tax Summary and love the carryover information. It has for AMT, Roth contributions, Foreign tax credit, and probably more than I recall at the moment. I print it out on pdf or paper along with the comparison for my clients.

Christian, I feel your pain. Mine died last fall and that was the impetus to get a new one (my tech guy builds mine) with Win 11 Pro. It was such a pain restoring, moving data, reinstalling programs, fortunately he did 90+% of the work. I'm glad it wasn't now. Hopefully you are back in business now!

Look on Form 1116 in the first tab, Pages & Worksheets. Scroll down to Sch B (1116) - Credit Carryback/Carry forward and enter the data there.

My Brother return and other document printer, HL-L2325DW - is laser, fast, double-sided, does envelopes and labels. I also have a Brother MFC-L2710DW that is also laser, fast, makes good copies and scans and, of course, sends and receives faxes. Yes, I still have folks sending me faxes and I have had to fax documents to IRS agents while on the phone. I believe it can also work through the computer but have not set that up.

Gail in Virginia, when you switched to an electronic fax service, were you able to maintain your original number? We are likely moving this summer so will lose our land line including the fax line. I can change my business number to a cell easily enough but not the fax, I think.

Oh, I use Verifyle and love it as do many of my clients. But a surprising number of them still want a printed client copy of their returns. When I began my own practice I used and still do use twin pocket folders with the year label on the outside, my card inside and copies on the right with acknowledgements and my invoice on the left. So many long time folks still want those folders because that's how they keep their records. Of course, most of my clients are 'of a certain age' and the younger ones (most, but not all) just retain digital copies. One year I tried gray folders. Didn't go over well. My business cards and stationary are light gray and wine. My office is about 99% digital. I never keep paper copies of client data either downloading the pdf copies from Verifyle and/or scanning provided records with my trusty ScanSnap 1500!

I've been very happy with my Bother HL-L2325DW.

What came up was Filing as surviving spouse. I looked at 1310 and the box autochecked is Surviving spouse requesting reissuance of a refund check received in the name of both the decedent and the surviving spouse. So no efiling of a return with a decedent spouse and direct deposit into a joint account? Based on this: https://www.irs.gov/faqs/irs-procedures/signing-the-return/signing-the-return I don't think a 1310 is called for as no check has been issued in both names.

Is this possible? How is the return signed for the deceased spouse?

No question about your statements, Corduroy Frog. My question is in regard to the losses when that trust becomes irrevocable. I did not ask about the basis only the losses. Or are the losses taken when the trust becomes irrevocable?

joanmcq, the sister indicated that it was the gold that was sold. I don't understand that as I was also told that the scammers brought a box to the porch to 'prove' they had bought the gold, told client not to come out on the porch, then other scammers quickly arrived and took the box for safe keeping (or something). I think it could as easily been a box of rocks. Client really is having trouble with memory along with great embarrassment that this happened to her. This is why I want to see the entire 1099 packet from the investment company along with all the statements from 2024, especially those in the months of the scam activities. I'm hoping to get these this week. Sister had a migraine Friday and didn't want to deal with this at the time. I'm not surprised, this has to be tough on her especially as they were estranged for many years.

A few years ago I had a client of about 3 years and I noticed that there were lots of st trades - lots! I asked her about her understanding and she had no clue. I suggested that she take her portfolio to a couple of other firms to review and ask how they would invest and manage her account. She changed investment advisors within a couple of months. It certainly looked like churning to me and it was. Yes, there are too many greedy people out there just waiting to take advantage of the vulnerable.

Good question here which brings to mind the issue with my client having a condo in a revocable trust. As it has been determined that the losses for 2024 cannot be taken (short term rental, etc.), when the client dies (within months) and the trust becomes irrevocable, what happens to the losses? Since it is in trust, is that the same as being considered disposed of? I wouldn't think so. I think the surviving daughters will likely be named as the heirs to the condo but do the losses go with it? I doubt I will be preparing the final return for this client as the daughters will take over but thought I might be prepared, just in case.

Sorry, I thought you were indicating a combined code J/T which I did not see. I am very familiar with Box 7 and have selected many codes including either a J or a T. I just misunderstood what was written. All good now!

Judy, AHA! It was confusing to me to sort of co-mingle 1009R boxes with 1040 boxes. Dave T, I still don't see where the code box with J/T is an option. Surely I am still missing something (far to easy for me these days). I would appreciate clear directions in case this situation arises with me.