Margaret CPA in OH

Hmm, I asked sort of the reverse issue, Medicaid to Marketplace with PTC, on the ACA forum. At last check over 30 views and no replies. At least I'm not alone but I still don't know how to complete 8962.

I gave this a shot. On the 1099R form I omitted the taxable amount on line 2a because you know it isn't correct. That put 5083 from the bottom of the form for the amount converted onto 15b with 6515 on 16a. On 5329 on the input I have on line 4 (Other early distributions not code 1,5 or S). On line 2 I put Other, code 12, and 5083. This created the amount subject to tax of 1432 and tax of 143. I think the documents would support this and don't know if you need to add an explanation for code 12. We'll see what others would do but I think this would work.

So sorry! I have printed without problems to pdf and to my HP laserjet since the last update. I hope you figure it out soon.

Thanks, Joan, but why only from 2007? Obviously I am missing something, well, obvious, just not to me!

Client was on Medicaid Jan-Mar then marketplace April-Dec. Sold rental property in September so is now way over the amount for Adv. PTC do has to repay. However, ATX gives me a message to not enter anything on Part ll lines 11-23 but the instructions state to so so as line 10 is No so continue to 12-23. It seems I cannot efile by following the instructions (as I interpret them). Suggestions?

Thanks, Randall. At least now I think I can do that! Thanks again to all guiding me through this and special thanks to the client for bringing all those returns! Now if only I can understand what was done all those years ago...Another adventure!

Thanks again so much. I was quite surprised when, last evening, the wife showed up with return copies dating back to 1978! So now I get to wade through them from the first year filed and, hopefully! get a much better idea of the status. As the initial returns were self-prepared, though, it may be even more interesting and complicated. Thanks again ALL who responded! I feel far less lost than the first post even if the true answer isn't yet revealed. And I also wonder why, on the ATX data entry, nothing was shown taxable no matter what I did. Is the calculated taxable amount required to be entered into the regular 1099R box 2, taxable amount? I wouldn't have thought so but the programmers may have had a different idea!

Thanks for the ongoing help. Randall, why divide Box 3 by any number, let alone a guess at 'say 260'? The amount there is $1893 so doing your calculation yields $87.37 but what does that mean? As it has been since 1990, perhaps all is taxable except that I read "The contributory amounts paid of disabled employee annuitants under minimum retirement age are fully taxable and these annuitants cannot use the employee contribution amount.....However, once the disabled employee annuitant reaches minimum retirement age, the annuitant may use the employee contribution amount shown on Form RRB-1099-R to compute the nontaxable amount of his or her contributory amount paid." Ii simply do not know how to 'compute the non-taxable portion of his or her contributory amount paid' sad to say. This client reached that age in 2007 but I still don't understand why the annuitant may use the contribution amount... I don't think it practical to recalculate from 1990 as it would cost the client more than the tax due, I think (hey, I get the big bucks, right?). And chances are he paid tax on all at least until reaching retirement age. I just feel uncertain about the ATX calculation. No matter what I put in for the amount recovered after 1986 ($800 or $80,000), it still isn't taxable. With all this, I am assuming that nothing is input in the boxes for regular 1009R's as Box 1 Gross distribution and Box 2a Taxable amount, right? I selected the special type for RRB at the top, used those boxes that appeared and under the Pension and Annuity Dist Simplified Method: 1. Jan. 1, 1990; 2a $1893 (software pulled from above); 3a 42; 5a 12. Hmmm, maybe HRB could do it better. I've just never seen it before...

Thanks, Lynn, I am asking about the green section, blue is pretty clear. I'm not quite sure about using the Simplified Method as I don't know, nor do they, what, if any, method has been used previously. Boxes 4 and 7 are the same and I input in ATX just as it is shown. If I put in the starting date of the annuity as 1.1.90 (he says he retired 12.31.89), the amount in Box 3 autopopulates in the Plan cost at annuity start date. But I don't know, nor does he, the death benefit exclusion or if using the combined ages or the amounts previously recovered after 1986. Without those figures, the amount in Boxes 4 and 7 are not included as taxable. His prior returns show this as taxable but no calculations for Simplified or General Method can be found. I did call RRB and, after 45 minutes on hold, did not find them to be at all helpful. I even provided the SSN of the client. I was told to check with IRS or a tax preparer. I did get a reference to an online document but read pretty much what I have already stated above. Again, I don't want him to have to pay tax that he doesn't owe and it seems to me he may not. Without the data I said is missing, ATX is not calculating that it is taxable. So am I wrong or were others wrong?

A new client receives RRB-1099-R with which I am not so familiar. In trying to educate myself, I got further confused. He is a Vietnam Vet and had to retire at age 44. He is now 70. In trying to understand the amounts in Boxes 3, 4, and 7, I have read that when a disabled employee annuitant (he is) reaches minimum retirement age (he has, 62 with less than 30 years), the annuitant may use the employee contribution amount shown on the form to compute the nontaxable amount of the contributory amount paid. But I am going round and round trying to determine how to do that. He retired 12.21.89 so Pub. 575 says he could have chosen wither Simplified Method or General Rule. I've looked at several prior year's returns and they all seem to show 100% taxable although the employee contributions amount is higher than the contributory amount paid. Some earlier year forms actually showed the amount taxable in a labeled box but that stopped some years ago. I keep reading and reading and getting nowhere fast. I hate to have all taxable if it really isn't, I feel bad if earlier preparers did it incorrectly but I want to do it correctly. In ATX, I input the figures at the top matching the boxes on the form and it isn't taxable but I don't know the information to put at the bottom for Annuity Distributions because they don't know. The start date is known but not the amount recovered after 1986. Any help would be greatly appreciated. I've had clients with annuities before but all information was known and this is my first (and last, I hope!) RRB client. Thanks!

Yup, I can vouch for Catherine's scary weapons. I was very polite during my visit - and so was she. And her awards collection is awesome! I just run marathons and scuba dive...

Finally I got to talk with the help desk person who actually knew something. All is well now but it wasn't intuitive at all to find the efile record. In fact, I don't find much of any IRS or related websites intuitive. I mean, why does one first go to Application for this list?

Thanks, Randall. Now I am having access issues with e-services. I keep getting an Internal Server Error and have an incident number. When the help desk calls it seems I'm in the bathroom, getting the mail or otherwise unable to get to the phone. When I call back, I can only get first tier, they tell me they can't help and I have to wait for the next call. Grrrrrr....I used to really like e-services.

Thanks, as I noted above. I should have done the google first!

Hah, I think it must be CA tax, not federal. The form just says Tax Withheld. I think he's out of luck for federal purposes as he has standard deduction. Thanks for looking!

Well, please tell me exactly how. I have not been able to do so. Perhaps I am choosing the wrong option (story of my life, at times!).

I have a client in Australia, US citizen living there 3 years, who lectured at U.C. Santa Barbara. As he lives in Australia now, $140 was withheld in US tax and he was provided Form 592-B. We file Form 1040 with 2555 but I don't see where to input this withheld tax for credit against his US self employment income. Any help appreciated!

Lowly CPA's are also excluded.

I have also been using Adobe Pro. This year, however, I am using 256 bit encryption with a more complex password sent in a separate email from the attached returns. My reading is that banks use 256 bit and it has to be better than 128 and my password is now 3 times more complex but sensible to the client. I am doing my best.

As cities become more desperate for revenue, they actually have people noting service trucks and document presence. Sometimes it's a spot check, sometimes it's heavy monitoring for days or weeks. Construction sites are monitored and other businesses may be as in the case of my former client. Sometimes businesses will issue Forms 1099MISC and file copies with the municipalities. The city then looks for the matching tax returns. If they don't appear, correspondence ensues. It's happened.

Thanks, Jack. As a practitioner in Ohio for 20+ years, I am very well aware of the taxing (in both senses of the word) situation among localities. A former client who installed and serviced commercial watering systems had to file 20 returns one year. Unhappy camper for sure!

Thanks again, rfassett. I actually know how to check other state filing requirements. The immediate issue is getting from him an itinerary of the states where he has worked. When I asked for it, his reply was as noted. At least I know he currently is in N. Carolina so I will use that as an example. And thanks for offering the link as a quick reference. It will be helpful - IF I get the itinerary.

Thanks, rfassett. My inklings were correct. Were those boiler maker clients (not sure what that is) W-2 employees for several different companies and sent to different locations? I suspect that there may be the comeback that no one else files other states but, of course, I don't really care what others do or not do. And, while I am always open to learning new things, I kinda resented that he would direct me to his HRB return to see 'how to do it.' He may not stay a client, sad to say. I really like him and his wife.

A new client is an IT professional and had 5 positions last year always with a W-2. He is a consultant and works on special projects. As an Ohio resident, Ohio state tax was withheld but not always the local tax, to his dismay. He has never physically worked in Ohio or the locality, though. He has been in different states and even in Germany for a couple of months. I am uncertain about whether to research filing requirements for all the locations where he has physically worked. When I asked about an itinerary for 2015, he referred me to his 2014 return (HRB). I interpret this to mean that he has no intention of other filings. I do suspect that they each may be in excess of the filing requirement and do know that credit would be shared. Well, most likely. I'm getting several firsts in this, my 20th year, and this is one. Comments? Suggestions?

I had to leave a message and am waiting for the call back. Stay tuned... you may see a smoke plume rising. Hope not!