Lee B

Several months ago, I had a payroll client receive an unannounced visit from an IRS agent regarding their 941s. They had been filing and paying their 941s late.

Even if the corporation keeps it's S status, somewhere down the road it may become desirable to distribute the property to the shareholder(s) which in an S Corp means that it will probably come out at FMV with unintended tax consequences. Sometimes reducing taxes as much as possible is not a good strategy, especially if obtaining a loan can be foreseen. Really it's a balancing act between tax reduction and credit-worthiness.

Here is the link for ATX 2015 System Requirements: https://www.cchsfs.com/software-system-requirements/default.aspx#sys-req

For a balanced independent perspective on what this actually means from P C World: Windows 7 exits mainstream support: What you need to knowBrad ChacosYet another end is nigh for Windows 7. After months of buildup—Microsoft killed standalone software sales of the operating system in October 2013, and Windows 7 consumer PCs stopped being manufactured in October 2014—the venerable OS is finally exiting “mainstream support” on January 13, 2015. And for months now, the Web has been flooded with a wave of confused or downright fearmongering headlines and articles implying that Windows 7 is following Windows XP into the graveyard It's not. The confusion here stems from Microsoft's maddeningly obtuse naming conventions. Leaving mainstream support only means that Windows 7 won't be receiving any new features or product tweaks, such as the impressing-sounding DirectX 12 gaming technology slated to launch with Windows 10. You won't be able to call Microsoft for free help if you run into an issue with Windows 7 either. Once a Windows desktop operating system leaves mainstream support, it enters the extended support phase—the very same support phase that Windows XP found itself in from early 2009 until its death earlier this year. You'll still receive those oh-so-critical security patches during extended support, meaning that while Windows 7 won't be in active development beyond next January, it won't be tossed to the wolves of the Web, either. Hotfixes will still be provided, too, assuming they're security related. (Business can sign up for an extended hotfix support plan if your company wants hotfix support for non-security issues.) And those security updates will be coming for a long time, too: Extended support for Windows 7 lasts until January 14, 2020. Heck, commercial PCs with Windows 7 Professional will even continue to be sold for the foreseeable future. You can read Microsoft's Support Lifecycle for Windows if you're still curious about how this all works. (You can also find information about the other products reaching various End of Support statuses on January 13 in this Microsoft Support post.) So take a deep breath. Relax. Don't panic. Windows 7 isn't being left for dead until years from now, even if the timing of Microsoft's Windows 10 events (including the one scheduled for January 21) directly coincide with Windows 7 End of Support milestones. In fact, here's three ways to buy a new Windows 7 PC today—and yes, downgrade rights from Windows 8.1 Pro still work just fine. Editor's note: This article originally published on July 10, 2014 but was updated January 12, 2015 as Windows 7 exited mainstream support

Copied from Accounting Today: IRS Changes Identity Theft Policy The Internal Revenue Service has agreed to change its policy on identity theft and provide victims with copies of the fraudulent tax returns that have been filed under their names by scammers. The move comes in response to a request from Sen. Kelly Ayotte, R-N.H., who wrote to IRS Commissioner John Koskinen last month urging the IRS to provide tax-related identity theft victims with copies of fraudulent returns, which the agency had refused to do, citing privacy concerns. In response to Ayotte on Thursday, Koskinen wrote, “As a result of your letter, we have decided to change our policy regarding disclosure of fraudulent identity theft returns to victims whose name and SSN the fraudulent return was filed under...We will put together a procedure that will enable victims to receive, upon request, redacted copies of fraudulent returns filed in their name and SSN.” Ayotte said she is pleased with the change in policy. "I'm glad that the IRS has agreed to my request to reverse its policy and provide identity theft victims with copies of fraudulent tax returns so they can take proper steps to secure their personal information,” she said in a statement last Friday. “Victims of identity theft face significant emotional and financial hardships, and they shouldn't be left in the dark about the extent of the theft. This is a positive step that will help them protect themselves and their families." Ayotte said she became aware of the issue after hearing from New Hampshire victims of identity theft who told her that the IRS's refusal to provide copies of fraudulent tax returns prevented them from knowing what information was stolen. Last month, Ayotte helped introduce the Social Security Identity Defense Act of 2015, which would require the IRS to notify potential victims of identity theft, something the agency has failed to do in the past. It also requires that the IRS notify law enforcement and that the Social Security Administration notify employers who submit fraudulently used Social Security numbers. The bill adds civil penalties and extends jail time for those who fraudulently use an individual's Social Security number.

​Actually, you can can go to many websites today, including Dell, and buy a very powerful Win 7 Pro 64 bit system. If I was buying a system this year it is what I would buy. Microsoft has committed to supporting Win 7 until 2020.

Taking into account that the upgrade to Windows 8.1 caused lots of users recurring glitches and quite a few problems, why would you want to upgrade,unless you like the exploring the unknown.

Copied from the NAEA Newsletter: from the Return Preparer Office Ms. Campbell also reminded EAs that RPO is providing enrolled agents with the ability to check how many returns have been filed on their PTIN. Given rampant troubles with identity theft, EAs should check regularly. Here's how: Go to IRS.govGo to the Tax Professionals sectionOn the right hand side of the page, look for the button "PTIN Open Season/Renew or Sign Up Now" (which you are not doing, but...)Click on that button to access the PTIN account pageSign inGo to View Returns Filed Per PTINWhile you will receive the number of returns filed electronically per tax year, the information is not updated daily (we believe it is updated once a month-and the site will display the most recent revision date), so please do not be alarmed if the number of returns does not line up precisely with the number you believe you filed. If, however, you believe you filed 312 returns and IRS' data shows 409 returns, well then, that's a problem. If IRS believes you filed significantly more returns than you believe you filed, you are instructed to file Form 14157 (which is counter-intuitive -- and difficult because it appears you are filing a misconduct case against yourself!).

The last 3 years I have waited until December or January to renew. Today I decided to renew, $69 down payment with balance of $1,269 due on December 16th.

​Just to keep the record straight this was a copy of a post on the ATX Board by a poster named fromthegrave

Re: ATX Payroll Compliance Fees 2015 ???????????????????? Copied from the ATX Board: Suggestion to all ATX subscribers: Count up how many filings you did over the past year with ATX in the Payroll module. Shouldn't be too hard to do if you run a sort in the efile manager on Sub Type. If your non-W-2 SSA filings total more than 100, (for 941s, 940s and 1099s), then the best option for you is to ask for the unlimited filing option for $ 150. If you file less than 100 PR returns in a year, then stay with the $ 1.50 per filing option. Whichever way you choose, don't be surprised that your sales rep didn't mention the unlimited one time pay up-front option when you renewed this past month. It wasn't in their normal telesale script. Just call back and ask for your renewal contract to be updated with the option. Our office is saving over$ 150 with the one-time unlimited fee. Am I happy to be paying another $ 150 for e-filing? No I'm not. However, it is what it is and I prefer to e-file the payroll returns rather than send paper" It is truly amazing how poorly ATX is comunicating with it's users !

For a balanced perspective on this story, here is NAEA's position: IRS in an announcement late yesterday stated "criminals used taxpayer-specific data acquired from non-IRS sources to gain unauthorized access to information on approximately 100,000 tax accounts through IRS' 'Get Transcript' application. This data included Social Security information, date of birth and street address." We believe it is important for our members to understand the issue at hand here. In the first place, IRS was not "hacked." More to the point, criminals did not break into IRS databases and steal 100,000 accounts. The criminals had the keys, obtained elsewhere--they came in the front door and fraudulently posed as taxpayers. While your clients may not be particularly interested in this fine distinction, we believe the distinction is one worth making, both to your staff members and to your clients. Members may have already heard of the breach either through the media or social networks (we posted to NAEA's Facebook page last evening), but we wanted to make sure that all NAEA members were aware of the issue--and that IRS had shut down the "Get Transcript" application. Please take a minute or two to read IRS' announcement, which provides quite a bit of useful information, including details on what the agency believes happened, how many taxpayers are affected, and what the agency is doing in response (including an offer of free credit monitoring). In our conversations with well-placed current and former IRS officials, we gleaned a few other items for your consideration: IRS has not yet sent the letters to the taxpayers whose data has been compromised. Those letters should be going out shortly--perhaps by the end of the week, though frankly we don't have a high level of confidence on this-and we expect to receive a copy, which we plan to share with our members.We do not know how long the "Get Transcript" function will be shut down. Our guess is that it may be a very long time before IRS reopens it.IRS plans to post FAQs (Frequently Asked Questions) to its website--perhaps today

If you read the various articles, the thieves obtained people's SSNs, birthdates etc from other sources. Then using that information, they by impersonating individuals, obtained tax return transcripts. I think it is a very important distinction. IRS eservices was not hacked !

I received the email from my ATX Sales Rep: ” The $1.50 charge is per e-filed return. This would include summary forms for any variety of 1099 per company (not each individual employee’s 1099) and quarterly/annual reporting from the 94x series per company. Because W2s are not actually electronically filed, they are not subject to the fee.” So my original post is correct except that there will not be any efiling fees related to W3/W2 s.

Some financial institutions try to insist on using their own forms. Check to see if your state has passed one of the laws that require POA's to accepted.

​Lynn, I think we are saying the same thing on 941s. On 1099's, it's per Form 1096 not per client. For example I have several clients that have 1099s for rent, interest and dividends which is 3 different 1096s.

Talked to my ATX Sales Rep, several hours ago. According to him, the following efiling fees will be charged to your credit card on "as used" basis: 1. $1.50 per each W-3 ( Federal/State counts as one ) 2. $1.50 per each 1096 ( Some of my clients have multiple 1096 s ) 3. $1.50 per each Form 940 4. $1.50 per each Form 941 ( 4 times per year ) On my proposed renewal contract it says the following: Under the words MAX Package, "Unlimited efile of federal & business returns plus all states" Under the works Payroll Compliance Reporting, "Unlimited efiling." In the product details for ATX Payroll Compliance, the very last line says, Unlimited efiling at $1.50 per form The conclusion that I have reached is that as usual, ATX doesn't really care if we are confused or they are so disorganized that they can't communicate clearly. I guess it doesn't really matter which it is !

Also in different parts of the country, the Postal Service is closing down mail sorting centers, which delays mail delivery. Last year 1st and 2nd quarter estimated payments timely mailed to the Oregon Dept of Revenue took 10 to 14 days to be delivered.

​I am skeptical as to how this would work. You have several different years with different rates and possibly different max $ limits. In my state you have to file amended returns.

Yes, I have manually start the ATX Servers this way every time my computer reboots for both 2013 & 2014. Other than this annoying issue, I don't have any problems with ATX.

I have spent between $500 and $600 per year for Professional Liability Insurance for the last 22 years. About 20 years ago I added Earthquake Insurance to my Homwowners Policy for the same reason. It's risk management, you insure against potential losses that you can't afford. How many of you would stop carrying Homeowners/Fire insurance on your home or stop carrying Liability Insurance on your vehicles ???

I have had both past and current clients with a number of unfiled years for both personal and business tax returns who have never received any letters from the IRS. In my state it's more likely that they will receive a letter from the state Dept of Revenue, if at all.

Copied from e-news for Small Business: Tax Tip 2015-04, IRS Webinar Helps Child Care Providers Learn Basic Tax RulesTax Tip 2015-05, IRS Helps Beauty and Barber Shops Start, Grow and SucceedTax Tip 2015-06, Federal Tax Help for Landscapers and Gardeners is Just a Click Away

I have noticed that the ATX program seems to be taking longer to open recently, but once it's open I haven't noticed any problems or lag.

​I agree 100 %