Lee B

I am the reverse, I enjoy monthly financial statements, processing payroll and business entity tax returns. Every year I reduce the number of personal tax returns.

The Tax Advisor: "Sec. 199A(c)(4)(B) provides that QBI does not include any guaranteed payments to a partner for services rendered to the partnership's trade or business. Furthermore, the guaranteed payment deduction reduces the amount of income otherwise eligible for the QBI deduction, and the guaranteed payments are not treated as W-2 wages for the partnership's calculation of wage-based limits under Sec. 199A. Taking all three of these changes together makes the usefulness of guaranteed payments minimal and potentially harmfuL"

I have been using Cloud Based Accounting and Payroll Services now for almost 11 years now, so I don't have a problem using it. It depends on who, how does it work and how much it costs.

I would have trouble sleeping at night if this was my client. I have a few mildly annoying clients, but nothing like this.

"The Securities and Exchange Commission (SEC) fined RSM US $3.75 million on Sept. 30 and charged the audit firm with improper professional conduct for failing to properly audit LED lighting solutions provider Revolution Lighting Technologies Inc.’s financial statements over a four-year period when the company was violating accounting principles by inflating revenue with bill and hold sales. According to the SEC’s order, RSM’s planning and supervision of the audit, as well as the evaluation of audit results and review of Revolution’s disclosures, all failed to adhere to the Public Company Accounting Oversight Board’s auditing and quality control standard." Really, what's the problem? This is what every CFO of a Publicly Traded Corporation does, they manage their Quarterly Sales and Earning Reports

Darlene, I have no idea how you handle all the stuff you have going on! So glad I am semi retired!

It's usually a few days before Thanksgiving and announced in early November

While my state has one of the lower Estate Tax Exemptions, our probate system works pretty smoothly and the probate fees are pretty low. Watch out for "The Death Tax!"

There was a thread about this recently but I couldn't find it so I started a new thread "Recent heirs to retirement plans got an unexpected boost when the Internal Revenue Service suggested that they could skip making required withdrawals for this year and last, a reprieve that eliminates one-time tax hits and leaves more money in a nest egg to grow. The tax agency surprised wealth advisors late last Friday when it announced that people wouldn't face an onerous 50% penalty for not taking minimum distributions from inherited plans, such as individual retirement accounts, for 2022 and 2021. Though the IRS didn't spell things out directly and said final rules would come next year, the announcement appears to mean that heirs are permanently off the hook for withdrawals for those two years. "The IRS is now saying there will be no 50% penalty for not taking those RMDs, which to me appears to mean that these RMDs do not have to be taken (even though the IRS did not specifically state that in the notice)," said Ed Slott, a certified public accountant and retirement expert in Rockville Centre, New York."

"The U.S. Department of Labor has published a new proposal on how workers should be classified saying that thousands of people have been incorrectly labeled as contractors rather than employees, potentially curtailing access to benefits and protections they rightfully deserve. Misclassifying workers as independent contractors denies those workers protections under federal labor standards, promotes wage theft, allows certain employers to gain an unfair advantage over businesses, and hurts the economy, the department said Tuesday. The reaction in markets for major gig companies was immediate. Shares of Lyft and Uber tumbled about 13%. in early trading. The misclassification of workers has negatively impacted delivery workers, custodians, truck drivers, waiters, construction workers and more, according to the department. "While independent contractors have an important role in our economy, we have seen in many cases that employers misclassify their employees as independent contractors, particularly among our nation's most vulnerable workers," said Secretary of Labor Marty Walsh in a prepared statement. "Misclassification deprives workers of their federal labor protections, including their right to be paid their full, legally earned wage." The gig worker tax returns that I did didn't even come close to making minimum wage.

So what are the requirements for asking for and receiving an additional 14 days?

I think the biggest hurdle is that your client needs to be able to understand Attorneyspeak, and be willing to ask questions if they don't understand something. I have two clients that set up trusts and to both of them it's just paperwork that gets filed away. One client didn't even bother to read the 20 plus pages of instructions and the trust never got funded. In both cases I didn't become aware until after their Attorney was finished.

My clients aren't in a covered disaster area?

"Like software-as-a-service, which distributes applications to multiple users via a cloud provider, tax-as-a-service distributes a tax platform over the internet or a smartphone. TaaS is an on-demand, 24/7 application programming interface that seamlessly integrates with a host server — a bank, for example. Using machine-learning and AI-based simulations, TaaS embeds into digital finance apps. With TaaS, people will be able to do their taxes from their phones in a matter of minutes. These super-apps are one of the big fintech trends, and you'll be seeing more of it in tax, too. You can order a ride or a meal with an app. You can do most of your banking on an app. So why not do taxes on an app too" I expect this will come to dominate 1040 preparation, especially with people under 40.

If so, I hope someone can come up an explanation and some documentation explaining how this procedure works. Can I tell my my client that if he calls in and asks for a transcript he will automatically get an additional 14 day extension ?

Perhaps this is what happened Your client calls on Monday October 3rd and gets a transcript and while talking, the agent says you have 14 more days to file, which is October 17th.

jasdim, it is a tax issue, but it's the kind of issue that very few of the members on this forum have dealt with. I suspect that most of us who have been practicing for a number of years have had issues pop up with business clients where the client has mishandled some significant tax issue for many years. All we can do is make sure our client understands what are the rules and regulations and what impact and potential penalties apply and what needs to be done to bring our client back into compliance. Example, what if you picked up a new white table cloth restaurant and you fairly quickly noticed that your new client hadn't been reporting tips? Very few clients will agree to amend the payroll reports and employee W 2s for multiple years. If your client agrees to fix the problem going forward, is that good enough? After all we can only advise our clients what needs to done to be in compliance, what reports need to be amended etc. We can prepare amended returns, but our client decides whether or not they will sign and file these amended returns.

Since he could reconstruct if he wanted to unless he keeps no records of jobs and where they were located . . . .

Microsoft will continue to support at least one Windows 10 release until October 14, 2025

You have some serious issues here plus a number of unexplained details. Most of the members that post on this on this board don't handle situations like your client is in, so looking somewhere else for advice may be a good idea.

Who has been handling payroll recordkeeping and reporting?

This employer owes a lot of payroll taxes and corrected W 2s

FSAs cannot be used for the employee portion of the premiums

I assume that you are asking about the 10% paid by the employee and the 30% that the employee pays for their dependents, because the premiums paid by the employer is a tax free fringe benefit whether or not the employer has a section 125 plan.

I just called in and got thru quickly. Apparently their phone system was down for over an hour yesterday. I did notice that they have new automated prompts before you reach a live person.