jainen

>>is Jane Eyre available in comic book form?<< I don't think they do comics that way any more, but you might find something old in a comic book store or online. There's always CliffsNotes if you just need a quick intro to the characters and plot, but of course that's a spoiler. If you are at all interested in one of the finest tales of love and mystery in English literature, I recommend you spend a weekend in the halls of Thornfield. Don't use a summary or abridged version, and don't watch the movie. The story is deep and rich, the imagery is magnificent, the language without flaw. It's a fine work (just not to my taste).

>>tell me again that you are not being facetious.<< Doggone it, that's right. But I'm not joking; I'm just crazed by an impossible year that has not left me at all prepared for tax season. No, I've only read Jane Eyre a time or two. Too depressing for me. I seem to recall they even had to buck up the ending for the movie. Sorry for my mispeak. I am a Lizzy Bennett fan, though. And as you point out, that phrase comes just before the climax of the whole story. Very important--it pretty much changed everything when Elizabeth reacted so "firmly." So what was Lady C talking about? What were the "shades?"

>>to be so facetious about Jane Eyre<< Not so. I do read it every year. I even posted about it in the middle of tax season last year, on The Tax Book message board (before I got banned). In fact I had a little quiz going. I'm still wondering about polluting the shades of Pemberly. Do you suppose that refers to: a-) the fine furnishings b-) spirits of family ancestors c-) the surrounding park d-) their reputation or mystique e-) outdoor parties

>>the parent with whom the child lived the greater portion of the year<< That's only a tiebreaker rule. If the parents agree, either one can claim the kids. (The original post, however, didn't ask about kids.)

>>the car was stolen<< It's the parents' fault. I always taught my kids to make sure the car doesn't have drugs or weapons when they steal it.

>>Wisconsin refund offset for non-payment of hospital bill<< County hospital, or county contract for indigents? That would be a government bill. Thanks for reminding me that it's time to read Jane Eyre again, it being a new year.

>>they have a divorce decree saying they can<< You remember when they made the new law that you had to follow the divorce decree, but then they rescinded it before it took effect? Well, California conformed to the new law but not the revision. So now in California we have to count overnights and put the kid on one federal return, then put him on the other state return according to the divorce decree!

>>never use 1040a<< You should let the software select the required form after data entry. If the taxpayer is eligible to use the short form you may disadvantage them by printing Form 1040. School financial aid is one area in which the two forms are treated differently.

>>One day at grandparents<< I don't count a day visiting Grandma as living with her, or even a weekend. Or a weekend with the non-custodial parent, either. It's just a temporary visit away from the primary home.

>>have one or the other of them sign the 8332 each year << I don't deny that many tax preparers would consider this satisfactory, but in my opinion it doesn't really meet your professional responsibilities because you haven't determined if the child lived with one parent for more than half the year. Taxation is inherently emotional, and if you have any experience with divided families you can see a number of ways this might later become a problem. You can see those ways because you are right in the middle of them.

>>Should I file him as S with Dependent and 1/2 of child care and file her as HH, nondependent, EIC, & other 1/2 of child care?<< No. You should decide which of the two parents is your client and be extremely careful not to violate confidentiality and professional conflict of interest standards. Then you should use normal interview techniques, including review of any available records, to see if your client meets the requirements to claim a qualifying child. Tell your client what you are doing and discuss the possibility that the other parent's preparer might see things differently. Then prepare the return accordingly.

>>stealing something from someone else<< No, no. What I meant, was that he didn't develop something which became very popular. He turned it over to a big company so THEY could develop it. You are trying to take an idea BACK from the big company, so it can be developed close to the user base again. There are plenty of good examples of that sort. In fact, didn't ATX start that way?

>>received another 2500 for additional right-a-way<< If he deeded a strip of property to accommodate the right-of-way, he will use Schedule D to report gain or loss according to a pro-rated share of the basis. If he merely granted an easement, he will reduce the basis and not use Schedule D (unless basis reaches zero).

>>put in a "new" phone system just days before the tax season?<< Be fair--you know how the phone company is. They probably called to schedule last October. Then the installers missed the appointment even though an adult was there sometime between 8:30 and 6:30 (they stopped to smoke a joint). They made it the second time but didn't have the right adapter on the truck. Meanwhile the sales department called with an upgrade offer so they started over again. Turns out the upgrade requires a new kind of electrical circuit so it won't damage the computer network. Then all the crews got called out to repair storm damage (office Christmas party). They finally got everything hooked up just after the first of the year, but nobody could work it because the manual is written in regional Chinese ideograms.

>>Bill Gates probably had no idea what he was starting at first<< The Bill Gates startup model was to take a program someone else had already written and sell it to IBM. That's not exactly what y'all been talking about. The key will probably be finding a niche that large publishers are missing or can't service. It might focus on a certain type of taxpayer, like clergy or self-employed. Or certain kinds of returns, like retirement and estate planning. In my opinion, the best hope for any of us independent shops is to specialize. Or it might exploit new hardware, like smart cell phones or the PS3. I mean, right off I can think of so many ways I could use a Wii in my tax practice! Actually, I think the fastest way to a good reputation for a tax program is to go up against CFS TaxTools rather than Intuit and CCH.

>>my clients Federal refund was intercepted for attorney's fees<< There's all sorts of stories out there. The IRS will NOT divert a refund except for delinquent state or federal taxes, child support, or certain federal debts like student loans. Possibly what happened is that the money was snagged by a garnishee at her own bank. Or the divorce lawyer was really collecting the back child support. One thing an attorney can do is haul her back into court for a judgment debtor hearing, at which she must identify all of her assets including tax refunds. With the court's help (and some lawyers are pretty buddied up with the judges), they might be able to order her to release the funds or face jail for contempt if she doesn't.

>>No connections< I certainly have no CCH connections--I'm not even a customer. But I can't join you. My interests are in using tax resources, not developing them.

>>how do we deduct the tax software program from prior year?<< Although public software generally takes a three-year amortization or Section 179, when it requires annual updates it is usually treated like supplies.

>>you would think the same if they had moved it to the firehouse<< Don't be silly. If they moved it, it wouldn't be real estate any more!

>>It always amazes me how often in such a situation the 'witnesses' are family members<< I am equally impressed by how often tax professionals are eager to assert, "Spouse needs to immediately get a general power of attorney for everything." This is dangerous advice that is certainly not appropriate except in the context of legal counsel.

>>He donated a building< No he didn't. At least, it's very unlikely. As the original post said, the fire crew USED the building and then left it. The building was real estate which can only be legally transferred in writing. He probably had a contract, but if there was no recorded DEED the change of ownership is not applicable to third parties like the IRS. Didn't the owner continue to pay property taxes, maintain insurance, and plan to take care of the final clearing himself? Demolition costs, such as cleanup, can be added to the basis of the land. He can't deduct the USE of the building. In fact, since the fire department demolished the building for him, he has deemed income equal to the FMV of the demolition.

>>as this acorn of an idea grows<< Fabulous opportunity to add all sorts of interesting new features. Here's one that will help pay for the project! You remember the dreaded Form 1040-PC? Of course it failed, but the basic fact remains that your average 1040 has a lot of blank lines and unused space. Now that e-file is becoming the norm, all the client gets is a reference copy. Besides all the empty forms, there's a big stack of worksheets and cover sheets and what-all. Let's sell ad space! Run a little data mining to tailor it for the individual client. If they have small children, we can put a cheerful splash of color for a local birthday clown. If income & dividends are low, indicating little savings or investment, we can slam a pre-approved credit application with an 800 number and exclusive offer code. Or even a 900 number, for those lonely singles. Estimated payments just take a 1/3 page; we could put a pizza coupon on the top part. Nah, forget that last one. I'd burn up all my profits printing them for myself.

>>recapturing his startup costs<< If these expense are attributed to the LLC, is it filing as a corporation or a partnership? If they are being claimed by the individuals, do they represent employee expenses, capital contribution, or what exactly? And what were the expenses for--depreciable equipment, operating costs, organizational costs?

>>The partner with the largest share is buying out four of the partners<< If the four retiring partners own more than 50%, the partnership will terminate and become a new partnership requiring short year returns and other accounting.

>>the books had not been set up<< Okay, her husband might have set up the books secretly. I got the impression from the original post they hadn't quite decided what was supplies and what was depreciable assets yet. Twice Beth confirmed that they did not and could not "actually start" yet. >>no printed reference that would guide me<< You aren't trying. There have been plenty of cases that discuss when a business is considered to have started. A nice summary of them all is Bulldog Tom's question, "On what day could I have walked up to your hubby and got him out to my party the next night?" Print out his post, and you'll have it.