MsTabbyKats

Nope....everything was entered Box 10 on the W-2.....the provider....the amount paid....the tax id....the address......the kid..... It says right on (my program)....2441....part III....line 12....income can be from W-2, C, F or K-1 Everything subject to FICA........ When I did a dummy with dad having a C......it did the dcb correctly. I, for one, learned something new. An Award is not earned income. In thinking about it....if it was for less....he couldn't get an EIC either.

The software is allowing a credit...when I adjust it,....but it's not allowing the $5000 dcb. It puts it back into income. The instructions say income must be from a W-2, C or F. This is how a lot of institutions pay foreign researchers, I do these all the time. I just never had one with the spouse claiming the dcb, Well anyway....I told the mom she wouldn't be happy with my results. Remember....I like life without complications, I don't want to manipulate things. And then she gets one of those letters. I want to enter exactly as reported. Eta....it is on Line 21....but it needs to be w-2, F or C income. Sorry this is confusing....is it any wonder I tired of these international things!

His income is technically an award.

He is Not self-employed. He gets paid thru a grant. I'm getting the credit when I manually enter his money. Otherwise nothing... I think that for the dcb they both need to pay in FICA tax. I'm probably gonna pass on this one. She wants the biggest refund possible , but the owe about $4000.

It's $52,000.....that would be a lot of SE tax! His income is not subject to FICA tax

Mom works on a W-2....and has $5000 in dependent care benefits. Dad works as a research scholar on gets paid on a 1099-misc ...Box 3....other income. My program is allowing the credit....$600....but adding $5000 to her wages....because he doesn't have a C or F or W-2. Comments or opinions..... This is a new client...very rigid people.

Just got my 1st NY acceptance.....

Your client needs to call social security and ask what her official name is. You cannot call for the client. I've been thru this many times.

I try really hard not to do returns that wave flags. Again.....I like life without complications. I've never had anyone with a real audit....all issues have been solved with a phone call or letter. I'm really just thinking of it to let "whomever" know that the return might be questioned.

Yes.

Maybe Tax Act. Is not the same.....it just covers representation if one is audited. It doesn't cover any taxes or penalties. I have one client I can think of.....a model/actress.....where her expenses are almost all of her income. I'm know she has the paperwork ....but, IMHO , that's a high "audit risk". I'd rather not be involved with an audit.... L (I've been trying to drop her because she is a PITA....but she gives me a lot of referrals.) "Ridiculous" means.....what is she living on! Her boyfriend pays the rent and buys the food.

Tax Act has something similar. The vast majority of my clients don't need it, but if someone has expenses that seem ridiculous, I'm going to tell them that they need to buy this or I won't do the return. In other words....don't come crying to me if you get audited.

I use TaxAct. I started e-filing over a week ago.....and I started getting acceptances last Monday....1/27. I was very pleasantly surprised.

The tiger would probably be way more valuable than the donation....so, then, should we classify it as "income"?

No...it's not the written word. It's what the auditor says. Or, the tax court judge........

Keep in mind....the IRS doesn't make the law either. They are only responsible for collecting the tax. Congress makes the law....and the law is open to interpretation. The IRS publications aren't the law either...just the IRS interpretation of the law. And that was told to me at one of those IRS conferences. (In other words....what you read in a publication is NOT the final word.) So...next time I adopt a tiger....I will deduct the adoption fee!

OK...From the World Wildlife Fund http://worldwildlife.custhelp.com/app/answers/detail/a_id/5199 http://gifts.worldwildlife.org/gift-center/default.aspx?sc=AWY1200WCGA4&searchen=google&gclid=CICXj-yEorwCFZBj7AodEUQA3Q

Here's my interpretation: When you make a donation to an organization.....you can deduct that contribution minus the financial value of anything received (Example... attending a benefit to help homeless animals. The financial value of the event (dinner etc) is subtracted from your "contribution" for tax deduction purposes.) What value does a puppy have? None. If it had any cash value it would be for sale. So...you are not receiving something financially equal to the amount given to the shelter. You're saving a life...and getting love...but you cannot put a price on that.

Why not? You aren't buying the puppy from a pet store. You're actually making a donation to the shelter.

I haven't anyone with self employment income high enough since 2012. Knowing NY....they will catch up and ask for interest and penalties for anything due. ETA-In cases were I expect fees to be added.....I tell the client in advance, so I don't get "that call" about what I did wrong.

You've noticed. I have more "name issue worries" than taxation issues. Many times each year I make the client call social security to verify the legal American names on the return. Once a refund was delayed by months because the name was too long. Although it fit in my program....when it was e-filed and received there was no space between the first and last name...and the IRS computer couldn't handle it.

They are in Kansas...and I've filed for him before without a federal e-file (new ITIN# for wife #1 and new ITIN# for daughter). I do this all the time. Most states allow it. I'm not concerned about completing the W-7....I just go by the passport and visa....and I'll leave the first name blank. She can explain to the IRS why she doesn't have a first name. But, I'm wondering what the system will do without a first name. Even a paper return might get rejected. I'm guessing they may just assign her a letter when she gets the ITIN.

No...it isn't Madonna! My client has a new wife....directly imported from the old country. She has only one name....her last name. She needs an ITIN#. I have already told her that she will need to take her passport to the local IRS office and apply in person. I generally wait for the ITIN# and then e-file the state. I'm just wondering if an e-file will be accepted with only a last name. I'm also wondering about an ITIN# without a first name!! The client generally pays me after he gets his refunds (and add a month or so on to that...but he does pay), however I've told him that I need to get paid before I release any papers to him because I see a long process here. I doubt it...but did anyone ever have a client without a first name? Complications?

Hmmm.....I never paid attention to "MeF" processing as received. I just know the ack came in about 1.3 seconds! As far as clients bothering me about the refund....if I think there may be an issue, I'll look into it. Otherwise, I tell them to call me by a month or so after submission. One client just got his NYS refund last month.

If the IRS is still processing like they did in the past (I think it's "in by 11 AM on Thursday....refund by next Friday)....there's no difference if you file on 1/31....or 2/6 in the morning. I was planning on getting them ready to go...and then submitting on 2/5. Bulldog....did your 2 people have to wait until May because of IRS issues or software issues?