ljwalters

LOL Thanks I needed that.

Thanks I didn't even notice the check in box 6. I love you guys. Linda. One month to go and with every thing going on I only have about half my work done here. On top ob the problems with my parents, my husband had to have surgery last Wednesday, another day lost Nothing serious, but it took all day and he will be down for 6 weeks. I hope there is not more I'm missing this year.

Thanks, That works but is it correct. What about reporting the 1099 C?

yes, but I shouldn't have to go thru that part with the bankruptcy discharg. That work has already been done in the baankruptcy. These were listed as discharged by the courts. Do I still have to go get all that info and start over.

Client has 1099C from credit cards discharged in bankruptcy. This goes on 1040 lline 21. To get it off don't you use form 982? I tried this and the program is still taxing the income. What am I doing wrong?

Thanks JohnH I needed that Linda

What month did the parents move and did she rent a home of her own or did she live with some other realitive. If she didnot pay rent or at least 51% of the home including all household expenses she can not be head of house. Now for EIC if she lived with someone else for the total 12 months of 2011 then both her and who else contributed to the support both qualify for the EIC and the one with the higher income gets the EIC. This is a trickey one. Be sure all your ducks are in a row. From experience.. This is an EIC audit waiting to happen. She will need to produce rent receipts to prove she supported the siblings. Good Luck Linda P.S. In my case the Brother did not have receipts for rent he used cash only. We were however able to get a letter from the landlord stating that he paid all the rent.

That is what I thought but the client says he signed no documents to open a ROTH, everything happened over the phone. even if it was a transfer from son to father at death, how would i code those two forms. Actuall one has recipient as Client Bene of son ((this one coded Q) the other says Client (bene) ((this one coded T)) This seems to be the one pulling the two forms both 5329 and the 8606.

No Bulldog. I actually check the mutual fund out with my broker and he said it was good and actually doing better than most.

Clients son Died. Client inherited sons Roth IRA. Client asked the Brokerage firm if he could roll it over to an education IRA for granddaughter. Brokerage firm later notified client they could not do this without client taking the money first then opening the Education IRA separately. OK done. Now Client receives 2 1099R for the one Roth IRA. One is coded Q the other T. What gives it appears the client received twice the amount. . One of the 1099Rs is generating the 8606 and asking for basis, this I assume would be the son’s basis. One is generating the 5329 and asking contribution amounts for 2011. Client says he never opened a Roth in his name and never had one. He has called the brokerage firm and they of course relay the usual “ask your tax professional”. Does this sound right to you and how to complete the 5329 the amounts were 10,739 and 10,814. (Lost 100 during 2nd transfer) This would be too much for a single year contribution. HELP

Thanks Lion and Jainen.

Client purchases mutual fund A. Mutual fund A buys and sells penny stock and reinvests everything into new stocks. Reports on 1099B all these sales with mutual fund’s tax ID #. Do you input all the sales or just the profit or loss from Mutual fund A as one entry? There is no brokerage firm involved. This fund is doing real well, but they do not send a report in the right order to mail with the 8453.

Client made a donation to a Macular degeneration foundation in Scotland. Is it still deductible? Or do the charities have to be US based. Linda

My Prayers also. Wishing him the best.

Mutual fund list all the sales with same tin does that mean I can use the totals only? Or do I have to list all the penny sales. some gains and losses of $0.20 only?

Randall I had to take my moms step stool away from her. She fell several times, luckly with out breaking anything. My 93 yr old father on the other had has never (nock on wood) had a fall. Step stools of any kind are not alowed in the assisted living complex. My prayers are with your mom. (Prayer is just about all I have the energy for lately)

I am so tired I use the shopping cart to buy a single loaf of bread. The cart is to hold me up. Unfortunately it is not because of taxes. February 14th my parents 93.5 yrs. and 86 yrs. old were thrown out of their home by my stepsister. I had 5 days to move them into assisted living. They are in but not settled. I have been over there to help them every day (except one) since. My house is full of their stuff. I had to cancel Saturday appointments to accomplish the move. Now it is just catch up- catch up –catch up. You know the old saying “I will be glad when this is over so I can go back to work and get some rest”? So if I ask some really lame questions this year, please forgive me. Linda

New Carpet in a rental house. Clients distroyed the old carpet with cats. is it expensed or depreciated? If depreciated for how long? Linda

Congratulations to both of you. just a note. The EA exam when I took it was NOT open book. You couldn't even take scratch paper in. They would give you some if you raised your hand. It was gruellllling.

Our Prayers are with them all.

Thanks I'm going with no. Linda

Been out of the office because of an emergency. So what I am understanding is: 1. there is no deduction for utilities. 2. only depriciation on the 2 bedrooms and the one bathroom. (can't get to the kitchen or the master bedroom without walking thru). 3 NOT 50%. Thanks Linda

if you pay a management company to take care of a rental do you need to send them a 1099? Linda

Thanks everyone. unfortunately there is no long term care. Father can not be left alone (because his daughter says so) also needs help bathing. That is all. He is my step father. His daughter is kikking them out of the condo that they live in (it is hers). He gave her his house with mortgage paid in full. This is a nightmare, and at a bad time. I am spending all my time in court and doing estate accounting in stead of taxes. Thanks for your input, that is how I thought it was. Linda

Client is a contractor that specializes in built in custom furniture and cabinets. He has a unique cabinet he dedigned for the kitchen and applied for a patent. Are these expenses deductable now in this year or will the be capitalized. His hopes are to sell to a highend cabinet co and receive royalties eventually. BUT he has already installed one in a house. Total expenses for patent spent this year is $385. Linda