RitaB

Yeah, my kids thought so, too. My daughter said, "Mom. No. No."

I hear ya! Amended an 2008 return to take FTHBC in Nov 2009. IRS sent letter: Sorry this needs to be on the revised 5405 which WILL BE AVAILABLE Feb 2, 2010. (Yes, I should have known that, but this ^&*% credit is infuriating to me for a variety of reasons, and the client was DESPARATE to get that free money...) YESTERDAY client comes back: Oops, IRS says you will have to amend 2009 to add 5405 cause my parents claimed me as a dependent in 2008. Oh, is that right? Well, my young little first time home buyer, your 2008 return is ALSO going to be amended so you can pay back the tax on your exemption amount that you were not supposed to claim. Oops.

Yeah, three different bulls, actually, so it's Annie. Either she's sterile or never in the MOOOO-D. Arr arr. I will keep the kids.

My KIDS are actually saying that, too. Something changes from 8 to 18, huh? It's like they were sharpening knives in their heads when I told them she was outta here. I thought it would be rough on them. Little did I know.

Well, I did not know that. Hmm. Thank you very much for not giving me the old "you are wrong smackdown." Say, I am about to sell my own Betsy (actually Annie) cause she has been a flat tire for three years (no calves). I will say that I have been really good to that cow. It just didn't work out. Sniff. Sniff.

All the following assumes we are discussing an actual farmer, not somebody selling personal property. (It could happpen, and that would be Sch D.) The sale price of a raised farm animal goes on Sch F, line 4. Expenses of raising the animal would show up in your feed, fertilizer, depreciation on your barn, vet bills, etc. An animal being depreciated (brood animal) that is sold is entered on 4797, flows to Sch D. If you purchased an animal and sold it without depreciating it (as in inventory for resale), you enter sale price on Sch F, line 1 and your purchase price on Sch F, line 2. Your other costs show up in the expenses on the lower part of Sch F. Yeah, and if you're selling because of extreme weather conditions (or something), there are provisions for postponing the gain (or claiming it over more than one year or something). Never done that, so I will shup up at this point. Now.

Just Joe Mechanic.

LOL @ Ray. I actually did a 2009 return for a church "friend" FREE to keep from "helping" her. She got $5,000 in refundable credits. She had the SECRETARY at her MECHANIC'S shop (not making this up) "help" her last year and got back $100. Guess who won't be amending the 2008 return for free? Agape is over, BFF.

So will I, and thank you for these posts.

Hey, if I had a nickel for everytime I wasn't clear, I'd be riding around town goofing off like my EIC clients appear to be doing today. ;-)

They got that idea from Joe Mechanic. He talks to my farmers, too. Maybe this will make them feel better: "Think about what would happen if you deduct everything THIS year. When you sell everything NEXT year, and you have no deductions, you would really be hurtin, Buddy. Good thing you have me to keep you outta trouble."

I don't think the original contribution is ever taxed when withdrawn. The contributions have never been deducted, so the tax has been paid. I believe the 5 years is only important if he opened the account at age 58, let's say, and then deducted at age 60. The contributions are not taxed (never are), but in a case like I am throwing out here, the earnings WOULD be taxed (and penalized) because the five year condition has not been met even though the age 59.5 has been met. In the poster's client's case, the earnings are taxed and penalized because the age condition is not met.

I believe you will enter selling price on line 1 of Sch F, and then the purchase price of animals you sold during the year on line 2. Don't deduct an animal you don't sell on line 2. If an animal was not purchased (it was born on the farm), the sale price will on on line 4, and your costs are going to be deducted in feed, fertilize, etc. I would only depreciate brood stock. Sounds like your farmer has purchases for re-sell. If you do depreciate an animal as brood stock, and it is sold later, just report it on 4797, and it will work out fine, too.

You would think! This is the type person that will think you are a genius if you have them pay in way too much and they get it back. You know, then they can buy a timeshare at 10%, and there is ANOTHER deduction. Woo-hoo! They are your BFF now.

Dear Client, Thank you for your call today inquiring as to the definition of the word "matriculated." I'm sorry that I am not familiar with that word and was unable to assist you when you called. Since I understand that ten free tax returns are at stake for one of your friends, I will get right on that, and call you soon. Thank you. P. S. I would like to come to your shop on April 16 if possible to have my hair done. My roots are hideous.

Dear Client, Thank you for informing me today that your divorce was final yesterday, and how easy it was to check your ex-wife's e-mail and catch her cheating. I was also glad to hear that even though with your military training you could have killed them both simultaneously without breaking a sweat, you have chosen to take the high road and let them live. Kudos to you. And, it really is interesting that with the proper torque the human neck actually WILL snap like a twig. Hmm. Who knew? I also appreciate the additional 45 minutes you took to explain in great detail how your kids hate that %$^&* now, but you hope that will smooth out in time as you help them cope. It is inspiring to see how lives are transformed when forgiveness takes place. And, I am certain that vein popping out in your neck will smooth out soon, too. It has been warm in the office and all. Finally, I appreciate the dinner invitation, but will be unable to attend. Ever. Thank you.

Dear Client, I am sorry that you cannot deduct the value of your own labor. You are (apparently) worth a lot.

Dear Client, I'm sorry you cheated so much in 2007 that your income was negative, and you didn't get "that there unearned income credit cuz of yer kid" like your brother did. I'm also sorry that you overcompensated on your "figurements" for 2008 and owed a bundle. It is equally sad that the 2008 preparer charged you so much, and I am REALLY excited that you want to come back to me. Seriously, I am. Unfortunately, I am all booked up, but it has been a pleasure working with you.

Client: How come we owe this year? Me: Well, it's just a matter of too little withholding, which is fine as long as you're not paying penalties and interest. Hubby only had 5% withheld, and you only had 3% withheld. Client: Oh, so they're only holding out 8%? THIS is why our jobs are hard, people. It's not the code.

Thank you, LS. Yes, Sunday's coming! "You're what I hold on to...": http://www.youtube.com/watch?v=9ErFHZFbOoQ&NR=1

Yes, what we need now is love, sweet love. Thank you, Catherine. I know Booger will share. He is "Unselfish Booger."

Wow. And I was sitting here trying to figure out how to clean my keyboard...

I heard it was RR 87-102 but I am not smart enough to verify that.

October 15, I think. Used to be August 15 before the extra two months was added to automatic extension.

LOL. Grandpa probably saw all those people on the way to church, too! Ha! I have a client like this grandpa. His son-in-law asked to borrow some money one time. Sonny came in and told me, "He not only said 'No', he said, 'Hell, no.' Then we all went to church."