RitaB

Welcome, NYTaxLady, and if you will look to your upper right, you have a little envelope with a red number. Just another one of the perks of this board. But, you are absolutely right, if you are not checking the other board, you are missing out.

Here's a question: What do you do while waiting for the microwave to beep? A) Find silverware and napkin. Straighten up the counter. C) Stare mindlessly at the microwave. D) Try to assemble a return, phone rings, and one hour later you go back in kitchen and try again. Didn't mean for that "B" to be Robert Palmer, but it kinda works.

http://www.youtube.com/watch?v=IZwl5Oi0Qn0

Yes, it's the same ones every year. That's why I haven't been in a hurry to start any of these three returns. It was the same thing last year. Grrr.

Lady brought in another K-1. I talked to her for five minutes before I realized she couldn't hear a word I was saying, but she was faking it real good. I finally said, "You can't hear a word I'm saying, can you?" Nope, not a word. Then, another client called, "Will you be there all day?" ("Where else would I be????" I wanted to scream.) "I got two more K-1's, chuckle chuckle." Then, a happy couple dropped off another form on their way to Myrtle Beach. So sweet.

First client of the day SAID he was gonna leave his crap in my mailbox last night, cause he "just found out" he had to leave for Scotland Monday morning. I still haven't seen him. I hate mornings. I hate working on Saturday. Other than that, everything is entirely great. I just got a text from somebody, no idea who: "The cops are after you for working so much. Look outside." Sure enough, they have somebody pulled over in my parking lot. I am smiling. I hope they have donuts.

But always look for the silver lining. And diamonds in the rough.

Hey, my daughter was dating that guy. Thank God it didn't work out.

Twelve hours is full time for both my kids, but I believe it depends on the school and/or the course of study. This is from Pub 970: Enrolled at least half-time. A student was enrolled at least half-time if the student was taking at least half the normal full-time work load for his or her course of study. http://www.irs.gov/publications/p970/ch02.html I think if 12 hours was the magic number, the Pub would say 12 hours.

Did you see this line up there in my post: "Qualified education expenses. For purposes of tax-free scholarships and fellowships, these are expenses for..." ? http://www.irs.gov/publications/p970/ch01.html http://www.ehow.com/way_5858919_do-pell-grant-money-taxes_.html http://www.collegeloanconsultant.com/if-my-pell-grant-exceeded-my-tuition-am-i-taxed-on-what-is-left.html http://www.irs.gov/taxtopics/tc421.html http://www.freetaxcourse.org/Other_Line_7_Income_on_1040.html I also have three kids, ain't it great?! But you are older than me, apparently. Bahahahaha, just kidding. The two in college get merit scholarships, they don't exceed qualified expenses, and my daughter gets a meal ticket and books as a member of the track team. The financial aid office doesn't know me from Adam, but they don't know beans about taxes, so I don't really have time to be talking to them anyway.

My post indicated (or at least I meant for it to indicate) that if the scholarships exceeded the qualified expenses (including but not limited to the ones appearing on the 1098-T) the student had income from scholarships. I guess you are thinking that I think all qualified expenses appear on the Form 1098-T. I do not think that. Books, for example, are qualified expenses for the purpose of reducing taxable scholarships, and they do not appear on the 1098-T. If you look in Pub 970, IRS says things like "qualified expenses for the purpose of blah, blah, blah..." I was trying to talk like them, and apparently not pulling it off in this instance. I know to subtract all qualified expenses, not just the ones appearing on the 1098-T. All "college related expenses" are not deductible for this purpose. For example, my two kids have college related housing, there's no other reason for it, and it's not deductible. Here's an excerpt from Pub 970: Qualified education expenses. For purposes of tax-free scholarships and fellowships, these are expenses for: Tuition and fees required to enroll at or attend an eligible educational institution, and Course-related expenses, such as fees, books, supplies, and equipment that are required for the courses at the eligible educational institution. These items must be required of all students in your course of instruction. Expenses that do not qualify. Qualified education expenses do not include the cost of: Room and board, Travel, Research, Clerical help, or Equipment and other expenses that are not required for enrollment in or attendance at an eligible educational institution.

I don't think what I said contradicts what you said.

Yeah, I got behind at the outset, always do, but of course, this year has been worse. But, I am catching up, and I will admit, I try to get everybody finished up that gets here by the first week of April. I am slammed in February, so it really does not help me for even more people to come in February, so I don't fuss at people who bring everything at one time at the end of March. Rather see them now than a month ago. But, no mercy for the people who can't bring me everything, but think they are in line cause they brought me something. Or the ones bringing me stuff the day before they go on vacay, etc. I am here year round, and am happy to do all the extensions I can; I will pretty much keep the same pace February through April 13, then act like a normal person with a 40 hour a week job. You know, spend two hours a day on Facebook.

And if the kid received more in grants and scholarships than he had in qualified expenses, the excess goes on the kid's Line 7. It's income. It happens a lot, and I don't think IRS is minding the store or they could recover some tax dollars here. Right click the line and pick the option that is NOT linking you to W-2 input.

Congratulations! I figure I would rather paper file all ten of mine, since they are two pages, no federal attachment, rather than calling my software vendor. But you are a brave woman. Maybe next year.

I think my cut off day is today for this client after getting this e-mail. She does this every year: Hi, I was wondering if I get you my paperwork by Monday of next week will you still be able to do my taxes this year? Thanks, Slacker Client I told her, sure, I should be able to do it this year. Maybe May or June of this year, we'll see. I will, of course, reserve the right to be more accomodating to clients with good reasons for being late, like my little lady in the nursing home since September, whose neighbor brought in her forms yesterday. Hey, it's my office, right?

A return I worked on Saturday was for a couple I got about 10 years ago when a really popular preparer got shut down. Saturday, I looked at the return they brought in back then: 37,345 miles @ 37.5 cents (or something like that) and "Contri" of $8,000. Contri = contributions, and BOTH OF THESE DEDUCTIONS WERE ON THE BACK OF SCHEDULE C. Handwritten return. These taxpayers said they had no idea, not sure I buy that, but their business mileage was 1,090 miles this year. Hey, SFA, if you look at the upper right at the little envelope, you have had a message for a couple days. ;)

This just in: She: $330.39 interest to CarMax for 2011 Camry in 2012! thx! Me: I need the sales tax, not the interest! Thanks! She: Oops. k.

The more I deal with people, the less things surprise me. I just had the following text message exchange with a person with a master's degree: Me: You can deduct the sales tax you paid on vehicle(s) purchased in 2012. She: Yea Me: You will have to tell me the amount of sales tax you paid. (Thinking: Since my crystal ball is in the shop.) She: k.......I guess per payment? I'll look online Me: It should be on the settlement statement or you could call the dealership. She: k Then she continued teaching children how to succeed in life.

Yes, we do on dividends and some forms of interest. We don't e-file Form TN INC-250 yet. Or, if we do, I am not up to speed. Would not be the first time.

Yes.

Can't I have my cake and eat it, too? Automatic backup and a backup on the desktop and a backup to CD (or flash drive) and if I can think of any other backup, do that, too? lol

All I know is I don't know. I have never seen so many different things happening with one software. I am really still stunned at the whole thing. Yes, for sure do an external backup.

Yes, and the folder named "Backup" is empty, isn't it? I worry about next year.

Spring is messing with us here as well. But, on a sunny note, I was just talking to a client, and as we were hanging up, I said, "Have a nice day". And he said, "I love you, too." Bahahahahaha, that's like when you're in 1st grade and call the teacher "Mommy".