Kea

I, too, am a clutterer. I generally know which pile I put things in. Whenever I try to clean things up, I can't find anything!

I've noticed there is sometimes a lag while it re-calculates after a change. Sometimes it waits until you get out of that field, and sometimes it seems to wait longer (maybe when getting out of the form?)

I would say that the code "IS ODD." (Sorry, couldn't resist.) Actually it looks like Incentive Stock Option.... but not sure what the DD would be. Direct Deposit doesn't seem reasonable. No documents from the brokerage that issued the 1099B? Could it be the basis for the stock sale? I would have her check first with the brokerage. If no luck there, then check with the former employer.

But it is still a bit misleading because they didn't seem to rate the challengers on accuracy. They did say that HRB said they couldn't take certain business start up costs. So HRB cost more and had a lower refund than TurboTax. But it would still be the better choice (of those 2) than filing an inaccurate return. They did not address what the CPA found that the others didn't. Not that I would expect that in a TV morning news segment. And, a sample size of 1, is not statistically meaningful. Every tax situation is different! I do agree that tax professions will generally produce a more accurate return than TurboTax, but that doesn't always mean it will have the largest refund.

I printed client copy & IRS copy as just the 1040X & the Form 5695. A revised 1040 was for my files only. I'm not sure if I'll still include revised 1040s in the future based on this discussion. But, if I do, I will now make sure to label it "As Revised" & not sign it. Previously I signed & asked client to sign -- just had figured it didn't hurt. I never heard about any problems with them. Thanks.

I'm not an expert on this. But I believe mine are all going MeF. My reasoning is that many of my e-files are now being accepted within seconds or minutes. Last year, they took hours or days.

Most of the "real" W2s I've had this year have been perforated. But, more and more, my clients are getting them on-line and printing themselves. Many of the 1099s are just the single form & I photocopy. I am moving to more electronic transmissions and fewer personal appointments. Obviously, no perforations on those -- but I don't cut them either. I just keep the page that has all 4 copies on it.

Thanks.

I added my husband as co-owner of my business so that we could get group health insurance. Only insurance option we had. I give him as many non-tax tasks that I can find. Gets him the 30 hours / week to keep insurance happy & frees up some of my time. Love & money are working well for us!

I am using TaxWorks this year & the 8879 generally ends up on the last page. I agree that clients can't always count pages, so I really like the ability to point out the signature page is the "last page in the attachment." I've also started specifying to sign the "middle portion of the form next to 'Your signature'" (and "spouse signature"). This seems to have reduced the number who insist on signing the ERO signature line. Really? Do you know what an "ERO" is? If not, why do you think it's you?? But, for those I just tend to draw arrows.

He returned in December 2010 & bought house at that time. (Wife did the house hunting & sent him pictures.) Closing was within a few days of his return to US. Had been in Iraq since November 2009 (3rd deployment). 2010 has been filed. I'll do the FTHBC as amendment, but just wanted to verify what needs to be send besides the standard HUD-1, and utility bills (and whatever else they want these days as proof). What do they need to prove they were eligible in 2010 due to military deployment? Thanks

Just wanted to make sure I was reading it right. I didn't want it to come back and bite us later! Thanks for confirming.

OK, this isn't really a major "tick off" but still somewhat annoying. I e-mail tax return to client with instructions to sign the 8879 and return. I explain what page it is in the attachment & where to sign the form. So far this year I've had 2 people send me back the signed 1040 page 2. Previously I've gotten both the 1040 & the 8879 (this one is not a problem). Then there are the ones who fax back ALL the pages. I'm glad my faxes come to my e-mail so I don't have to waste paper on forms I already have!

It's my understanding that it all has to be paper filed. I have an add-on question. I have a client that qualifies for the extension due to Qualified Official Extended Duty. Do I have to submit anything extra such as deployment orders? What, if anything, does IRS required to prove it? Thanks

All I've ever sent with the 1040X is the forms that changed. And like Jack pointed out, that's always included the 1040. However, I don't send the original 1040 -- only the corrected one. Generally, my amendments are on returns I prepared originally. For those I sign the 1040 & 1040X. I ask clients to do the same. I was never sure if signing the 1040 was required, but figured it did't hurt anything. So, it sounds like it's not required to fill out any paid preparer info on the revised 1040? Signing the 1040X is sufficient.

New client bought windows eligible for energy credits. He had thought they were for 2010, but contract and call to vendor show purchased and installed in (late) 2009. I am amending his 2009 return to add the credit. But I did not prepare the original. Should I include my info as the 1040 preparer? Or leave blank, or input prior preparer's info (but no signature)? I will sign 1040X, but not sure about the 1040. There are a lot of Goodwill donations and unreimbursed employee expenses. I trust client (my husband used to work with him) and am sure he bought the tools reported and made the donations. But I really didn't want to re-check prior preparer's work. Thanks

Client moved for new job in 2009 and took moving expenses on 2009 return. Distance test met (70 miles). At time of filing assumed time test would be met. However, new job only held 38 weeks. Job started 2 weeks before 1st move. 2nd move 3 weeks after job transfer. Employer wanted to transfer one (or more??) employee. My client volunteered and was transferred. Pub 521 says the time test can be waived if transferred for "employer's benefit." Would this count? Client was not "forced" to transfer, but did take the transfer when offered, and it was the employer's idea. Thanks!

Yay!

It depends on which version you have. The basic one won't but the "more expensive" package will. (Note, depending on when you bought, you may have gotten that one for the same price.)

And it doesn't have a signature line.

My dad's old remedy required a few extra items -- a hat and a 4-poster bed. You hang your hat on one of the posts at the foot of the bed. Lie down with your bottle of bourbon (or other alcohol of choice). Drink the bourbon until there are 2 hats. Then you won't care about your cold anymore.

I'm going through whatever converted from ATX to TaxWorks for 2009 & making sure they are right. I make sure TaxWorks '09 is right before I update to '10. Has worked OK in most cases, so far. I have run into a few minor cases where ATX depreciation was wrong. I can't overwrite it in TRX to make it match. So when I do the 2010 I adjust the depreciation already taken. Fortunately the $ amounts have been too small to justify an amendment.

Or .... I moved money from one mutual fund to another, but I never took any money out. Why should I have to pay tax on that?

This happened to one of my clients last year. He made the $6000 contribution to his Roth but only had about $250 in earnings (rest unemployment & interest / dividends). I told him he had to withdraw the excess. This year he got a 1099R with the withdrawal but only $300 taxable. That would have been the earnings portion. This year he had more than enough earnings to fund his Roth. (Also, he came to me later this year than previously because he's now working an average of 12 hours per day / 6 days a week!)

I've been using the same procedure as Beckster for generating the 8879 signature page. It's worked so far.