Randall

This whole thing seems crazy. I have clients coming in, made $200k, got a PPP loan for $50k, say what? Another basically retired, had a small W2 amount, got $26k in unemployment, another whose husband makes $250k, she had a pt job the past several years with a W2 of $2k, got $15k in unemployment. Whew. A painter client, just him, didn't get anything, said the trades had a banner year in 2020 and still got ppp money, it was a windfall. Sheesh. Maybe this is off topic, but whoa nelly.

Yes, it worked for me.

I do the same as Possi with ATX.

Made me change my mind, this was posted on another forum: To put in Paid in Capital would leave it on the balance sheet. The forgiveness is income not included in AAA because it's tax-exempt (call it OA if you want). The expenses do not reduce AAA because the are RELATED to tax-exempt income, so put them in your OA account if you use that. If your corporation was ever a C corp, or if you lose your S election later, accounting for it incorrectly could come back to roost. Actually, this was proposed on the Arizona list serve, and here is Ed Z's response: First, the tax law doesn't discuss the concept of paid-in capital--it's an accounting concept. The December 27 law and IRS Notice 2020-27 pretty clearly all this tax exempt income. And, finally, if this thing is a "capital contribution" and not tax exempt income, then the expenses would no longer be expenses related to tax exempt income--which is a disaster if you either have EA&P *OR* at some point terminate your S election (either intentionally or by accident). You are "short" AAA vs. cash you've had. That is, I see no advantage to putting it into that account and a whole lot of potential problem. And certainly don't see anything that requires this treatment. So I would strongly discourage going that route. But it doesn't matter what any CPE instructor says--what matters is what the law says. So find me the "paid-in capital" treatment in the law when the law pretty clearly says treat it as tax exempt income and treating it that way is pretty much mandated by SCOTUS's Gitlitz decision. We don't worry about running municipal bond interest (or Section 108 exclusions) directly to retained earnings or paid in capital--I'm not sure why everyone seems to want to complicate this one. We do know how to deal with tax exempt income in an S corporation (see my constant references to Section 1368(e)(1)).

On the other hand, is this an increase in basis? Has the shareholder put any of his own money into the business?

Thanks for the reminder.

I just wrote the loan off to Paid in Capital.

Just did one yesterday about 11am (eastern).

A client just brought one in. I haven't received one myself yet.

I had one before the change. He wanted to pay the tax in this year. The old 5329 had a code for the coronavirus. At that time, I didn't need to have 8915E. It was sent and accepted. Now with the change, that code is not in 5329 but with 8915E, you can click a box to have all the tax paid this year.

I usually just do one thing at a time. That is print job. Is there anything in the print queue when I do this? Something behind the scenes so to speak?

It seems easier to just go straight to 'Services'

It's probably a good thing the software does. If there's a time lag, it forces us to open the return and get it updated. I do like Abby, compare to my earlier pdf return to see if there are changes.

Someone suggested it in an earlier post. Type Services in MS search box. Page down to Print Spooler. Right click and click on stop. Repeat and click on start the 2nd time. I also got a new printer, HP Neverstop 100 (with a new computer). A small end printer. I don't know which one actually helped. The verdict is still out as I do more returns.

I've seen it in past years more. It's usually in big print jobs (lots of forms). I saw it earlier this year but not since doing the print spooler start and stop. Maybe later as my ATX files grow but so far so good.

My return with 5329 marked 12 went thru and was accepted. I think the code is 12, but the input worksheet had 'b' as coronavirus related.

I haven't gotten this in awhile. Usually with a big print job. Recently someone suggested stop and start the print spooler. I did and haven't had this message since. I also have a new printer. I don't know if that it or what.

Yes, I got mine too. I'm on the Kentucky side of Cincinnati so I only have a few Ohio returns.

Hmmm. I don't know why? There must have been something you did that was different.

I just filed one and it was accepted. I went thru the 'amend' procedure to create a new file. The Fed 1040X went thru. But my Ky amended was rejected. I think it is because Ky does not have a separate amended form (they used to have 740X). Now they just use their regular form and have a check box for amended and year of amendment. I think I need to call ATX and they can open it up for a 2nd return to go thru. Like I've done in the past with some of these partial 'final' year business or estate returns.

A Fed return has been transmitted and accepted. But I must recreate the Ky efile. But I can't open the return. Message says something about the rollover info mismatching. The message said to open and close the return in last year's program, then open in the current year's program. I did this and the return still doesn't open, has the same message. Knowledge base says if this is so, file is corrupted and I must rollover the return again. This creates a copy and I will have to reenter everything again. I haven't done this yet but I'm thinking I just create the Ky efile in the copy return and transmit as usual. Anyone else have this going on?

I don't know if it's a separate link. But I heard it was thru your account. Each person would need to set up an account with IRS, user name, password, etc.

I sent my first an hour ago. No ack from ATX yet that they sent it to IRS.

When I try to create an efile, ATX is showing Ohio has not yet approved some forms. The option to create an Ohio efile is grayed out. Anyone know how long this will be?

Deb, are you with Drake or ATX?