Randall

Got a call from a former client. She hasn't had to file for past few years. She isn't receiving SocSec yet. She doesn't have a computer to go to the online tool. I see something about filing a simplified return in Rev. Proc. 2020-28. Can I do this thru ATX and efile? I think she may have some interest income and I was thinking I could just prepare a regular 2019 return inputting 1099-INT amount and efiling a return for her that way. Anyone have this situation come up?

Thanks for info TKTax.

Ha, John. I did think of that. But in this case, they share some blame too. I won't go into that.

I let them know the paper returns would be a long time in processing. The parents are going to advance him until he gets it.

Me too BulldogTom. Hold check and wait.

My guy was full time student, 24 in 2018 but made less than$4200 so a QR dependent. Made over $4200 in 2019 so not a dependent.

I agree but there is one situation that irks me. Ministers' housing allowance. The amount used to pay a mortgage is non-taxable and the amount paid for mortgage interest (and real estate tax) is also deductible. Sort of a double tax advantage for the same dollar. May not be as applicable now with the higher standard deductions but still annoying to me.

On a personal note, I have hated Apple from the beginning. They stole their name from the Beatles. I've always wondered how they could have used the name Apple. Something to do with a different type of business. They were dead in the water, then came the iPod, and the iPhone, and the 'i' everything else. Now they're the king of the mountain, cash flush. But I use PC, other phone on Android OS.

I've never used a mac. But I have heard for years that they are not too good for the ordinary business software programs. I have a couple of clients using QB on a mac. It does not allow the accountants copy function. They have to convert their file to PC and I use it but can't export any adjusting entries. I have to give them a printed list of AJEs and rely on them to make the entries correctly. One client doesn't even bother.

I had the opposite. Child was still a student, living at home. In 2018 made under $4200, claimed as other QR by parents. In 2019, same support status, but made over $4200. I had his return checked as being claimed as a dependent by someone else (incorrectly). Parents say he can't get the stimulus check because that was checked. I have amended the return but told them it would be a while before IRS processes.

That's my position too. I've told my client to hold the check for now.

Does the 1099 give totals for short term Box A and long term Box D? If so, I just put those totals on the Sch D. Even for Box B and Box E, I just input total for each stock into the 8949 and don't bother with a separate line for each date of sale.

A client just emailed me that she received a stimulus check for her deceased sister. The check was payable to the deceased person's name comma, Dec'd. She died in early 2019 and both the 2018 and 2019 returns were marked deceased with her date of death. The client sister asked what to do. I wasn't sure but told her to hold the check for now, not cash it and try to call the IRS. But with the current situation, it might be a long time. Any suggestions.

I have this every year with a client. Couple's son is deceased, they have legal custody of two grandsons. Mother is 'out there' and claims them early every year. We try efiling, wait for the rejection, then paper file. Client has been doing this for years (only with me for the last 3). He can't get the IRS to stop her from claiming the children.

I did a manual forms update. That worked. I have the form now.

Doesn't make a lot of sense to me either. Why not just directly help the people laid off? I think they're just shooting in the dark, trying whatever.

Is this perhaps a special consideration under the current circumstances?

I thought I read somewhere in all this for people to go ahead and mail paper returns, they just wouldn't be processed yet.

I used the form from the IRS website (a fill in form). I'll try the manual update later.

Really? I have 941-V for 2020 and 2019 and 941 for 2019 but no 941 for 2020.

I'm using 2019

I see ATX Payroll doesn't have the 2020 941 form. Is this because of the credit for the virus situation? I see on the IRS website, wages March 13-31 apply toward the credit but will not be reported for credit purposes until the 2nd quarter Form 941. I assume ATX has pulled the 2020 941 until they get it changed. Anyone else know anymore on this?

That's a common trick of small employers. No vesting. Employer contributes. Employees don't stay that long. That employee's balance is distributed over the other accounts of which the employer has a huge percentage and receives most of it in his account.

Even though the fees may be high, I wonder where they had their money within the plan to not have any growth. That is of course, before the recent situation and big downturn.

I don't know the specific rules of what a plan is allowed to do but I would think an individual can roll it over. Even if receiving a check, roll it over within 60 days. But if they withhold tax, then the individual would have to come up with the extra money to roll the 100% amount over.