joelgilb

as long as we are discussing this deduction, does anyone know how to get ATX to calculate it without overriding or manually entering the re tax on the subschedule. I can not seem to get it to carry from Sched A to 1040 page 2.

Received a call from TRX today indicating that they are not only selling and rebundling Taxwise but also have 2 options for the ATX software. One is at $299 and then supposedly the full ATX is $699. Not sure what the differences in the TRX offerings are yet or how it compares to what ATX sells directly. They did indicate that ATX would not provide support but that TRX would. Not that any of us would miss the level of support ATX has been giving us. Anyone else heard of this offer? Any thoughts?

Very cruel joke But a good one!

When I worked for a small CPA firm years ago (1986) had a client that had back issues and the doctor wrote a prescription for a jacuzzi. Client went as far to actually add an addition to his house. Firm had requested a private letter ruling to see if could take jacuzzi and structure as a medical deduction and got IRS approval. Don't think this is much different. And although I agree with the non-deductible nature of the spa and gym membership fees, it is not for us to say what constitutes medical treatment, it the doctors job. If you are really concerned you can get a PLR. Or let client know that there is a risk of adjustment by IRS should they audit this. Also, make sure you add disclosures and your position to the back of the return to avoid some of the penalty issues should IRS audit and adjust this. Then let you client make the decision. There is enough gray line interpretation here to support this in my opinion.

that is a valid atx file as best I can tell File size on my PC is 3,444 KB It is possible it got infected. What anti-virus software are you using and have you tried any of the others Personally I prefer AVG which free to non-business users, but we have to pay for it. seems to have less trouble than many of the others and I have found it catches viruses the others don't . Also seems to use less resources so slows the pc down less

did the doctor give him a prescription to show this was medically necessary?

love this board when you can get an answer so quickly lol ok just kidding

Never mind. I see now that the language goes to schedule SE only one some of the taxpayers income is from SE taxable sources, and the the "Exempt-Notary" is correctly on 1040 page 2 line 57.

Well I found the sub-schedule on Form SE to put the exempt Notary Income, but have not found a way to have the software put the language on form SE ("Exempt-Notary"). Software puts language on 1040 page 2 but instructions say to put on form SE. Guess I can override, but anyone else seen this issue?

I have a client who is a Notary Public (100% of her income)and exempt from Self Employment taxes. Trying to find how to tell ATX so it stops calculating the SE tax and indicates on Schedule SE "Exempt from SE Tax" Anyone know where to enter this?

or you are just not reading my user name. lol

Dave? Umm if you were responding to me KC, then you are losing your eidetic memory

Funny you should ask this now. Was just verifying all the correct steps, because we used to have to file form 8832 and 2553 together. Now the IRS allows us to do this with just the 2553. So in a nutshell - Yes. Must file the election within 2 months and 15 days of the beginning of the year per IRS, although it used to be 75 days not 2 mo and 15 days. Don't forget to explain the S-Corp rules to your client and the requirement to have some reasonable salary

Have heard that one before Bart, but it is still touching and True!

and what do you use now?

how about convincing them to incorporate elect S-corp status and doing a payroll. Will then be able to allocate anyway they want with wages and then k-1 does the rest. Also may be able to save some SS by not paying 100% of income in wages More money in their pocket and more in yours!

This is what happens when you take all the seasoned programmers and staff from Caribou and tell them MOVE TO Georgia or BYE BYE!!! !@$#!*#@&$%#!(#!&%#)*!&% :mad:

I bow to you KC, you get better clients than me! LOL

That's what I thought. Thx for the confirmation Dale

I have been creating a QuickBooks "Tax Preparation Export File" to import into ATX for tha las few years. Never was perfect because you had to manually add all the subcategories, but it did help. Now none of the categories are importing in and must b e manually entered to flow to the proper tax lines. Anyone else seeing this problem?

Have a Florida S-Corp client with no fderal taxable income. Florida instructions indicate if no taxable income on line 223 then no taxable income on FL. BUT depreciation expense and the new (or should I say renuzit ... sic) Special 50% depreciation allowance is causing FL to include both into income and the taxing it. My understanding is that since FL doesn't tax S-corps this depr should not be taxed either, yet ATX is flowing the numbers in. Anyone from FL that knows if I am correct?

I have done that so often it is not even funny. Even had tech support go through it with me. I check it, change it then apply and even restart the software. And next time the preparer info is once again NONE!!! Been using this software for years and never had this problem before. Also finally gave up on wasting my time calling tech support as it is faster to just click the preparer under the preparer tab.

boy that would be a pain in the butt. And can you really bill for the extra time? guess there are not a lot of choices, although I would make the client wait unless they want to pay extra!

watch out for NOL's not carrying forward either. And for IL returns the NOL deduction is not flowing to IL, so IL income is too high. Needs to be manually adjusted for now. I also have a problem that my preparers info is not loading into any return, new or rollover. I have to readd it each time by going to the preparers tab.

He should be file the Schedule C as you thought and pickup self employment income, but I have seen others pay themselves a salary in similar situations. Most often because it makes it easier to pay their taxes in for them. Better answer would be though, to be treated as a Corp and then elect S-corp status. Then the member escapes SS on the balance of the income, so long as the salary is reasonable