mcb39

As of this year, it is necessary to file two Schedule Cs. The software will not even allow you to split the SE. However, I still found it advantageous to do it that way. I have several of these and in many cases, the spouses who are actively involved in the business want to pay into SE. Also, in WI, we have a married couple credit. If I split the income, they get the WI credit which is usually around $400. It is a little more work, but I still don't think it justifies preparing a 1065 and having to charge good clients for the extra work that isn't really necessary...IMO

I have a colleague, (friend) who used Turbo Tax and then Pro Series for years. The cost was starting to take a huge bite out of her profit. A few years ago I talked her into trying ATX Max; which had everything she needed bundled into one package and one price. With Pro Series, she had to pay extra for each additional module. I don't know if that is still the case or not. However, I am sure it is expensive and I, personally, would never use their product after what they did to Parsons Technology many years ago......(personal vendetta!) :dunno:

I just read this thread after I searched all over my payroll program, the ATX payroll module and finally had enough sense to look in the new forms. Could have saved a lot of time if I had checked with the board first........as usual!

I have already had a client receive a small late filing penalty even though she had a refund coming. I think it was $25 or $29. Since then, I file an extension for anyone who is not ready even if they have not shown up,; but I am sure that they will.

One of my clients actually went through this in my office the other day trying to find out how much interest she had paid on a home equity loan. She had paid off and closed the account in August. After calling five different numbers and nearly an hour of run around; she never did get the answer. She angrily told the final Capitol One rep that "I guess I never shoud have paid off that loan seeing as the account doesn't exist!" Shown below, is an actual letter that was sent to a bank by an 86 year old woman. The bank manager thought it amusing enough to have it published in the New York Times. Dear Sir: I am writing to thank you for bouncing my check with which I endeavored to pay my plumber last month. By my calculations, three nanoseconds must have elapsed between his presenting the check and the arrival in my account of the funds needed to honor it. I refer, of course, to the automatic monthly deposit of my entire pension, an arrangement which, I admit, has been in place for only eight years. You are to be commended for seizing that brief window of opportunity, and also for debiting my account $30 by way of penalty for the inconvenience caused to your bank. My thankfulness springs from the manner in which this incident has caused me to rethink my errant financial ways. I noticed that whereas I personally answer your telephone calls and letters, --- when I try to contact you, I am confronted by the impersonal, overcharging, pre-recorded, faceless entity which your bank has become. From now on, I, like you, choose only to deal with a flesh -and-blood person. My mortgage and loan repayments will therefore and hereafter no longer be automatic, but will arrive at your bank, by check, addressed personally and confidentially to an employee at your bank whom you must nominate. Be aware that it is an offense under the Postal Act for any other person to open such an envelope. Please find attached an Application Contact which I require your chosen employee to complete. I am sorry it runs to eight pages, but in order that I know as much about him or her as your bank knows about me, there is no alternative. Please note that all copies of his or her medical history must be countersigned by a Notary Public, and the mandatory details of his/her financial situation (income, debts, assets and liabilities) must be accompanied by documented proof. In due course, at MY convenience, I will issue your employee with a PIN number which he/she must quote in dealings with me. I regret that it cannot be shorter than 28 digits but, again, I have modeled it on the number of button presses required of me to access my account balance on your phone bank service. As they say, imitation is the sincerest form of flattery. Let me level the playing field even further. When you call me, press buttons as follows: IMMEDIATELY AFTER DIALING, PRESS THE STAR (*) BUTTON FOR ENGLISH #1. To make an appointment to see me. #2. To query a missing payment. #3. To transfer the call to my living room in case I am there. #4. To transfer the call to my bedroom in case I am sleeping. #5. To transfer the call to my toilet in case I am attending to nature. #6. To transfer the call to my mobile phone if I am not at home. #7. To leave a message on my computer, a password to access my computer is required. Password will be communicated to you at a later date to that Authorized Contact mentioned earlier. #8. To return to the main menu and to listen to options 1 through 7. #9. To make a general complaint or inquiry.. The contact will then be put on hold, pending the attention of my automated answering service. #10. This is a second reminder to press* for English. While this may, on occasion, involve a lengthy wait, uplifting music will play for the duration of the call. Regrettably, but again following your example, I must also levy an establishment fee to cover the setting up of this new arrangement. May I wish you a happy, if ever so slightly less prosperous New Year? Your Humble Client (Remember: This was written by an 86 year old woman) YA JUST GOTTA LOVE ' US SENIORS'!!!!! And remember: Don't make old ladies mad. They don't like being old in the first place, so it doesn't take much to set them off.

Jainen....it goes without saying. You already know that I missed you.....a lot. Thanks for coming back to see us on this official final day.

In my experience, the proceeds have almost always exceeded the basis.....

Schedule D....Capital Gain

You won't necessarily lose the old base. I have never moved, but many of my clients have. I am now doing returns in several different states, because once they know that "you can" and they trust you, they are only too happy to stick with you, be it by fax, e-mail, snail mail or whatever it takes. I got the biggest bonus ever this year from a client who had moved from WI to Nebraska. They had a difficult return, but I pulled it off and charged them what I thought was plenty. They sent me an extra $100; left on a cruise and just sent a thank you e-mail last night when they got home. I, personally, think that it is all these small accolades that keep us doing what we do.....I cannot imagine quitting yet, but I suppose that my mind and/or changes in the software will decide that for me.

I also learned computer tax prep on DOS. It was Turbo Tax and this was after years of pencil, pen and carbon paper. My first and most glorious update was a copy machine. Hubby thought I was crazy. My first personal computer (which is still in the basement and still works) was an IBM PS1. Had 25 Mhz Clock speed, 8K Ram and a 129 mb hard drive, which I was assured would be all I would ever need. That was 1993. We foolishly updated that machine to the nth degree.; second hard drive, external CD drive, memory, etc; which means that lots of bucks are sitting in the basement. However, the love affair had begun. With each progressive step., I had to know what, how and why as to the OS.; and the internal operations of the machine. Now, 2 new desktops and 2 laptops later,; technology is leaving me in the dust. I rely more and more on my friend, the guru. On the other hand, he consults with me because I always have the smoothest operating system of any of his clients, because I do my own daily maintenance, updates and BACKUP, BACKUP, BACKUP!!!!! It's been an awesome trip. :wub:

I actually started our return on Easter Sunday evening after a long nap and everyone had gone home. I finished it on Monday AM. It was surely intended to be an extension. The problem here is I have to prepare my husband and son's Partnership first. (dilly dally) but I do charge their business a small fee for prep. Finished theirs last week, finished son's on Sat after waiting to find out how much he was putting in an IRA. I would feel guilty, but everyone I have on extension has information missing. Made several calls last night for pickups, as in "Please, come and get your stuff". ...(and bring money, so I can file before the deadline.

When it comes to Insurance Policies, I am neither a buyer nor a seller any more than I HAVE to be. Nothing ties my stomach in more knots than dealing with Insurance. MHO :unsure:

Which brings up the question....."Who ever thought up the idea of Community Property States as opposed to the alternative, and why?" This is just another PITA issue. I thought this was the United States of America.....

I have two different AFLAC sales agents and it doesn't appear to be a "great" company to work for. They are all sole proprietors and given 1099s. There are other issues as well.

I kind of liked that balance sheet worksheet. It was a surprise, but for some reason seemed to make the checks and balances easier.

You are correct. It is just property tax. However, self employed people can take a deduction for Health Insurance on Page one Line 29 of 1040. That might be what they are thinking of. But, this does not apply if the spouse has insurance at work.

Hope you had a wonderful birthday KC. We are celebrating at our house with birthday cake as tomorrow is my husband's. In between cooking, I am working too, but got some satisfaction out of vacuuming up a LOT of dust this AM even though it is just immediate family coming for dinner. Actually had a guy call from out of town about his taxes.....on Easter Sunday. I was polite. Have a good rest of the season.

A 1065 is not required in community property states such as WI........

I'm with you there, Margaret. If ATX folds, I'm out of here. Form based is the way we have done it since pencils and carbon paper. One of the greatest assets of ATX is that most of us know where the numbers are supposed to end up when entered into a worksheet or a form. Without that knowledge, what kind of service are we offering? I, personally, had fewer returns this year as I expected. Many of the really easy ones never showed up. But, the many that I did have were generally more difficult than usual. I expect next year to be even more of a nightmare. We HAVE to know where the numbers belong and we HAVE to be able to see it on our screens. IMO

I spent hours on one this week. Now I MAY have to go and undo it all because spouse drew UC and have to ask if she is sure she wants me to do this. I don't have Excel and don't have time to learn anything new, let alone all of this splitting. I like Linda's idea better than fredazcpa's. However, I like things neat and tidy and wound rather do it correctly (whatever that means).......these are setting me so far behind and many more to come. It is like yesterday when I struggled with a MFJ and two MFS returns to end up with practically the same result. (and, yes, I did the worksheet, but couple was divorced in Feb and want to see the results both ways.) Also, everyone is waiting to do FAFSA, like right away and the STRESS around here is TREMENDOUS! Of course, this was discussed in detail a few weeks ago. Thank you IRS for this huge Sched C stumbling block. -------------------- MARILYN Lucho...go to search box in upper right hand corner. Type in "splitting" You will find all of the discussions about this subject. This is a copy and paste of my 2 cents worth. The thread was actually started by Linda and Buddy. There was also a discussion prior to this one. Good Luck....

Sara, will call you Mon about whether it really ends on the 15th or not. Happy Easter to you and Tina and I will be working too in between cooking. Not a big deal here either.....actually finished my bookkeeping this AM so am ready to hit the "big one"....ours!!! While going through receipts, found renewal card for license on van that we take back and forth to the cottage. We have been driving since Sept with expired plates and never knew it. Just got done renewing them online. $10 late renewal penalty and no grace period. They still expire in Sept. Tired brains make bad bill payers. :blush:

Lucho....this was discussed in detail a couple of months ago. This year, we have to physically split the income and deductions between the couple. Apparently the IRS was worried that too many taxpayers in non-community property states were taking advantage of "check the box" instead of filing a Partnership. This has been one of my biggest thorns this year and I have wasted more time splitting income and expenses between spousal small businesses.

File the Extension. It only takes a minute. I have already had a client get a late filing penalty even though she didn't owe any tax, but because she filed late without an extension.

Thank you Eric and all of the wonderful folks who contribute to this community. Without you, I could not do my job.....and I mean that sincerely.

Me: Where is your coat? Clients: It is just gorgeous outside. You really should get out and enjoy it! Me: (To Myself: "Yeah, right!"