BrewOne

I've used ATX 2020, 2021, and 2022 with Windows 11--no issues.

But in a recession, the accountant majors still get professional offers while the business majors...not so much.

Treasury requires you to file past six years to get back into compliance--I believe if they do not have a current issue with overseas accounts, then statute of limitation (5 years) applies? [not a lawyer]

I certainly sympathize with anyone learning a new software system--I tried OLT two years ago (I put about half my clients on OLT and left half on ATX) and was not unhappy with the product, but it certainly raises the stress-level messing with new software. When I demoed Drake years ago, I quickly found I was not in the mood to learn a new system. So there is a big intangible benefit to keeping the same software (which the software companies are well aware of).

Hi Marilyn, Wonder if it was the house wiring--they were having issues obviously? I have a three-year old Acer laptop and I've never worried about keeping it plugged in, but I do have a surge protector on it. And I wonder how common this is with laptops? I know a lot of the new batteries have had problems while recharging.

I hope you aren't paying for a client. The address on the tax return will determine which service center to send it to (or have the client use Direct Pay).

If I had not "fired" 85 clients last year, I would have been totally burnt out and quit. A much more pleasant year and I'll be renewing ATX in a few days. I did lose some PIA clients along with their "healthy" fees, but a slight bump in price and 99% retention means I'm still profitable.

no problems converting two laptops from Windows 10 to 11; I have a third I kept on 10 just in case, but will go ahead and get them all on 11.

Thanks. What I could dig up confirms that the address on the 1040 is primarily for correspondence. The IRS or a State may question your domicile/residence based on the address, but then it's just a matter of explaining it to them.

I ran into this with a client living in Cyprus. When she was reporting a Florida address there were no issues, but then she changed to a Georgia address and I gave her the news she'd have to pay GA taxes (one of her payers had picked up on it and was reporting it as GA income). Except for active duty military, can you use an address that is not your domicile?

May not be worth the trouble to calculate, but there is a de minimis amount on reporting OID (page 13 of Pub 550 gives an example).

Are you talking about a sole proprietorship? If so, health insurance can be a line 17 adjustment if certain conditions are met. There is a worksheet in the 1040 instructions (and in ATX). Yes, Schedule A is an option. Partners with earnings subject to self-employment tax can also be eligible. Where people tend to get in trouble is with S-Corporations, very specific rules to follow.

My all-time favorite--client gives me a self-created spreadsheet to do her (new) sole proprietorship--on one line near the bottom of every month was a decent sized amount entered as an expense. I asked her what were the entries on this particular line and she casually responded, "Oh, that's negative cash flow."

On March 15, I sent out an email to everyone who had not been in contact, something to the effect of a two week notice unless due to circumstances beyond your control--and I wanted to hear what that was. Had a very good response actually. But like so many of us, I'm sunsetting my business. Probably the next big tax legislation convulsion will do it for me.

After today, the IRS will not electronically accept extension payments--you would choose "balance due, 2022." Same with estimated payments after January 15 (or 16, 17, whatever), you can't make them (online).

For 8949 entries, I would just plug in the DOD valuation for cost basis. You have your spreadsheet in case the IRS questions the difference between what the broker reported and what you entered. My experience is that as long as the stock sales match IRS numbers, they are not going to get involved without some other type of trigger/red flag.

If there is a dependent child, are you talking about Qualifying Widow(er) status? That would not be for 2022, I agree w/ Margaret, MFJ filing as surviving spouse.

I started using it last year but it's only required (for a 4868) when there is an electronic funds transfer.

The IRS would have to decide it was worth the effort to invalidate, it would not be a routine matter. But they can certainly set the computer to assess an accuracy-related penalty if xx% or more of taxes owed had not been paid in by the deadline.

I completely understand--but the Direct Pay method can also put the burden on them for the amount they pay. Yes, they may come back with, I don't think I owe anything. So if you file a 4868 with zeroes, at least get in writing that you warned them about accuracy and possible penalties. I know it gets old saying "It's an extension to file, not to pay."

I was tacking this onto a thread and thought it probably deserved it's own. Have heard preparers argue about entering all zeroes on a 4868 and although it might be better than doing nothing, Rev. Rule 79-113 (yes, it's an old one) was recently brought to my attention. It essentially says that the extension is invalid if the tax liability is not properly estimated. The burden would be on the taxpayer to show that they did not have evidence at the time of the filing that discredited the estimate. I basically tell anyone who phones just wanting an extension to go to Direct Pay and, under 'Extension', pay what they think they owe. The IRS FAQ on extensions states that this payment counts as having filed an extension and you would not be on the hook for an invalid extension.

Apparently the USPS was using one key to open every Blue Box in a certain area. Hopefully they have corrected this, but it could make a difference to use the mail slot inside a Post Office. I have a secure (locked) mailbox--keeps me from being able to put mail out for pickup, which turns out to be a good thing.

If the stock was 100% owned by the husband. How was the brokerage account set up originally? With the quick sale after his death, would think it was a joint account with right of survivorship or maybe transfer on death (TOD)?

Yes, with the proviso that the return is accepted. Better in my opinion to file now and date the direct debit 4/18 to give a cushion. Or use Direct Pay at irs.gov

Have you tried creating an e-file on it? A filing error might not show up until then--this happened when I tried direct deposit on an amended return earlier in the year (I believe this is now fixed). If you don't get a filing error, it should be okay but with an April 18 payment date...I think I'd rather have them use Direct Pay at irs.gov