kcjenkins

But no, she does NOT have to add 'imputed income" from her bf, but as stated, it should be Sch C, not E because of the time factor. As to the depreciation, use the sq foot rule to see if the ONE rented room depreciation was calculated correctly or not. And depending on the time factor on the rentals, you may need to file amendments because of the wrong schedule used in the past.

Jack, the ones I was talking about were paying the 'contractors' extra to cover the share of the taxes he would have to pay if they were W-2 employees.

JJ. I want to bring up one more thing. You need to talk to a REALLY GOOD SS Disability attorney. They only charge when they get the disability, and while it should not be this way, it often is true that the SS personnel do not 'play fair'. But faced with an attorney, they do react differently. And the fact is, it is not WHAT sort of injury it was, it is HOW IT AFFECTED HER. Regardless of how others may have been affected. Please do not just give up. There are so many being given disability for ridiculous reasons, any legit claim should be fought until you get it. As for the price issue, just remind clients that the ACA, on top of all the other changes, has made the tax software more expensive, so the fee increase is not really to make you more PROFIT, but just to keep up with your costs.

How much rent did she charge for the other room?

I honestly think that is seldom the true reason. The real reason, in my experience, is that many will prefer to pay a 'contractor' more just to avoid all the hassle of employment tax REPORTING. Which is also why many workers will prefer that, because they see it as making more and the paperwork on their end is just the quarterly estimates and a slightly more expensive 1040. The small business owner with just one or two workers often finds payroll their most stressful part of their business. The federal and the state paperwork is worst, to them, than just the amount of their share of the taxes.

Yes, and for the next month, every time you meet a client anywhere, grocery, bank, drug store, etc, you will hear "Guess you are enjoying not having any work to do now that the 15th is behind you." LOL

Yes, each year stands alone, if you have an NOL for 2014 [not including the carryover NOL from 2013] then you would include an election for 2014 as well.

Yes, it's totally safe. And thanks for bringing it up, I'm sure you are not the only one who wants to thank Eric, and keep this board going.

As Judy said "The partnership can make its allocations to all of the partners for that short period based on the actual results of operations through the date in October and give only those details of that income/expense split to the partner that left." Her K-1 will only show her share.

And that is his decision, IMHO.

Yes. Does he use his own truck? Of course, he could probably argue successfully that he's an employee, but he also would probably find himself out of a job.

AND NO MATTER WHAT YOU DO, PLEASE URGE THE CLIENTS TO FOLLOW UP ON THIS FRAUD, THAT WOMAN NEEDS TO SEE THE INSIDE OF A JAIL FOR THIS REPEATED CRIME.

Box 3 is total benefits, Box 4 is repaid benefits. http://www.irs.gov/publications/p915/ar02.html#en_US_2014_publink100097953

If it's based on her sales, it's Sch C income and subject to SE tax.

So very true. I had several new clients, in 1982, from a preparer who died. She had a stroke several years before, but her clients loved her and these had stayed with her. She could not talk, and used an Etch-A-Sketch [NO, I AM NOT MAKING THAT UP] to communicate with the clients. Their returns were "outstanding", but none of them was ever audited. Outstanding in the sense of 'standing out' because while they all included either Sch C or/and Sch F, and EVERY SINGLE NUMBER on those forms was rounded to even hundreds. She had done them that way for over 20 years, at least, but was proud of the fact that she had never had an audit, they all told me. And, no, it was not because she under-reported expenses, either. She clearly, based on the prior returns I looked at, 'pushed the envelope'.

I looked at Eric's link, and loved this one. I bet at least half of us have had this conversation with a client. April 11, 2015 I’m a photographer and my client was several hours late and I could not get a hold of her so I assumed she was a no-show and moved on to my next appointment. Awhile later, I finally got a text from the client. Client: OMW Me: I’m sorry but you were several hours late without warning and I had other clients booked today. Client: Well you didn’t tell me I had to be on time.

Eric, it's one of the valuable benefits of this board, especially the second week in April, that we get to blow off a little frustration privately to fellow sufferers who will understand.

I once threatened to give a client not only all his "garbage" back, but to add my office kitchen's garbage to it! Thankfully, I only voiced that threat to my husband, who gave me a hug and promised to deal with the *@#* himself. He did, and I got great pleasure listening [from hiding] to him tell the creep very firmly that he was not EVER welcome in our office again. Don had a very good vocabulary, so I'm sure from the quite way he left that the client did not understand half the words Don called him!

JUST COULD NOT RESIST.....

Best thing I ever found was a client's check that got buried for three weeks.

Tom, are you serious? That huge stapler I gave you would not go through it? OMG !!!!

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