kcjenkins

I'm with Lion on those. Amazxing how often you get at least a few calls for corrections.

That makes me very happy!

Been there, done that, few things can make you sicker than thinking of all the bad things that could happen to your beloved dog while you race around looking for them. Glad she's home safe.

Eli has been a long-time member, so I wanted to share this from his FB post.

I agree with Cat, if you do decide to combine them, even tho my choice would be separate mailings.

Yes. And you don't need to apologize for asking for more info. The reason we answer is to help, so if it's not clear, we are happy to try to make it clearer.

Because you don't know if or how much the change will be. Plus, the 'time value of money' issue.

Discrimination, Whistleblower, and Certain Other Suits - Above the Line Deduction for Attorney Fees The American Jobs Creation Act of 2004 enacted IRC § 62(a)(20), thereby establishing an above-the-line deduction for attorney fees and court costs paid in connection with discrimination and certain other suits. In December 2006, the Tax Relief and Health Care Act of 2006 was enacted creating IRC § 62(a)(21), an above the line-deduction for attorney fees and court costs associated with suits involving whistleblower claims. In order for IRC § 62(a)(20) to apply, attorney fees and court costs must have been paid after October 22, 2004, with respect to a judgment or settlement occurring after such date. Additionally, the suit must involve - Unlawful discrimination, Certain claims against the federal government, or A private cause of action under Medicare Secondary Payer statute In order for IRC § 62(a)(21) to apply, the attorney fees or court costs must have been paid in connection with a whistleblower award for providing information regarding violations of tax laws as outlined in IRC § 7623(b ), and the information must have been provided on or after December 20, 2006. The deductions allowed under IRC §§ 62(a)(20) and 62(a)(21) are limited to the amount includible in the litigant’s gross income for the taxable year in which the deduction is being claimed.

All the ones you know about. You are just tempting fate, you know.

OH MY GOSH ! I LOVE THAT !!!

You are correct, Tom. And so is Lion, so I'd certainly mention that to the lawyer. And there should be no problem discussing it WITH THE LAWYER, that is never going to get you accused of 'practice of law'. Just don't do it with the client, unless the lawyer is also present. And be glad the client has a lawyer smart enough to request your professional advice IN ADVANCE.

I like that spreadsheet !

$200 is under IRC 263(a) Reg. 1.263 (a)-1(f) $500 is under IRC 263(a) Reg. 1.263 (a)-3(h)

Clearly this was started as a joke, so this one post will be allowed to stay in General Chat.

Pacun, it would really be best for everyone if all the ACA questions were in the ACA forum. We will be moving them when we see them, for that reason. Yes, most members start with the general chat, and yes, a few only read the general chat, but I do believe that the whole reason so many asked for that special forum was to make it easier to find those answers. Lets give it a chance to serve that purpose.

Thanks for the warning, and especially for the info needed to correct it. Have you notified ATX about the error? That's the sort of thing they usually fix fast.

Glad it helped someone. Especially YOU, dear friend.

It is the very last choice.

Right. For him to file HOH, he must be able to claim an exemption for the child. The special rule for divorced parents does not apply in this situation.

Washington, D.C. (January 26, 2015) By Jeff Stimpson Enrolled Agents with Social Security numbers ending in 7, 8 or 9, as well as those who don’t have a Social Security number, need to renew their continuing education enrollment status with the IRS by January 31 for the 2015-2018 period. Without renewal, current enrollments expire on March 31. Renewal cycles for other EAs through the rest of 2015 are available here. To renew, you must have a valid PTIN and complete a minimum of 16 hours of CE each year of your enrollment cycle for a total 72 hours, as well as two hours of ethics or professional conduct during each enrollment year. (Those who are renewing for the first time must complete two hours of CE for each month of enrollment, including two hours of ethics, or professional conduct each year.) The non-refundable renewal fee is $30, which applies regardless of enrollment status. EAs may submit their enrollment renewal application and payment directly online through Pay.gov. They can check on the status of a renewal after 90 days, at (855) 472-5540. For more, see the IRS EA enrollment page.

Yes, it is the equivalent of a bank account. Thank goodness eBay keeps and provides those records. Worst client records I ever had was a woman whose 'business' was a flea market stall. She actually made money at it,[i think ] and I think she was honest, but her 'records' were horrible, she bought almost everything with cash, sold for cash, did not really track inventory, etc. She might have a note, "bought table $95 3/312/09" in her spiral-bound 'bought' notebook and then in her her 'Sales' spiral-bound notebook on 4/4/09 she had an entry 'table $165". Was it the same table? No idea. And that was an easy one. Many of those purchases and sales were just noted as "kitchen tools", "art", "dishes", "books". I gave up on any idea of tracing items for COGS. I just assumed no inventory carryover, for tax purposes. All sales counted, all purchases as COGS. If I had not thought she was honest, I'd never have done her return. But she had no kids, was not trying for EITC, she could have easily flown under the radar of the IRS. She just wanted to do things right, so she filed on it every year and paid taxes on her small profits.

"I told him he had to pay the penalty." Hope you pointed out that was the cost of NOT asking you first?

$200 is §1.263(a)-1(f). $500 is §1.263 (a)-3(h)

Understandable, because such a huge mistake is sure to be hard for him to swallow, so you are smart to get your cites organized before you talk to him. No doubt he was told by someone he trusted that he could do it without penalty. A good time to gently remind him that he should check with you before making any major financial moves.

Easy makes a great point, IMHO. If the recipient is not a 'caregiver', but just being paid to manage finances, etc, then the special rule for family caregivers is not applicable anyway. The argument might still be made that he's not "in the business" so SE tax not applicable, but that would be a 'facts and circumstances' issue. How much he's being paid, and amount of time involved would be important factors.