Dan

I received my social security statement this week (Jan. 14-19). :)

I also looked at Drake tax software but since I have used ATX for a number of years and like ATX software, I didn't want to change. Before using ATX software I used AMTAX which was bought out by Drake. I hope ATX software is around to stay. The people at Drake were very friendly and helpful, they sent me a disk to try out.

Maribeth & KC No person has bought common stock in this S-Corp. In the certificate of incorportion it states "the aggregate number of shares which the corporation shall have authority to allot is 1,000 which is divided into one class of common stock having no par value." In my first post, I mentioned the idea of only one person involved with the S-Corp. There are no shareholders unless you would count the owner of the S-Corporation as a shareholder. Is the sole owner of the S-Corp. able to buy stock in his/her own S-Corp? I think the reason I put money in capital stock (balance sheet) was to have a basis in the S-Corporation. I thought that in order for one to receive distributions from an S-Corporation he needed to have a basis in the S-Corp. The basis consisting of the shareholder's (owner) initial contribution to the S-Corp. There are also retained earnings on the balance sheet. Question: Can one take a distribution if one only has retained earnings? Maribeth-no the S-Corp. is not being shut down. If I was to take money out of the S-Corp. how would I enter that on the balance sheet? Would taking money out lower the capital stock? How do you put that on the balance sheet? KC-If one was to close out the S-Corp. how would one deal with this capital stock on the balance sheet since it was put there by the owner? If you have an answer to other things I have mentioned in this post, I like your expert advice. Thanks for your response. :)

I use McAfee Internet Security Suite and really like it. :)

Question: What can you do with the capital stock in the S-Corporation? Thanks!

Question: My question is if you are the only person involved with an S-Corp and you have $525 on your balance sheet as capital stock, can you change it to cash or retained earnings? If so how do you do that? What is the procedure? Thanks for responding. :)

I think HP printers are the best. I would like to have a HP laser printer if it wasn't for the cost. I use a HP Officejet Pro L7680 which is an ink jet printer.

Thanks to those that have responded to my question. The IRS also told me that you get to determine how much of your EFI you put on line 2 of Schedule J, as long as it's not more than the total on Line 1. The remainder of Line 1, if any, would be taxed at the 2007 rates. So your still paying tax on all the taxable income. The amount you elect to put on Line 2 would then be taxed averaging the amounts for previous years, which if those previous years had lower income, could result in paying less tax overall.

:) Thanks to those that have responded to my question.

Thanks KC for responding. Are you saying that you can just pick a number out of thin air and enter it into line 2 on the schedule J form? The maximum amount is $59,165. If I enter $35,000 in line 2, there is a savings of $2338. Can you do that? To those that see this topic, there is no other income except what is on the Schedule F form and 1/2 of self-employment tax. Thanks for responding.

My Question: How do you go about obtaining the FEIN from the state's registry of the LLC's in the State of Kansas? What is the www. etc you would enter to look up something in Kansas. I also have the problem of getting a W-9 from one that has an LLC. Thanks

Question: How do you figure elected farm income to use on Schedule J line 2 when the instructions say: "However, you do not have to include all of your taxable income from farming...on line 2? When reading line 2 instructins it says to include taxable income from farming (Schedule F) and also include the deduction for 1/2 of self-employment tax attributable to farming. There are other items mentioned but these are the only two that apply to my question. Where are the instructions to this however? Hope someone out there knows the answer. Thanks :)

It would be nice to know what percentage I can defer if it is less than 100% Thanks!

KC Do you know the answer to my question? What percentage can one defer to next year?

Question: I have a question about how much one can postpone until the following year? This question is found in Publication 225 and the instructions for Schedule F (lines 8a through 8d) In the instructions for Schedule F it says "generally, if you elect to defer any eligible crop insurance proceeds, you must defer all such crop insurance proceeds." Is there anything out there that says you may defer just some of the proceeds. Must you defer all or nothing? What does the word "generally" mean? Thanks for your reponse. Dan :)

ATX sent out a paper with some help on this matter. 1. Go to MYATX.com and click the Need Help? link on the MyATX login screen. 2. On the next screen, click ATX Upgrade. You will be guided through the process of obtaining your Client ID and updating your login credentials. To complete this process you will need your login information, that is, your email address and password. Please write down your Client ID because you and your staff will need it every time you log in! Each ATX customer has been assigned a unique Client ID. This number is different from your previous customer number. If you have any questions please call: 1-800-638-8291. The new login procedure requires three items: 1. Your client ID 2. Your user name 3. Your password When you follow the Need Help? link on the login page you will be guided step-by-step though obtaining your Client ID, creating a new user name for yourself and creating a new password. Each person currently registered to use MyAtx.com can do this. I hope this helps. Dan