Catherine

Your government at play!

I have never seen worse, in 25+ years. Y'know, we're going to start looking back on LAST year, with EIDL and PPP and stimulus-only returns, and think, "Good times, man, good times." (Whimper.)

I have a return that needs Form 1310 - so of course it has to be paper-filed and we'll see a response sometime in the next century at this rate. However, will the IRS take a direct deposit request with this, or will they insist on a paper check? I ask because there have been delays in getting a bank account for the estate - but if there's just going to be a paper check sent, we might as well get this return in the queue. Otherwise, we'll wait for the bank account info so at least once they do process the refund will arrive quickly.

MA might be voting on something later this week. When/if they do I'll post the results here. MassDOR says information will be posted here: MASS DOR faq page

MA *might* vote on something - heaven only knows what - this week. So we're on wait.

But assuming he meets the income and no-employer-plan requirements, he has until he files, or the due date (now May 17) whichever is first. So if he already filed, he's out of luck.

I got it figured out. Thanks to everyone!

Doncha just love the ones that answer "we got a debit card, but thought it was a scam and shredded it - now what do we do?" Right along with "I got a check and it got put in the recycling pile by accident - now what do I do?" At least those are a bit more creative than "I dunno."

New York State did something sensible (I am shocked, but hey I guess these things can indeed happen). They changed ALL their due dates for every type of return and payment to July 15th. No exceptions. Of course, the feds' date is earlier, but still. Sensible! Pick a date far enough in the future to matter, and make it across the board. Good for NYS for this.

Except for non-business purpose, making it personal (and therefore, not deductible). I have no idea how to pass through a loss on a K-1 but also mark it as non-deductible.

MA taxes unemployment, so as long as they don't deduct it from the state we should be good. But I'll definitely check - thanks!

Prayers indeed.

Short-term asset sale it is. But what about the loss? Stays in the trust to be lost, and does NOT transfer to beneficiaries? Since it was never business, but personal?

I don't have a 1099-S but I do have a closing document (which means the 1099-S is likely buried in someone's pile of papers, unrecognized).

You have non-zero taxable income on the "taxable income" line before the standard deduction is applied. With foreign earned income exclusion, that taxable income can easily be wiped out to $0 *before* you apply sd, and then e-file is not possible.

Yup, but then MA income will only show his. Nor will the Schedule HC apply to her as a non-resident.

I'd fire her, too. That response would be different if she's immediately said, "he's on call at work and asked me to sign for him - I guess that was dumb, huh?" because we all have oopsies especially regarding family. The lying immediately means I can't trust anything else she ever tells me, and I have enough irksome clients without that hanging over me. Good luck with them both, Judy.

We've already had calls. At some point, ALL the clients need Rita-hugs. And double for the IRS, and triple for the legisvermin in DC!

@gfizer if you need any help with the MA return, send me a note. MA excludes MA bank interest from taxation, and also has a rent deduction, and still has penalties for no health insurance. Plus other pitfalls and oddities.

One client we had they took four months to cash his check. At least it was still valid!

@NECPA in NEBRASKA ignore the extensions. Ignore the clients. Ignore the tax returns (except as a distraction for you when you need it). Let it all sit there and rot. Really. Any clients who don't understand that you and your husband are both sick at once don't deserve your effort, your time, or your concern. Anyone who actually cares about YOU will deal with any missed extensions or anything else. Anyone who doesn't return next year - you don't want them as clients anyway. You can't help them at all if you don't take care of yourself and your husband. You are both on my prayer list.

I do that with clients who live outside the US and cannot possibly get a mailed-in return to the IRS on time (bad mail service in their country). We exclude all earned income, and add in $1 of interest. Poof, we can e-file.

We had one client who filed early and owed tax because of the unemployment income. We've told him NOT to make his payment (by check), as without that UI he's due a refund. We've told everyone in general to sit tight and wait. There's no way to send in amendments anyway; there has been insufficient time to process returns sent in.

Realty Trust was established for the purpose of providing a client's parent with a home. Trust was set up, EIN obtained, trust bought an apartment. Parent, after approving the apartment pre-purchase, later said "I don't want to live there." So the trust turned around and sold the thing. Beneficiary is the (grown) son of the parent, and his wife. Trustee is a cousin. How on earth do I handle this? The apartment was not "inventory" (it wasn't a flip), it was never put in service for the purpose it was bought, it never had a business purpose, and it was sold again about four months after the purchase. Quick glance shows a sales price slightly higher than purchase price, but that will get all eaten up by realtor commissions etc. I'm assuming here I don't bother putting it in as a depreciable asset (only to recover depreciation instantly). Just treat it as an asset sale and use purchase info as basis? Hide under my desk and whimper? And assuming that after all costs etc there's a loss - that should stay in the trust, yes, and go poof! when they dissolve it, since otherwise it's just a personal loss, yes? Since it was never intended as an investment...

Seriously NOT recommended. Trust me on this one!