Tax Prep by Deb

It has Pro.

I purchased a Dell from Costco the XPS8900. I really like the smooth operation of it, but it is not updated to the Creator edition of Windows 10. It tries but fails. Other than that I love it.

I was involved in a class action suit with JCPenny's and basically had to do nothing except say keep me in. It finally settled and I ended up with $845.00 dollars in an e-gift card. Didn't really believe it, but went on their website and put in the number and pin number and there it was. I've been using it ever since and still have a balance. So I guess my point is you just never know. If they send them to me I will always respond, but I must say this is the biggest one yet!

I agree on that question, but maybe this will explain something else. When the person who started the trust died, there were two beneficiaries named. The other beneficiary stayed in the house until her death, and I am assuming paid the property taxes as they came in, (I do not believe at this point the death or change of ownership was recorded at the tax office)and I believe it was under the previous owner's assessment, which meant the taxes were being paid but at a much lower rate. When the house went up on the market and sold, somehow this triggered a re-assessment going back to the death of the other beneficiary sometime in 2009. When she passed away apperantly one of her kids begin living there. So I honestly think the back taxes were the result of a re-assessment, not necessarily from not getting paid. It took my client a long time to finally get a hold of the trust documents due to family conflicts and the heirs to the other beneficiary not cooperating.

Thank You!

I may be in over my head and I know I still need to do some reading, but I have a client who is a Trustee of a Revocable Trust. The person who had the Revocable Trust past away back in 2003. My client did not even know this trust existed until last year at which time a tax id number was assigned the trust and she began liquidating the assets. The only asset was the deceased person's home. From the time of death till when my client took over a family member from the other Trustee was living there and paying nothing. My client did proceed to get an appraisal going back to time of death. She put it on the market and sold the home For 486,000. The appraised value at time of death was $415,000. In addition there was $34,000 in selling expense, and a large amount of back property taxes that equals $32,536.00, and I still need to see the checks that were written, but there was some fixing up costs ect... that I feel will bring this sale to almost no gain. However, even if I bring the gain down to zero, It is still charging taxes. Should this be so? I have used form 8949 to report the sales and then schedule A to report the property taxes that were paid and them using line 15a to report the extra expenses. Not at all sure if I'm doing this right and would love some input. Also how do I know which box to select in section A?

I'm having the same problem with a Windows 10, it will not update to the creator version, however it is continuing to update the updates to the anniversary version, also I can not get mine to back up either. I really want to love 10, but I have had some issues.

Yes, You have to do a policy allocation. They can agree on the percent, if they can't agree on the percent then it is 50%. The instructions for form 8962 has an example that will assist you in reporting the 1095A correctly for the dad, and I would make a copy and give it to the Son so that his taxes can be completed. IRS does require each to reconcile the credit. There is actually nothing wrong with dad getting insurance with son thru exchange, but now comes the reconciling of everything and depending on the outcomes possible having to pay back some of the subsidy.

I had a client come in this year with the same situation, I suggested she make an appointment to go to IRS office and when she did they pulled her record for her and told her that it had been cleared off, and that she owed them nothing. California on the other hand was not quite so forgiving. She did provide her with info needed and we filed the returns they requested and are now working with her on a payment plan.

1 more to go! Yay!

I wish I was done, but I still have appointments coming in tomorrow and one promised out, the rest are just waiting on signatures.

That I haven't a clue on. My client's did not have the form 8962.

Yes, I have several of these. It is handled on line 21 and there is a place, I believe second from the last or third from the last that states medicare waiver and the amount needs to be entered as a negative figure.

Yes, Welcome! Many of us left or no longer even go to the other board for the same reason. Here we try to treat each other with the dignity and respect each of us deserve, and personally I have found this board very enlightening and helpful.

I haven't done one of these in a while, but how do I input the info so that it shows up in line 7?

All I can say is Amen! After a day like today, Tuesday can't get here fast enough!

Just make sure that the total sales include the income from the 1099K. If it does, then there is nothing else to do. If you want to do two separate lines, enter the 1099-k income and then on the next line enter the remainder. When the 1099K's first came out the schedule C had a place to input the amount, however either the following year or the year after it was deleted. The important thing is that total income is reported. For example, here a lot of my hair dressers are using square. The print out the 1099K and if that was all they turned into me I would question it, what about cash, checks, ect... But if they give me a total figure that is more than the 1099K I would make the two line entry, the one for the 1099K and the other for the remainder of the income, to total the total income being reported.

On form 8965 did you answer the questions on the tab SRP Questions? Make sure question 3 is marked yes, then go to worksheet A, pull in the taxpayer that had no coverage and mark the full year box and it will then calculate the penalty.

The difference is paying it to the government or paying it to yourself. It's true the dollar figure may be the same, but the benefit changes to one that she will some day get back.

Client is not going to be a happy camper. He will have to pay back the subsidy. Complete part 2 question 9 and 10 then enter only amounts in column f, nothing in a-e. Depending on his income his pay back may be capped at less than 100%.

No Social Security Number, no file. Everyone on the return must have either a Social Security Number or an ITIN number otherwise they cannot be on the return at all.

Not a problem. I have been over those instructions so many times this year, but it still is clear as fog!

Nothing simple about it. If you go to the instructions for form 8962 they have examples and I believe this one is covered.

What was the outcome?

Okay, I have a question and not sure how to proceed. I have a couple who have two children together and they and the children lived together and they totally supported their children. Their income is to high for EIC but with the new due diligence for CTC I have to answer the due diligence questions and everything would be straight forward, however the husband has another child from a previous relationship for which he supports but the child does not live with him. The custodial parent has issued the form 8823 for 2016 allowing him to claim the child, but when I go to answer the question about the children living with him, two do and one doesn't, how would you answer?