Tax Prep by Deb

Thanks for the reminder, but no social security involved. I have been successful in creating the efile, so calling them in for signing tomorrow. Keeping my fingers crossed.

I get that, but like in the case of a rental, how in the world are we suppose to know the cost associated with breaking a unit up. The purchase is for the whole thing. How do we segregate the individual components out?

So then if we have looked back and can seen that things had been done properly all along, therefore no change, it is saying that we do not have to file the 3115 but simply file the tax return and in thus doing so agree to the changes?

Thanks to all that responded to my problem. I finally got in contact and have been able to download the publication. And so far all I can say is that it is the best 20 bucks I've ever spent. Very clearly written and wonderful examples to follow. Deb

I Sent them another e-mail this morning asking to respond to a different e-mail address in case there is a problem with my email account, and so far no reply. Thanks for the phone numbers, I will try that next.

In the past I did that but got an error message, bur maybe it will work now. I will give it a try.

That's the problem I haven't received any emails from them.

Any one? Please!

It is but he is looking to keep this vehicle well past the time it takes to depreciate, so we were thinking of starting with mileage, then perhaps switching to depreciation if his plan changes.

I checked my junk folder and not there. I know my card was charged, so I went ahead a e-mailed. I hope I get it soon. I have a return do out tomorrow, and I feel like I know absolutely nothing about this for or election, but want to make sure and do it right.

I am so mind boggled right now, I'm not thinking straight. Can you use the standard mileage rate for a vehicle that is not a listed vehicle? My client has a big Ford F-350 which is definitely not a listed vehicle, used 100% for work with documentation. Would rather take mileage deduction, but it seems that it might only be for listed vehicles as it is under that tab that you calculate the miles etc... Any thoughts?

How long after your purchased it, did the password show up so you could down load it? I purchased over an hour ago and still no password.

Ok, I'm rusty on this, but I have a married client who want to file MFS. Because California is a community property state I know income has to be split as well as withholdings, ect... On each of their returns I entered their own W-2 info but made an adjustment to their income on line 7 labeled as such to indicate the 1/2 split. So income on line 7 is 1/2 of both. Then when recording the withholding I also made an adjustment to represent 1/2 of what was withheld. I have included form 8958 with this return indicating the above. How do I do this on the state return? The income portion flows correctly, but I do not see any spot at all that I can change the amount of the state withholding. I did one years ago and I just can't remember how I did it. Or if I'm doing it right now? Any help would be greatly appreciated!

I don't know if it's a problem with Covered California Health Exchange or what. I manually did it and came to the same result as ATX did, but it does not make since that they should have to pay that much back. The other cases I can clearly see. Their income was much higher, but these guys are on a fixed income, only change from year to year is bump up in social security.

Hey guys and gals, I've had several clients who received subsidies thru the health care exchange. When I do form 8962 every single client owes back the credit. 3 of the 4 of done I can clearly see why. There income is more than it was the previous year which is what they used to determine income. One however is only 300 dollars more. It's an older couple. Husband receives ssa disability and third party sick pay and is covered thru his former employer. His wife is covered under Covered California and received an advance credit towards her insurance. When I got the form and did the reconciliation I really expected that they would be exactly were they needed to be, or perhaps owe a little. Instead it turns out they owe over 700. She had exactly the same plan all year Jan-Dec and the costs, and the advance credit remained the same. When I prepared their tax return literally the only thing that changed was a small cost of living increase in her husbands ssa disability payment. Have any of your clients broke even? Has any gotten more credit? Or is this thing rigged to cause people to owe at the end of the year?

I'm there too!

ssa

Thanks Jack, I hadn't got that far, but I was hoping for some info on it!

Ok, I got a good one, and so far can't seem to find the answer. Client got laid off January of last year, went on un-employment. Wife didn't work but was fighting Social Security to get disability. Based on projected amount of un-employment, went to health care exchange and qualified for a subsidy that paid all but 2 dollars of their health insurance. In November the client's wife won her case and received a lump sum payment going back to 2012. Do I Include the full amount of the payment when figuring out their subsidy reconciliation, or is there a way to only use the part for the current year? I know there is a lump sum worksheet for figuring taxable portion of social security that allows me to see if including in current year or what it would have been if received in the proper year. Just not sure what figure to use for the ACA Subsidy Reconciliation. It probably wouldn't be a problem except that he also cashed out one of his 401k thus making it necessary to payback all the subsidy.

I hope someone has some kind of guidance for me, as this is totally new to me. I have clients who work for Starbucks. Starting the fall Semester Starbucks agreed to reimburse their employees college tuition thru a specific online university in Arizona. The deal is that they will only be reimbursed when they have completed and passed classes that equal 21 units. The statement from the college shows the amount billed (clients paid the fee by taking out student loans and qualifying for other scholarships and grants). Question is, knowing that they will be reimbursed later for this, do we take the hope credit? They meet all the tests, but my concern is what happens when (hopefully not if) they get reimbursed? Any thoughts!

Gee, thanks Tom! Sometimes I feel really dumb!

If it is truly disability payments paid via EDD it is state disability insurance payments and therefore not taxable. She will not get any kind of a form for this money. If she received a 1099 from EDD than it is more than likely the extended paid family leave and if so is taxable. Hope this helps!

I had a similar situation and I really think that if you are choosing the option that they are below the filing threshold it puts a checkmark in that box and that's all there is to it. If you are choosing any other exemption you have to fill out the next section were you pull the name and social security number and insert a code for the reason. This stumped me because it felt too easy, but went back and read the instructions and this is what it seems to imply. So here's hoping we did it right!

You guys and gals are the greatest! I feel very privileged to have your experienced input!

Thanks so much for your input. I tend to agree with what you are stating, unfortunately I wish I had thought of that (I feel kind of dumb) but I have never run into this before. Right now my client has logged this on their books as Commission, Should it be an Asset maybe named Goodwill?