ILLMAS

I cannot figure out how to get the prior year amounts to appear on the 2009 organizer, I didn't realize the prior year amounts were blank until a client called me today. So if someone can let me know where to check off that would be great. Thanks

TP after retirement continued to work, she did recieve SSA benefits during the year, TP doesn't remember getting the $250, would it be wise to only claim the difference from $400-$250=$150?? Thanks

Yes Diane is correct, I went back to check the IRS instructions: "However, the credit operates much like an interest-free loan, because it must be repaid over a 15-year period. So, for example, an eligible taxpayer who buys a home today and properly claims the maximum available credit of $7,500 on his or her 2008 federal income tax return must begin repaying the credit by including one-fifteenth of this amount, or $500, as an additional tax on his or her 2010 return." MAS

Ok I have a client coming this afternoon and they were eligible for the $7,500 credit that has to be repaid over time, I am looking at form 5405, on the second page I see the repayment section, however it seems like form is for people that sold or disposed. On Part IV, is that where I put down the amount ($500) they are paying back for next 15 years? Thanks MAS

We always get snow here in Chicago plus extreme cold temperatures, but I am starting to despise it every year more and more. I used to love the snow as a child, but when traffic is moving at a snails pace I hate it. MAS

Hello to all, a TP client of mine asked if I could amended an installment agreement request for 2008 to include the tax due for 2009. I really haven't had a case like this before, I have included various years in one installment request, but not gone back and added a year. If this is possibly, I would combine 2008 + 2009 tax due and just state it's for two years? Thanks

I would see this as one W-3 since the FEIN is that same, usually dba's are setup locally or within the state of business. MAS

How much are you going to charge him for all those returns?

Here is something from the IRS: Q1. What is the Making Work Pay Credit? A. In tax years 2009 and 2010, the Making Work Pay provision will provide a refundable tax credit of up to $400 for individuals and up to $800 for married taxpayers filing joint returns. Q2. How will taxpayers get this credit? A. For people who receive a paycheck and are subject to withholding, the credit will typically be handled by their employers through automated withholding changes to be made in early spring 2009. These changes may result in an increase in the amount of take-home pay. The amount of the credit will be reported on the 2009 income tax return. Taxpayers who do not have taxes withheld by an employer during the year can also claim the credit on their 2009 tax return filed in 2010. Q3. How will the self-employed (those who do not receive Social Security, Veterans Affairs or Railroad Retirement Board income) claim this credit? A. Self-employed taxpayers can claim the Making Work Pay credit on their 2009 return filed in 2010. Self-employed individuals should evaluate their expected income tax liability and determine whether they want to make any adjustments in their estimated tax payments. Q4. Can private pensioners (those who do not receive Social Security, Veterans Affairs or Railroad Retirement Board income) claim this credit? A. Private pension recipients are not eligible for the Making Work Pay credit unless they have earned income. However, because the new withholding tables reduce the taxes withheld from all taxpayers, pension recipients may not have enough tax withheld from their pension benefits to cover their tax liability on those payments. The IRS recommends that pension recipients evaluate their expected tax liability for the year and consider whether they need to make estimated tax payments or adjust their withholding on Form W-4P, Withholding Certificate for Pension or Annuity Payments. Q5. Are employees required to have a valid Social Security number (SSN) to be eligible for the Making Work Pay tax credit? A. Yes, eligibility for this credit is conditioned upon providing a valid SSN. Q6. If a taxpayer is eligible for more of a credit, how can it be claimed? A. The modified tables take the anticipated credit into account through reduced withholding. However, the Making Work Pay credit will be reported on all filed 2009 income tax returns, along with the taxpayer’s withheld income tax. Taxpayers receiving less than the full amount of the anticipated credit through reduced withholding will still be entitled to the full credit on their return.

To avoid using red forms, just efile them. I have been efiling my clients 1099 and W-2's, except today, I guess the SSA does not accept if an employee uses an ITIN as a SS# for work MAS

Got it, thanks, just one more concern I have, the wife, she had zero income, and from the instruction, the credit is for EARNED INCOME, would it be correct just to claim the $400 for the working husband? Thanks

Ok my fisrt return and I alreay have a questions regarding the making work pay credit. I have a TP that worked pretty much the whole 2009, so somehow he already recieved the $400 during the year, now his wife didn't work, and from reading the instructions, anyone can claim the credit if they have earned income. ATX is giving an $800 credit, I am afraid it's double dipping for the husband who worked and and it should be zero for the wife. I attended a tax seminar about 2 weeks ago and the presenter said to go ahead and claim the credit, since the instructions are not very clear. Can someone please inform me on how to go about claiming the credit. Thanks, MAS

One of my client called me to inform me that their apartment was damage by fire from the next door nieghbor house. The building they leave in has insurance so they are going to take care of any damage to the property, however they didn't have any type of rental insurance and many personal items were damage, they filed a claim with the nieghbor insurance, but they haven't recieved any type of compensation or heard from them. My question is should they wait until the insurance company reimburses them for their loss or make the claim in their 2009 tax return regardless of the insurance reimbursment, since the fire happened in Nov. 2009? Thanks MAS

I bought the books on Craigslist and locally, some guy bought them for his wife that was going to take the exam, but wife decided to take the CPA in California, instead of Illinois. These are the Gleim EA book, they sell for around $300. I am aiming to take Part I in Feb 2010 and the rest during the summer.

I am excited my EA review books came in today, bought them used dough, but are in mint conidition. Anybody else getting ready? I have not decided when to take the exam yet.

I have efiled several 1099's and the status has not changed for a couple of days, is this normal? Also, is there any form I need to have my client sign for efiling 1099's?

I don't if any has posted this but no efile for first time home buyers if they are claiming the credit, must paper file and submit copy of HUD statement/closing contract. Mas

Homebuyers who purchased a home in 2008, 2009 or 2010 may be able to take advantage of the first-time homebuyer credit. The credit: Applies only to homes used as a taxpayer's principal residence. Reduces a taxpayer's tax bill or increases his or her refund, dollar for dollar. Is fully refundable, meaning the credit will be paid out to eligible taxpayers, even if they owe no tax or the credit is more than the tax owed Source http://www.irs.gov/newsroom/article/0,,id=204671,00.html

Try this link: http://www.youtube.com/watch?v=axwO6BkCtIo

I thought this was funny, I don't think Leno was too happy. http://www.tmz.com/videos?autoplay=true&mediaKey=68aabfbf-00b6-46ab-b1c7-ef4201ee8b46&isShareURL=true

No, I re-enter everything for a client of mine that has two employees (no biggie), but if there is a way, I am willing to learn how to import it from QB. Please teach :-) MAS

I finally was able to do 1 W3/W2 efiling, very simple now that I know how, hopefully my final question, is there any form I need to get my client to sign to keep in my records, like when I efile a personal tax return? Thanks MAS

Thanks for the info, one question, do I have to fill the preparer info, or that is taken care once I uploaded to SSA website? Or how can I my preparer info to flow into the form for efile of the W-2/W-3.

Ah that PIN again, then it's paper returns for the 941's. "W-2/W-3 are easy -- it's all built into the ATX program. (Working from last year's memory - none from this year are ready to go yet.) ATX creates the file you need to upload to the SSA. Log in to SSA and pick the right file -- go back the next day to make sure they're accepted. Poof. Done except for the client copy and mailing individual W-2's (which I usually give to the client to mail to the employees)." Good I will at least efile the W-2//W-3 and 1099's through ATX. Thank you friends!

Can someone share the steps needed to file year-end quarterly returns and W-2's, W-3 etc.... I already register with SSA business services, so I have a user id number. I cannot figure out how to efile, sorry, its my first time efiling payroll forms. I was going to use quickbooks to efile, but I need to register every single client of mine to get a PIN and I cannot wait to get the PIN letter from the IRS. Thanks