ILLMAS

Thinking disregard entity

Can a two partner 1065, reduce one partner share of profits to zero? 50/50 ownership, I just want make it’s not a problem and the business needs to be treated on Sch C. thanks

I am preparing form 8379, last time I prepared one was in 2004 or 2006 and I sort remember I had calculate which portion of the refund belong to each person. I am not seeing that now on the form, and my question is, will the IRS calculate what portion belongs to the husband and wife? Thanks MAS

About 25 or so clients have not contacted me or dropped (as of today) off their information like in prior years, I am starting to worry, anyone else is experiencing something different?

I remember in prior years there was a notes tab on top, I cannot seem to find it for 2018, anyone? Thanks

Wow, I always thought my brother-in-law was weird for saving his first payroll check, keeping the cup of my nephew first sip of starbucks coffee and having to buy a shipping container to store all the junks he holds on to

Thanks, I am looking into this, TP is not too happy with the financial advisor at the moment.

Myfax $10 a month: https://www.myfax.com/pricing FYI: Just once an IRS agent refused to send me TP transcripts because electronic faxes are not secured lines.

I am using ATX, I will look for that worksheet, thanks.

TP received two 1099R's: Box 1: 10,000 Box 2a: 1,100 Box 2b: Total distribution Box 5: 8,900 Box 7: 7D I see box 5 is the difference between 1 & 2a, however the second 1099R looks like this: Box 1: 25,000 Box 2a: blank Box 2b: Taxable amount not determined Box 5: 22,411 Box 7: 6 Right now, ATX is taxing the $8,900 and the full $25,000, however out of the $25K, TP kept $2,589 and the rest was put into a long-term care insurance + the $8,900 totaling $31,311. Since I can back track what should be taxable for the second 1099R, would I be okay putting the $2,589 on box 2a?

Just out curiosity, does it flow automatically to 199a worksheet? If not, how does one populate it to the worksheet?

I just order it for my clients that want it because they know they are going to need it, others don’t want to pay the $1XX + whatever the attorney will charge. I don’t prepare it.

There was a will left, TP is the executor and beneficiary to my knowledge, there will be no probate court because no one is contesting the will or is probate court mandatory?

Is there a special form required to be submitted with a 1040 for a trustee that will be signing for the deceased TP? Our state requires one, but I am not sure if the federal requires one. Thanks

I will be working on a 1120S later today or tomorrow, but I went ahead and took a look at the calculate basis box, but I don't see it, neither on the basis worksheet. Unless it's the box labeled "Check if special ordering election made", but if I check it, nothing populates. Thanks

Thanks

No, it was always the intention for the business to do well and recooperate the loans after profits, there are some assets but the potential buyer is interest in the shop for its location and existing customers.

Its always failing to pay employment taxes, its hardly ever failing to treat employees as subcontractors.

The question is more on their 7% withholding tax for service.

Anyone?

ATX recently updated it's QBI worksheet to automatically calculate, however there is a glitch, if you have a client that is a service business, you need to also check off qualified business, if you don't, ATX will not calculate QBI. Also, you still need to enter the data manually for Sch-C's.

There is always a catch, I hate when that happens, but you are right I wasn’t seeing the other side as to the gift. Thank you

Scenario: Father and son (50/50) opened a business with each $1000 in paid in capital 15yrs ago, within the first of operation the father decided to move to another state to enjoy the nice weather, the son was 100% in charge of the business and would give the dad his k-1 every year. The business pretty much operated at a loss every year and the son loaned the business close to 100K to cover the losses, for 2019 there is someone who might be interested in buying the business, can the son reclassify loan to additional paid in capital (50/50) to try to break even? Father Paid in Capital $1000. Basis negative 50K Son Paid in Capital $1000. Basis negative 50K Son knows the father will not have money to pay the tax on the negative basis when they sell the business, and is willing to give up a portion of his loan as additional paid in capital to the father and reclassify his loans as paid in capital as well.

Got it, I was focusing on the relationship, and support test. Thanks

Thanks, the child is a son The child must be your biological child, stepchild, foster child, sibling, step sibling, half sibling, or a descendant (child, grandchild, great grandchild, etc.) of one of these relatives. Son The child must have lived within your home for more than six months during the tax year. Full Year The child needs to be younger than you. Yes As of the end of the tax year, the child must be under 19 if he is not a student, or under 24 if he is a full-time college student. No The child must not have paid for more than half of his living expenses during the tax year. Parent paid everything, son pocket his personal money