ILLMAS

Does anybody know where I can some information as to what the IRS might use to calculate retail markup for retail and wholesale of sports clothing, accessories and shoes. I took a look at the IRS retail audit technique guide but didn't find any percentage. Thanks https://www.irs.gov/pub/irs-mssp/retail_industry_audit_technique-guide.pdf

Has the person notified the notified the issuer of the discrepancy? I would recommend for him/her to submit proof of payments he/she received.

Don’t these free AV program cause more damage, then a paid version?

Watch out for these two questions, you can no longer just click NO on every line like before (in most cases).

A quick restart should do the trick.

I went back to my notes to review wages: Wages for limitation purposes includes all wages, including shareholder wages. Wages not allocable to QBI are excluded from the calculation. PEO wages are included as wages for the business. Wages cannot count twice in two taxable years or for two trades or business. So my K-1 should look like this? Box 17 V -10,000 W 46,000 (Owners $6K + $40K employees) I am concern, someone might pickup on wages and calculate QBI and not take $10K loss into consideration.

You are correct, I just reviewed my notes, I was thinking it only applied to rentals. Thanks

Just want to double check with everyone, if a business has a loss, then there is no need to fill-in the QBI portion on the K-1? Business had a loss of $10K and the owner had $6K in wages. Thanks

1120S related, not 1040 Did you click on gray out box on page 4, line 17d? I believe no one here has made that point before, if someone were to explain it in detail it would be helpful, and if someone explained in detail about clicking on the gray box on line 17d, then it was not picked up on the QBI information sticky.

With Tom Gorczynski?

Hello Tom, are you on Facebook by any chance? If yes, there is an ATX tax software support group, I bet someone there will know.

For example Sch E Property 1 $10,000 Profit Property 2 $2,000 Profit Property 3 $6,000 Loss Aggregated Total $6,000 QBI $6,000 x 20% = $1,200 TI $30,000 x 20% = $6,000 Sch C Profit $30,000 1/2 SE $2,295 SEP IRA $3,000 SE Health Ins. $4,000 QBI amount $20,705 QBI $20,705 x 20% = $4,141

Just wondering if someone else has prepared a Pre-QBI worksheet to keep electronically for each qualifying/non-qualifying clients? I prepared one, so I just plug in the amounts on the atx QBI worksheet, then take the same amounts and verify them against online QBI calculator.

This only matters if the TP itemizes correct? I prepared a return yesterday, TP had $10,002 in property taxes not including state withholdings, but was way under the MFJ $24K SD, I stilled entered the amounts on Sch A because the property tax amount flows into the state for a credit.

Never mind, I figure it out, TP was being claim as dependent on parents return in 2017, not in 2018 and that solved the issue.

Can someone double check my figures, single TP earned $26K and has $700 in student loan, TP is under the $65K threshold, ATX is not allowing the deduction. Thanks

does not

I have a potential new client that formed a corporation but those not live in the US nor has a SSN or ITIN, if I were to prepare an SS4 as a third party agent, it requires to input a SSN, if I were to use mine, is there any exposure? Thanks

US person can apply for an ITIN for the spouse and file MFS at the same time, see form W-7.

They’ll come back knocking at the door for help when they start receiving notices, I was once told by a former client that I charged too much and he was going to prepare them himself, I said fine, no problem. He did call me, however I was under extreme pressure during that time I was not able to assist him with the notice he received.

Let's say XYZ is a startup company and you are consultant working a project, you invoice them $10K, and they come back and say, we are startup company and really don't have all the money to pay you, however we can pay you $500 now and give you 1,900 shares of stock at $5 (=$9,500) in XYZ. After they break you down, you say yes, whatever, and take the $9,500 worth of stock and expect to become a millionaire soon. Now, my question is, should XYZ issue a 1099 for $500 or $10,000? Thanks

Where I can find "Other Items" worksheet on the K-1 for QBI entry? , there is a note on the bottom of the K-1 worksheet however I cannot find it. Thanks

Too bad I cannot find the phone number for the Jerry Spring or Maury Povich Show to give to your client.

I am going to recommend this webinar on 199a: https://on-demand.compasstaxeducators.com/courses/sec-199a-with-final-regulations Here is what it covers and I believe you get access to Q&A recording from the live webinar. • Calculate the Sec:on 199A deduc:on for taxpayers below the taxable income thresholds. • Calculate the Sec:on 199A deduc:on for taxpayers above the taxable income thresholds. • Understand the key rules and defini:ons as outlined in the final regula:ons and how they differ from the proposed regula:ons, if applicable. • Apply the Sec:on 199A rules to a variety of taxpayer situa:ons to arrive at the correct deduc:on amount. • Understand the tax planning implica:ons of Sec:on 199A and its final regula:ons.

Just trying to get a feel of what people will be charging for QBI? a. X per hour b. $0 to $25 c. $25 to $50 d. $50 to $100 e. +$100 f. other