BulldogTom

Several years ago, when the price of gas spiked like this, the IRS made a mid year adjustment to the mileage rate. Wonder if they will do it again? I wonder if we will get to $1 per mile soon on the mileage rate. Tom Longview, TX

I would guess that because it was W2 income rather than SE income and it was not your brother's responsibility to report it to the SSA. Tom Longview, TX

So she can reach the fruit on the bottom branches..... Tom Longview, TX

Just looked it up. 3 years, 3 months and 15 days from the end of the calendar year (April 15th of the fourth year). After that it is lost. In your client's case, only 2019 and later will be added to their SS record. I learned something new today, I assumed you would get that credit as long as you filed the returns before you filed for SS benefits. Thanks for the post. Tom Longview, TX

you got better results than I did....I suck at searching online. Tom Longview, TX

Thanks for the offer lion, but I have never used an iphone, even though I am sure it would work on my plan. I have used Android for so long I would be lost trying to answer the iPhone. Tom Longview, TX

I have a 4 line plan that has been grandfathered on price. We bought it in CA in 2007, and I don't have a local number. My youngest son is changing carriers (because he needs to face-time his girlfriend and my plan does not have enough data for them to talk all night, every night, every week, all the time) so it opens up a line on my plan. Son has a multi line phone that is not coming back to me, just the sim card for the MetroPCS line. If I can put the sim card into a cheap phone, I can use it for my office line. Just leave it in the office. Metro will allow me to change the number to a local one, but I need to bring in the phone. Tom Longview, TX

I need to get a second cell phone that will work with my carrier MetroPCS. It will be used for my office and will only have phone, text, search and 1 app (square). I don't need fancy, I need cheap. Any suggestions? I looked online and all I get is the same ads that paid to get to the top of the google search engine. Tom Longview, TX

when you get done cutting that up and splitting it, you want to truck a cord or two over to me? That looks like a summer of work. Tom Longview, TX

No resolution. The return is a single taxpayer, no dependents, one W2, standard deduction and PTC (one of the easiest returns we did last year). I offered to send the W2 showing the withholding and the 1095A for the PTC calculation, but the agent on the phone insisted she could do nothing since the return was in error correction and she could not pull it back to her for resolution. She could not "see" what the issue was, so all she could do is refer to her supervisor and error correction department for information. She was very polite, but her hands were tied. She says when they send out the referral, they usually get something back within 30 days. It is concerning that PPL cannot tell us why they return was held up. There ain't much in the return that could be incorrect. And as I said, the CA return flew through and the CA refund was processed timely. The W2 is from a smaller company, so maybe the employer sent it in on paper. Possibly shredded? That is my best guess. So we wait....hoping someone answers the referral. Tom Longview, TX

Ouch. That is a tough sell. Hopefully your clients realize the value you bring. Tom Longview, TX

IRS called me back. They have no idea what the problem is with the client tax return. Somehow the computer could not process the efiled return (but CA computers were able to...hmmm) and they sent the return to the error resolution department. That department has done nothing. IRS agent could not see what caused the return to be sent to error resolution. No letters generated, nothing they can see...just sent over to that department and sitting there for over 60 days. I wonder if IRS can't match up the supporting documents because they shredded them? Not being political, just wondering if this is the issue. Tom Longview, TX

On the 4th day, 23rd call, I have a call back appointment. Hopefully they will actually call.... Tom Longview, TX

Are you saying that you need a new "hug garden"? Hope they don't find the clients you hugged when they start on the new building site....Just sayin'. Tom Longview, TX

I drove by the building she is in, I worry for Rita. Like right out of a Friday the 13th movie set, surrounded by forest. I think she should be packin' working in that building. Tom Longview, TX

I have been calling since Friday, same recording saying that "due to very high call volume in the topic you selected, we are unable to take your call at this time." Anyone getting through? Tom Longview, TX

I did that for over 20 years. Finally get to "retire" to only doing tax work. Hope to see the business double the number of returns in the next 2 years. Fingers crossed. Tom Longview, TX

Yardley - I am an EA, MST with over 20 years of experience. I work off of a $ per form basis, but I structure the form costs so that I generate gross billings of approx. $150 per hour for individual, straight forward (if there are any of those anymore) 1040 tax returns. For individuals with Sch. C, Sch. Es, K-1s from partnerships, Non Resident States, etc, (the more complicated returns) I try to bill about $200 per hour. For Corps and Partnerships, I try to bill about $350 per hour. I practiced in Central CA for most of my career, but I am in rural Texas now, so we will see if I can hold this pricing structure. This past tax season, I did mostly CA returns from my prior clients, and I did not advertise in TX. This year, I am planning to do an ad campaign where I will give new TX clients a 25% discount off of last year's invoice if you bring me the invoice from last year's preparer. I did this in Lodi CA several years ago. I did some very cheap returns that year. I also picked up a few really good clients. What I really got was market research. I found that the cheapest preparer in town was extending most of her clients to stockpile as much work as she could for the off season, I was lower than the chain preparers and much lower than the CPAs in town. Raised my prices the next year to get to par with the chains. This probably does not help you but it is the best I got. Tom Longview, TX

Judy and Tex, Thanks so much. I was on the road for a while (Longview to Reno to El Centro to Yuma and back to Longview) and I appreciate that you were there to help out. I think I got this now thanks to you guys. Tom Longview, TX

Thank you Judy, you are the best. Tom Longview, TX

Thanks @jklcpa If I could bug you one more time. Does my math look right? $6,171 for 2022 contribution limit? Tom Longview, TX

That is not the fact pattern. Couple are not losing coverage because of employment change. They get their health insurance via the ACA exchange. He will definitely sign up for Medicare when eligible mid-year. She will drop ACA coverage as well when she gets to 65. So they have family coverage now, and they get the additional catch-up contribution because they are over 55. They have maxed out the last couple of years. They want to know how much they can contribute this year. Client seems to think that he can still contribute the max this year if they do it before he changes to Medicare. I don't think so, and I think that they need her to change the policy to self only. My first thought on how to fill out his form 8889 is $4150 for Jan-May and $0 for the rest of the year. I think I fill out her form 8889 with $4150 for Jan-May and $4650 for months Jun-Dec. Add it all up and divided by 12 to come up with $6171 as the contribution limit. Then I saw this in an article from the Tax Advisor, and I started wondering if she still gets the full family contribution limit. Spouses with family coverage If either an individual or the individual's spouse has family coverage, both are considered to have family coverage. Likewise, if one spouse has self-only coverage and the other has family coverage, the maximum contribution limit is the maximum for family coverage, and the limit is divided between them by agreement (Notice 2008-59, Q&A 17). If the spouses have different family coverage plans, only the one with the lower deductible is counted for HSA eligibility purposes (Sec. 223(b)(5)). The family contribution amount can be allocated between eligible spouses any way they want but must be divided equally among the spouses if they do not agree on a different division. However, no HSA contribution is allowed for an ineligible spouse. The IRS has ruled that an eligible individual does not fail to be an eligible individual merely because the individual's spouse has non-HDHP family coverage, if the spouse's non-HDHP does not cover the individual. Consequently, that individual may contribute to an HSA (Rev. Rul. 2005-25). I may be doing some wishful thinking, but I went back and read the pub, and it looks like the limitation is on his coverage not covering her. I don't see anything that says she has to change the insurance policy coverage to self only and that her coverage cannot cover him, even though he is ineligible to contribute. So if she has family coverage, and they agree to divide the contribution giving 100% to her in Jun-Dec, and still get a full contribution of $8300. I would fill out his 8889 as above, but then fill out her 8889 using $8300 for Jun-Dec. I am still searching and not sure I know enough yet to give them the right answer. Thanks for your help, and feel free to punch holes in anything I have above. Tom Longview, TX

Thank you Judy. I read the instructions and I am getting a clearer picture on how this works. Follow up question, since they have no dependents, she will have to change her coverage to Self-only since he cannot be covered under her policy after he goes on Medicare - Correct? Otherwise the policy disqualifies both of them? Thanks Tom Longview, TX

Married couple have a Family Coverage HSA. He will go on Medicare mid-year. I was reading the IRS pub and got confused. Anyone have a "plain english" primer? Thanks Tom Longview, TX

I wonder if this is a two sided sword? Does this mean that the FAQ's, which have always been the IRS "interpretation of how they understand the law to be applied in various situations" will now carry more authority in disputes with the service? Tom Longview, TX