I THINK WE ARE GOING TO NEED EACH OTHER

[BulldogTom]

As the tax season approaches, I am getting much more anxious this year than any other year in the past. Despite my normal CPE and an upcoming update seminar, I feel like this year's tax law changes are going to make this a more challenging year than ever before.

It used to be that a client with a home and a mortgage just meant we needed to look at the 1098's for refinances and any points that were paid. Now, we wonder how many are losing their homes and which new law might or might not apply to them.

I already had a client in for a consultation, and I nearly missed the fact that she had too much income to qualify for the new first time home buyers credit.

With the expiration and extention of so many credits, I am having a hard time keeping up with what can and cannot be claimed in the upcoming year. Teachers credits expired and are extended, home energy credits are lost, but coming back NEXT year, AMT was patched again.

I am really going to need all of you to help me out this year. I will also do all I can for each of you.

Every one of you are appreciated. Lets keep our tax family strong in the upcoming year. It ain't gonna be easy, that is for sure.

Tom

Lodi, CA

[MAMalody]

This brings up an issue I would be interested in. What online sources do you use to keep updated. For example, is there a source you would check first for updates that apply to changes for 2008 taxes?

[Margaret CPA in OH]

Thanks, Bulldog Tom, for reminding us how important this venue is to so many of us. I am a sole practitioner without another "watercooler." This board is not just important to me but critical, I would say. I just hope we can all get along despite the election!

[jainen]

>>we wonder how many are losing their homes and which new law might or might not apply to them<<

And don't forget that OLD law that is starting to kick in. When their property value drops, they lose the deduction for interest on non-acquisition debt.

[JohnH]

---> I just hope we can all get along despite the election! <----

Good point. And for my part, there's no reason NOT to get along despite the election. There are many on this forum with whom I disagree politically, but I have the utmost respect for their tax knowledge. Nothing they could say would change my vote, but when they raise questions about how I'd handle a tax issue I begin to re-think everything I thought I knew about the subject at hand.

[BulldogTom]

This brings up an issue I would be interested in. What online sources do you use to keep updated. For example, is there a source you would check first for updates that apply to changes for 2008 taxes?

I subscribe to Kiplinger tax letter. But I also get the PPC letter from the CPA firm that my day job company has engaged. I guess I am pretty lucky that I don't have to put out a lot of cash for updates.

And this board is another resource.

Tom

Lodi, CA

[BulldogTom]

You are right about keeping politics and taxes separate on the board. There is probably no one I respect more than Jainen when it comes to taxes, but there is also no one further from my political point of view than Jainen. I hope he knows how much I respect him, even though I don't agree with his politics 400% of the time.

Tom

Lodi, CA

[jainen]

>>I don't agree with his politics 400% of the time<<

Please recalculate that. Why, just yesterday (in KC's political thread A Good Article) I honestly said I agreed with President Bush.

/

jainen

[JohnH]

jainen

I think Tom's 400% is probably correct (or maybe a little low).

That's 100% for Tom, 100% for me, 100% for KC, and I'm sure there's at least one more of us.

Whatever the case, don't stop posting - your expertise and views are needed here.

[OldJack]

jainen

I think Tom's 400% is probably correct (or maybe a little low).

That's 100% for Tom, 100% for me, 100% for KC, and I'm sure there's at least one more of us.

Well shoot!! add OldJack for the other 100%. Heck, I like disagreeing with my old friend Jainen. He is so damn right most of the time that I don't get enough times to disagree with him. LOL

[bstaxes]

I hoping that none of my clients will lose their homes due to the economy. I hate to see anyone lose their home. I'm in a rural area where there are not many large corporations but this morning I found out that one of the bigger industries will be laying off employees. I'm hoping that other companies will not follow and layoff employees. I have some farmer that I do returns for and they have borrowed money for planting 6-7 months ago thinking that the price of grain will remain high. It hasn't and now when the harvest their crop they will not be getting what they thought they would. Some feel that they will get a lot less and are concerned about repaying their loans. I will be watching for the discussion on this topic and how it might effect my clients. What a great way to start the tax season off.

[mcb39]

Thanks, Bulldog Tom, for reminding us how important this venue is to so many of us. I am a sole practitioner without another "watercooler." This board is not just important to me but critical, I would say. I just hope we can all get along despite the election!

I echo Margaret. This board is also "critical"" to me. Pub 17 and Quickfinders and whatever knowledge I pick up at Tax Seminars are all secondary to the things I learn in this Community. I don't understand, however, how this original post ended up turning political.

[kcjenkins]

I agree Tom, we all need each other in this crazy tax environment, where the rules change practically overnight. And that is not a political comment, it will happen no matter who is elected.

This might be a good time for all of us to consider clicking on that DONATE button one more time, by the way. I know Eric won't ask, but let's see if we can give him a little cushion between now and Jan.

[cred65]

I agree Tom, we all need each other in this crazy tax environment, where the rules change practically overnight. And that is not a political comment, it will happen no matter who is elected.

This might be a good time for all of us to consider clicking on that DONATE button one more time, by the way. I know Eric won't ask, but let's see if we can give him a little cushion between now and Jan.

I agree and will send a donation today.

[Catherine]

I agree and will send a donation today.

I also don't know what I would do without this group and the couple others I follow. I'm a sole practitioner without the "watercooler" help myself. For updates I get the IRS email newsletter, the EA newsletter, and a couple others as well. Then there's always my online tax research. But there are plenty of times when those resources are ambiguous, vague, or just plain contradictory. And so I turn to my dear colleagues from the newsgroups -- some of whose politics I agree with completely, and some of whose politics I deplore -- for help.

But even the folks whose politics I deplore can back their opinions with something other than "'cuz that's the way it is!". I may disagree -- I may even not respect the particular opinion -- but I fully respect everyone's _right_ to _hold_ that opinion, and express it. And having to think through why I disagree with something (even if I just read but never post back) helps me clarify my own stands, and the reasons for them. And so they still do me a service. ("The unexamined opinion is not worth holding", to mis-quote someone.)

But I truly appreciate the tax help I get here -- especially help with states that I rarely work with. It's not like I can call the guy down the street and expect him to be able to help me with an Iowa issue, after all. He probably sees those returns as rarely as I do!

And speaking of Iowa -- any clues (pub number, something like that) where I can get clarification on an Iowa capital gains exclusion issue? I have a client who is a ~4% owner in and Iowa farm S-corp; they're selling this month. She got a letter indicating there might be a capital gains exclusion and I want to check into this. Nothing in the letter telling where in the state reg's to go digging.

And Eric will be seeing another donation from me as well.

Catherine

[NECPA in NEBRASKA]

Here is a link that I found for Iowa. http://www.state.ia.us/tax/forms/cgprop.html Here is a different link. http://www.state.ia.us/tax/1040EI/Line/07Line23.html

Bonnie

[Catherine]

Here is a link that I found for Iowa. http://www.state.ia.us/tax/forms/cgprop.html Here is a different link. http://www.state.ia.us/tax/1040EI/Line/07Line23.html

Bonnie

Thank you, Bonnie. I will check these.

Catherine

[SCL]

Thank you, Bonnie. I will check these.

Catherine

for an additional iowa cap gains exclusion (ded?), go to the relevent iowa tax form line #...and link to the ia instructions.

i'm pretty sure that an iowa agriculture cap gains get an extra loophole.