CP2000

[Lucho]

Hello! can someone help me with this question? If a client does not agree with any of the changes IRS is making in a return, does the taxpayer still has to sign the form? Or just to check the box in section #3? (client has all proof in favor that no tax is owed) Thank you for any comment.

[kcjenkins]

Yes, after he checks the box, he needs to sign the form. He should follow the instructions carefully, so that he gets the problem solved quickly. Tell him never to send them his original documents, make copies and send those. The IRS has been known to lose things, although they don't ever like to admit that fact.

[joanmcq]

Or, even better, you get a POA and YOU send the response. Then the client won't sign anything until they agree.

[Lucho]

I want to thank you KC.. and Joan.. for their answers to this post. I also want to add that I have a full time job, so my practice is small and the only time I post is during evenings. If not response from me during day time is because this is the only time I can do it. I appreciate your help.

[kcjenkins]

You are welcome. We all had to start once upon a time. Where are you?

[Lucho]

You are welcome. We all had to start once upon a time. Where are you?

In California.

By the way KC, how do we deduct the tax software program from prior year? depreciation?, 179? When I read the Pub. I feel like getting crasy; I know there is a new regulation on how to deduct it but I can not find it.

Good night.

[jainen]

>>how do we deduct the tax software program from prior year?<<

Although public software generally takes a three-year amortization or Section 179, when it requires annual updates it is usually treated like supplies.

[kcjenkins]

I would expense it, since it has such a limited use period. Of course, if you don't want to expense it, software is 3yr property for depreciation.