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Contents 1 Land? What land? 2 And my recommendation.... 3 There's *always* one more typo... 4 COD Income 5 More COD 6 You too 7 New Jersey 125 8 Insolvency for Joint Assets 9 Pablo 10 Finding people 11 Yes I am still alive. 12 Saving grace indeed! 13 A sad, sad life 14 Linking 15 Suburban Propane 16 Suburban 17 More 18 Suburban....another thought 19 A topic you posted to recently has been moved 20 Aunt 21 Where 22 Katie's post 23 NYS due date 24 NYS due date 25 NYS due date for claims 26 NYS due date for claims

Land? What land?

KBair: Don't even *think* about leaving the "recently discovered" tax basis of the land out of the sale of the property! The land is included, and the tax basis of the land has to be included, too, and to just throw away twenty grand of tax basis is .. why, it's almost as bad as sticking your client with gain from depreciation allowable (but not claimed) on the sale of the second half of the property!

Let's see what the collective thoughts are on the Form 3115 recoupability of the omitted depreciation... Let them all take their best shot and then we'll select The Winner.

Are you trying to finish this tax return before tomorrow?

Harry Boscoe

And my recommendation....

My recommendation is to search for an administrator to handle the plan documentation for your HRA. There are legal documents that need to be created and managed. If you or the employer is willing to manage them then you can purchase through a documents company, but you should have third-party adjudication of the medical expenses being reimbursed to the employee. Also, you may want to check into a cafeteria plan, which now allows individual health insurance premiums to be pre-tax through payroll deduction. Again, if you find an administrator that handles these plans, they can give you guidance on what options you have for different situations. If you purchase through a documents company, you may not get customer service where most administrators will work directly with your clients so you do not have to manage the HRA or cafeteria plan.

There's *always* one more typo...

Karen: I fixed the next one.

Harry Boscoe t/a SpellCzech

COD Income

By any chance, was the person referred to you by Dave Fogel?

Death&Taxes 19:56, 14 January 2011 (UTC)

More COD

It amazed me when Dave Fogel said he was referring this person to me re COD since he is more familiar with community property states and this person is from NJ. While I have seen COD, insolvency or bankruptcy has never come into the picture and thus it has been income. The person, a woman, who emailed me had 47K of debt forgiveness and wants to file separate with insolvency being her reason....all the debt was hers and her husband has a sizeable 401K. She wondered what to do about the house when listing assets to prove involvency. Ditto the mortgage.....50-50?????

Oddly last week I attended the NCPE seminar in Atlantic City where COD was discussed, and in their notebook they mention that Separate Property Assets are not taken into account in the debtors insolvency calculation, even if the couple files jointly, and they cite PLR 8920019....this sounds more like it might help you than me.

Here is that Letter Ruling on Legalbitstream: http://www.legalbitstream.com/scripts/isyswebext.dll?op=get&uri=/isysquery/irl8478/2/doc

Death&Taxes 00:37, 15 January 2011 (UTC)

You too

I am from Philly, too.....actually Upper Darby from 1951-98 when late wife and I moved to Kinderhook Township, Columbia County NY (east of Albany and The river....3 acres atop a hill with a small modular ranch on it).....alas she had CHF and passed in 2001. New wife Pam, a north Jersey person, used to go to Mystic Island with her first boyfriend......we drove there last year or so and looked about. She had moved to an adult community in Lakewood just after I met her.....in some ways we are sorry I sold my house in NY (but it was a 4+ hour commute to Philly for clients in tax season) for the house we own now, like so many down here, is built on sandy soil and dates from 1940+.....a money pit. I do miss owning land, and seeing the northern Catskills across The river from my window. Maybe that is why we drove the RV we bought last April to Alaska this past year.

New Jersey 125

They are taxed in NJ......but do remember if filing in NJ for a resident, that insurance is a medical deduction which might garner a deduction for NJ.

Also 403(b) accounts are taxed by NJ....that is a trap when a NJ resident works in NY or another state and has one.

Death&Taxes 22:09, 22 February 2011 (UTC)

Insolvency for Joint Assets

What percent of joint assets(held with wife) did you included in the insolvency calculation ? 50% ?

Thank you Pablo

edited to add: the message above was Revision as of 17:00, 1 April 2011, User:Pschenqu

Pablo

Pablo, tried to find you to respond and cannot. Didn't want you to think I was ignoring you, and hopefully you will come back to my page and see this.

Anything that was jointly held I split 50%. The hubby had a rental that was just in his name and was acquired before his marriage...so that I left out. Hopefully that answers your question.

Thansk! kbairtax

Finding people

If somebody leaves a message on your talk page and doesn't sign with the 4 tildes, try clicking the history tab (top center of page). It shows you all the people who edited/posted, so if you go right now, you'd see my name first, then yours, and then Pablo - who turns out to be Pshengu - I added the user page link/time stamp to the earlier note. Hope that helps.

Trillium 21:26, 2 April 2011 (UTC)

Yes I am still alive.

The last week in March, JR1, Fred, and a few others had a discussion (The end of the Forum) where they made it clear that they didn't appreciate me asking people to use the yellow box or asking for profiles. Other people in that post indicated that they wanted the chance to answer the 'easy questions' without someone directing them to the yellow box.

I decided that I would take some time off from posting to see how frustrated everyone got with people asking the same old questions over and over. It appears that Dave Fogel is the only one who got frustrated answering time and again. It is interesting that I found that those who wanted to step up to the plate to answer questions did not, and several questions went unanswered (well, the answers were in the yellow box but no one bothered to search for the questioner and no one bothered to inform the questioner that the answers were already there). Other posts made by those without profiles (whom I think may have been consumers) were answered, in spite of this not being a consumer site.

So I figure, if other people don't care, why should I? JR and Fred and the others who don't want to use the yellow box are obviously happier at my absence. I stay logged out so that I am not even tempted to answer any more.

Thanks for noticing that I've been missing. Kevinh5

Saving grace indeed!

That's exactly what I would do, Karen. I'd even amend the 06's just to be clear that the real estate isn't in the corp.

Well done. You're a hero, the client can never understand, but I do! JR1Jeff

A sad, sad life

There's always something better to do than work, Karen! C'mon, LIVE! Hot or not...grab a book, watch a movie, take a nap, grab your husband (presuming a Mr. Karen), or play with the dog if there's no Mr. Karen. I just check my usual forums a few times on Sunday's, figured I'd respond since it was an easy one! JeffJR1

Linking

Looks like you got it almost right, you just needed to include Discussion: at the start, before the title and inside the double brackets.

Trillium

Suburban Propane

I am using Proseries, and used their calculation of gain or loss on the partnership. First your Schedule E, Page two will show a loss, non-passive, of 7,148 (I am assuming the $31 was 2009 income). Form 4797, Part II, Line 10 will show ordinary income of 13,126. Proseries marks this 'From K-1' and then Schedule D, Long term will show a long term loss of 17,702, titled Suburban Propane, showing sales price of 31,255 and cost of 48,957 (the ending capital plus the ordinary income reported).

The ordinary income is probably from recapture of 1245 depreciation and other ordinary income deductions.

Hope this helps

Death&Taxes 19:06, 16 October 2011 (UTC)

Suburban

On the K-1 worksheet, click the Quick Zoom under Final K-1, and now make sure you mark block that this is a taxable dispostion (boxes a and 1)....then sale price goes on 5, basis on 7, and ordinary income part (13126) on 9....this should send everything to the proper place (let's not get into AMT).

Death&Taxes 20:52, 16 October 2011 (UTC)

More

I read your message.....the basis is the 35,831 so that on the gain loss line on the worksheet you have a loss, but then when you plug in the ordinary income it will take the numbers as I noted them. Think of it like a depreciation recapture and you will see what I mean by capital loss and ordinary loss......and if it is 2009, you can push it off a couple of days to think about it.

I have many of these from perhaps 5-6 clients who buy them in bulk!!!

Death&Taxes 20:57, 16 October 2011 (UTC)

Suburban....another thought

Another way to think about the profit/loss on this is to think of a 2 person partnership with a profit of 5,000, before a 12,000 guaranteed salary to the working partner. working partner picks up profit of 2,500 + 12,000, or 14,500. Investing partner picks up loss of 9,500 (2500 less 12,000). Same profit, just different allocation. Here you will have the same loss, but with different allocation.....unfortunately unless he has stock gains, the capital loss must be carried over.

Death&Taxes 12:42, 17 October 2011 (UTC)

A topic you posted to recently has been moved

The emailing clients and client consent discussions that were started in the tax forum yesterday were moved over to they Practice Management forum, since they are practice management topics (as defined in the Discussion Forum Index. You posted in at least one of those, and Michaelstar has recently reminded me that it would be considerate to let people know when discussions are moved.

You can still find it via the "my contributions" link in the upper right corner of your screen.

Trillium 12:21, 2 November 2011 (UTC)

Touchee -- I have to agree with yor response although you could go a little softer. I get bad days too. But..to your point..they obviously need 1099's and I spoke with the client and he finally complied. I'll try to stay on target in the future. Have a good tax season and I do appreciate you responding.

Aunt

Karen,

Your first thought is correct - the transaction between Aunt and Niece is outside the corporation. As such, nothing happens to the corporate books. All we have is a new shareholder. That's it. Nothing more. No different than if I buy IBM on the open market. IBM makes no entries on this books as this transaction falls outside of the corporate solution.

Let's say this: APIC is positive $25, RE is negative $13 and Cash is $12k. The Balance Sheet balances. If Cash gets distributed to the shareholder, debit Distributions and credit Cash. Then we close Distributions to RE. RE is now negative $25k. Close the APIC $25 credit balance into the $25 negative (debit) RE balance...and we wind up with nothing on the Balance Sheet.

Ck Ckenefick 18:35, 29 April 2012 (UTC)ckenefick

Where

Thanks for the input Karen. Curious as to what part of NY you are in. And forgive me if I've asked this before. I am a muddle headed one. lol

Fsteincpa 12:12, 30 April 2012 (UTC)

Katie's post

Katie responded to your discussion but then first edited her post when she realized she'd answered a different question than you asked, and then removed the post (probably to avoid distracting from the actual question at hand).

You can click on the "history" tab on your discussion to see the progression. The good news is - the discussion is now back up at the top of the forum index for other new yorkers to see!

Trillium 23:02, 19 May 2012 (UTC)

NYS due date

As Trillium surmised, I deleted my answer to your post when I realized I had answered a different question -- and that I had no idea of the answer to the question you actually asked!

It's clear that the due date of the 2011 return was conformed to by NYS, but like you, I can't find anything on the NYS Department of Revenue web site about claims for refund. In fact, I can't find anything on the IRS web site that says a claim for refund on a 2008 federal return that was filed on or before April 15, 2009 would be timely if filed by April 17, 2012. So alas, I am no help. KatieJ 01:41, 20 May 2012 (UTC)

NYS due date

Karen, where did you find it on the IRS site? If I knew that, it MIGHT help. KatieJ 00:02, 21 May 2012 (UTC)

NYS due date for claims

Thanks for the link to the IR. I went back to the NYS site and looked in some places I hadn't tried before. Alas, it didn't help.

I might suggest attaching a copy of the IR to your response to NY. Can't hurt, might help. KatieJ 20:30, 21 May 2012 (UTC)

NYS due date for claims

I was looking for the same thing -- and didn't find anything. In fact, NYTL Sec. 691(c) says, When the last day prescribed under authority of this article (including any extension of time) for performing any act falls on Saturday, Sunday, or a legal holiday in the state of New York, the performance of such act shall be considered timely if it is performed on the next succeeding day which is not a Saturday, Sunday or a legal holiday. (emphasis mine). There are no TSBs or other annotations under that code section in RIA Checkpoint. Reading that literally, it would indicate that NY would NOT conform to the IRS due date unless the holiday was recognized in the state of NY -- which Emancipation Day is not. Nevertheless, NY DID conform to the IRS extension for 2011 returns -- so why not for 2008 claims?? KatieJ 20:57, 21 May 2012 (UTC)