I have always done my own tax returns, but this year the numbers involved
were rather higher, so I figured it would be worthwhile to make sure it was
done correctly.

I gathered up and organized all the documents, and input them into TaxCut.
There was W2 income, 2 self employment incomes (but no expenses for either),
4 investment accounts, and one limited partnership; as well as a state
return. It probably took me about 3 or 4 hours. I then gave it all to an
accountant.

He changed 4 things from how Taxcut had them (one change turned out to be
incorrect) and came up with a tax amount that was 0.3%% higher than taxcut.
Assuming there was nothing extraordinary beyond what I already mentioned,
what would a reasonable cost be for these services. $50? $500? $5000?
(As you might have guessed from my first post a couple days ago, we
discussed estimated taxes only because I asked, and he said I would have
enough W2 withholding to put me into safe harbor.)

As a follow up question, if audited, does the IRS find errors in the
taxpayer favor or do they ignore those? NYS just mailed me $250 because I
misrecorded the amount of estimated taxes I paid, so I over paid $250. I
thought that was pretty decent; does the IRS do the same thing?

CCH TAX NEWS for May 16, 2008

FEDERAL NEWS

Senate Sends Farm Bill to White House
http://tax.cchgroup.com/news/headlines/2008/nws51608.htm#1

Ways and Means Committee Adopts Tax Extender Legislation
http://tax.cchgroup.com/news/headlines/2008/nws51608.htm#2

AMT Assessments Arising from Disallowed NOL Carrybacks Timely;
Limitations Period Began with Loss Year, Not Carryback Year (Nemitz,
TC)
http://tax.cchgroup.com/news/headlines/2008/nws51608.htm#3

Innocent Spouse Claimant May Introduce New Evidence in Tax Court
(Porter, TC)http://tax.cchgroup.com/news/headlines/2008/
nws51608.htm#4

STATE NEWS

California --Sales and Use Tax: Governor Presents Revised Budget
Proposal
http://tax.cchgroup.com/news/headlines/2008/nws51608.htm#5

New Jersey --Corporate Income Tax: Taxpayer Could Not Apportion Income
http://tax.cchgroup.com/news/headlines/2008/nws51608.htm#6

I filed an extension for 2006 and then filed my 2006 complete return
about a week before the extension ran out in the fall. I just got a
notice yesterday that they never got my return. I went through my
records and checked my bank account and sure enough there never was a
deposit for the small amount I was supposed to get back.

The kicker is i am applying for a mortgage and they are going to fill
out the form to request transcripts. I dont think I can efile the
2006 return. What is the quickest way to get it in the system?

--
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How does one terminate a California C Corp ?

1. for the IRS..
What forms ( form numbers ) should one use ?

2. For California
What forms ( form numbers ) should one use ?

Also any input on how easy / difficult it is.... would be great.

Regards,
Irfan Smith

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An editor with a technical question: In an article about place of
employment vs. place of residence, we have an example of an employee
who lives full-time in New York State but works full-time in an office
in New Jersey. One expert told me he pays all state income taxes to
New York as his place of residence. Another told me the exact
opposite: all taxes to New Jersey as place of employment.

For the purposes of this article, there are no extra details: the
employee does not have a pied a terre in New York, nor does he do any
work, freelance or otherwise, from his home.

Any thoughts?

If it seemed like they might be necessary, would you bring up the issue of
estimated quarterly payments for the coming year with a client, or would it
be his responsibility to ask about them as they are not part of preparing a
tax return?

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<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
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<< to this newsgroup as well as our anti-spamming policy >>
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<< Copyright (2007) - All rights reserved. >>
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CCH TAX NEWS for May 15, 2008

FEDERAL NEWS

Farm Bill Conference Report Heads to Senate After Overwhelming House
Vote
http://tax.cchgroup.com/news/headlines/2008/nws51508.htm#1

Ways and Means Panel Set to Markup Tax Extenders Bill
http://tax.cchgroup.com/news/headlines/2008/nws51508.htm#2

STATE NEWS

Arizona --Corporate Income Tax: Out-of-State Franchisor Had
Substantial Nexus With State
http://tax.cchgroup.com/news/headlines/2008/nws51508.htm#3

Georgia --Sales and Use Tax: Tax Holidays Scheduled
http://tax.cchgroup.com/news/headlines/2008/nws51508.htm#4

Wisconsin --Multiple Taxes: Legislature Passes Budget Repair Bill With
Related Entity Addbacks
http://tax.cchgroup.com/news/headlines/2008/nws51508.htm#5

Missed a headline? Click here to review last week's tax news
http://tax.cchgroup.com/news/default.asp?PageID=4

Has anyone heard of any case scenarios where business meals are 100%%
deductible; such as, strategy meetings or on site/working meetings?
I'm familiar with the limitations around employee meals and which are
100%% deductible. However, this would be with current and/or
prospective clients. Thx.

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<< The foregoing was not intended or written to be used, >>
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<< that may be imposed upon the taxpayer. >>
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After surgery, the surgeon told me I could not use my lawn tractor to
mow my lawn for this year. As a result, I hired a lawn mowing service
for 2008. Hopefully, in 2009 I'll be allowed to use the tractor again.

I would think that the expense of the lawn mowing service is not
deductible in 2008 but I thought I would check the experts in this NG
just in case you all thought it might be allowable.

TIA for your help.

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<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
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<< The Charter and the Guidelines for submitting posts >>
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<< Copyright (2007) - All rights reserved. >>
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If person dies in 2004, and estate distributions are made in 2007 and 2008,
which year is the estate tax rate applied to?

tks all

bw

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<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2007) - All rights reserved. >>
<< ------------------------------------------------------- >>