Joan ...
I did not want to detail all of info so I just summarized what the gross income was and the loss before adjustments. Yes you are correct about the estimation of adjusted losses, which would not equate to SE income. This is my argument to the auditor; I sent a letter to her asking to explain the concept behind her calculations.
This person was ignorant with regard to tax preparation and the nuances that came with the tax law and preparation of her return. This is a hard lesson and I am counseling her along the way about how this sort of stuff should be addressed each and every day of the year with regard to effective record keeping and reporting to the IRS at the end of the year.
My client really does not at this writing have the proper receipts and invoices to back up her deductions in question. However, I am going to work with her to cull the info needed, if available, to hopefully produce something. My last resort is affidavits which has been suggested by the PPC Tax practice series. So I am hoping that this will be doable based on the book's suggestion.
Thanks for the comments; it does help.
rfk
I did not want to detail all of info so I just summarized what the gross income was and the loss before adjustments. Yes you are correct about the estimation of adjusted losses, which would not equate to SE income. This is my argument to the auditor; I sent a letter to her asking to explain the concept behind her calculations.
This person was ignorant with regard to tax preparation and the nuances that came with the tax law and preparation of her return. This is a hard lesson and I am counseling her along the way about how this sort of stuff should be addressed each and every day of the year with regard to effective record keeping and reporting to the IRS at the end of the year.
My client really does not at this writing have the proper receipts and invoices to back up her deductions in question. However, I am going to work with her to cull the info needed, if available, to hopefully produce something. My last resort is affidavits which has been suggested by the PPC Tax practice series. So I am hoping that this will be doable based on the book's suggestion.
Thanks for the comments; it does help.
rfk
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