AARP Tax Preparation

[Burke]

My state didn't help matters at all this year. They sacked their direct free e-file program (to save money) and are sending letters right and left that the client probably qualifies for "free efile" with certain vendors based on their "income." Problem is, this state starts with federal AGI and they don't have a clue what happened to get to that point. So my client with 3 rental properties, depreciation, etc, etc gets one of these, along with lots of others. I am still doing all these people, they just put the letter in with the papers, some of them don't even read it.

[oceanlovin'ea]

Friend out of state emailed me to ask about amending an already filed return. Young man of foreign descent went online and used one of the "free" efile sites to file his return. He is married and has 2 children and he filed HOH. He got a refund on his federal but the state says he owes them money. He didn't print a copy at the time he did the filing and can't get a copy now.
The "free" program will amend the return for $19.95 which he doesn't want to pay. My friend will do a 1040X for him. She seemed to know how to do it just wondered if a copy of the original needed to be sent with the amended.

But will people ever learn........FREE doesn't always mean FREE. If you don't know what you are doing, it will be wrong.

Linda, EA

[Jesse]

Volunteers were accounting students from nearby colleges, some retirees and other interested individuals.

That's how I got my feet wet!

[taxmandan]

And then they are restricted to preparing pretty basic returns - no depreciation, no complex investments, not even Roth conversions.

I'm not sure who does the restrictions, but I've had to fix VITA returns that included Sch. A, B, E, K-1, and should have had a Sch D. And there appears to be no training for state income tax laws at all! VITA is for the poor or elderly, NOT. I amended a return from them that had AGI of $87K+. They'll take anything and screw it up.

[BOB W]

It looks like TT is the HOT button for the last 2 years(+). I have lost 110 (simples) clients over that time.


I had one call me because she didn't know how to handle a sale of stock. She wanted me to review the return. I told her I could only review a "Filed" return after 4/18/11 because I would be required to sign any return that I reviewed prior to its filing AND I would have to prepare any return that I signed.

She already paid TT for the return so she would have to also pay me to do her return. she said she would get back to me........She didn't......................

[mactoolsix]

And . . when he sends you his 2010 Turbo Tax

Could you please do a "courtesy review"?

Just had another client tell me that they are filing on Turbo Tax, but then had so many questions and wanted some of my personal worksheets to arrive at calculations on the 2009 return. (I alrady provided the client with "detail" sheets that my software generates. Oh and can I upload a "data" file so they could upload to Turbo Tax for prior history! I think not!

Grrr!

Sandy

[death&taxes]

After 20 plus years in the tax prep biz I volunteered for 2 seasons in a VITA program before moving on to another tax prep business. The volunteers in VITA were sincere in their willingness to help others but pretty incompetent in general. Volunteers were accounting students from nearby colleges, some retirees and other interested individuals. It was difficult to overhear interviews by folks who did not understand the basic requuirements for qualifying child, qualifying relative, filing status and earned income credit. I tried to help out where I could, but felt the director of the program was also pretty useless and kept using "older" dependency rules. VITA was fine for the 2 W-2 return - single or married no kids return. I think the college kids did the traininging and only volunteered for 2 three hour shifts so they could put VITA volunteer on their resumes. Six hours of tax preparation experience does not make you a tax professional or a valuable volunteer for that matter!

[DonPriebe]

I think it is great for professional preparers to donate their time if they are so disposed to assist the elderly poor and infirm. I am concerned about the volunteers taken off the street and attempts made to present them as qualified tax preparers to every AARP member who is a certain age. And why the same requirements are not expected of them as are the rest of us registered, enrolled, certified tax preparers.

Of course right now the only requirement to be a registered tax preparer is $64.50. New York State has a higher requirement - $100. We'll have to see what the actual requirements are after the IRS defines the test for registered tax preparers later this year.

[I'll gladly concede that a six-hour refresher course for volunteers seems inadequate compared to the 15 hour CPE requirement proposed for registered tax preparers. Locally our refresher course runs 2-1/2 days, but that includes state taxes and the IRS/AARP mandated checklists and statistical reporting.]

[Burke]

I think it is great for professional preparers to donate their time if they are so disposed to assist the elderly poor and infirm. I am concerned about the volunteers taken off the street and attempts made to present them as qualified tax preparers to every AARP member who is a certain age. And why the same requirements are not expected of them as are the rest of us registered, enrolled, certified tax preparers.

[DonPriebe]

Judge for yourself

The IRS volunteer test is posted at http://www.irs.gov/pub/irs-pdf/f6744.pdf

AARP volunteers must pass the Basic, Intermediate and Advanced portions of the test. And then they are restricted to preparing pretty basic returns - no depreciation, no complex investments, not even Roth conversions.

Don
AARP volunteer instructor and preparer in the morning
Paid preparer (EA) in the afternoon

[S T]

What about

Making it mandatory that the taxpayer attend a class before they prepare their tax returns on Turbo Tax - What a concept!

Maybe then the taxpayer would not think it was so easy!

Just had another client tell me that they are filing on Turbo Tax, but then had so many questions and wanted some of my personal worksheets to arrive at calculations on the 2009 return. (I alrady provided the client with "detail" sheets that my software generates. Oh and can I upload a "data" file so they could upload to Turbo Tax for prior history! I think not!

Grrr!

Sandy

[AZ-Tax]

PTIN fees, new testing requirements, new CE hours

So how exactly is going to work when these volunteer tax preparers prepare taxes......I know, they are not paid........ Good time for the CPA's, EA's & RTP's go on ad blitz.....with the NFL...No Free Lunch

[dtlee]

I have seen two such returns this year....amended both.

[Burke]

I have heard that the standards for the first test for currently un-enrolled preparers will be similar to those of this program.

I doubt if enrolled preparers will be able to get away with continuing education requirements of 6 hrs a year.

[erchess]

Lol

I have heard that the standards for the first test for currently un-enrolled preparers will be similar to those of this program.