Mail Problems

[Black Bart]

Just wondering how many other preparers had trouble last year with their mail getting through. Soon I will have to mail several packages of original 1099/1096/W3/W2s to clients for their signatures and for them to mail and I'm getting leery about USPS. I've had more lost and delayed mail incidents this past year (six so far) than in the previous 30. I also received mail that didn't belong to me twice and I know the electric company did not forget to send me a bill last month.

I sure would hate for all those social security numbers to fall into the wrong hands. Guess I'll send it all certified with return receipt although I'm not so sure about that anymore -- if I don't get the green card back, who knows, client may have gotten the package but somebody else got the return card.

Just noticed though that my program has an option to partially mask the numbers, so maybe I'll do that. Don't like to though 'cause lots of construction biz clients get wrong numbers, the sub-contractors notice, call, and I correct the original 1099 I told client to hold until 2-28. If I asterisk out most of the number the contract workers won't know if it's wrong and then I'm dealing with IRS letters 1 1/2 years later.

Why, oh why, did the government ever try to make USPS a semi-private company that must show a profit? If they had just let the bloated, overpaid, inefficient bureaucracy alone then it could have -- like any typical government operation -- continued to lose money without a care in the world and give mostly decent service with cost no object and red ink be ****ed.

[JohnH]

Bart: I had no problems with the USPS last year. I mail at least 50-60 personal returns to the clients, and all my clients mail their returns to IRS for filing since I still don't e-fling the things.

I mail payroll tax reports to my accounting clients as well, and they mail them on to the various agencies after they sign them.

The only mailing problem I've experienced is the occasional client who mails their check to me and it somehow mysteriously disappears. At least that's their story and they're stickin' to it.

[S T]

I have not had any issues either - generally use USPS and for a lot of returns use the "flat rate" priority without certified - generally 2 day delivery from East Coast to West Coast.

Sandy

[ATSMAN]

I am hoping this tax season i don't have any mail related issues. I use USPS priority mail flat rate package exclusively to send tax related material to my out of state clients. My mailman brings me the supplies and picks up my packages so that i do not have to leave my office.

I just mailed out the organizers for about 20 clients using first class mail and it appears most of them have been delivered.

[FEDUKE404]

Efile and postage issues

... I mail at least 50-60 personal returns to the clients, and all my clients mail their returns to IRS for filing since I still don't e-fling the things...

How do you get away with NOT efiling in view of the current IRS efile rules for preparers, specifically avoiding Form 8948 or perhaps Form 8944 ? ? ?

As for the (USPS) mail service, I've had absolutely zero problems. Many of my clients are of the "mail" type and they send me tax information in everything from normal envelopes to large mailers. For those who send checks (as opposed to direct transfer to my bank account) the checks have all arrived in a timely fashion. I do not accept any credit cards.

Even though virtually all of my clients now efile (keeps the IRS off of my back!), I frequently return their records/tax returns in a one-size-fits-all Priority Mail flat-rate envelope, which I think now costs $5.60 ("any weight - any destination") and also includes free tracking and some insurance. There are also several sizes of flat-rate boxes when more capacity is needed.

FE

[JohnH]

How do you get away with NOT efiling in view of the current IRS efile rules for preparers, specifically avoiding Form 8948 or perhaps Form 8944 ? ? ?

As for the (USPS) mail service, I've had absolutely zero problems. Many of my clients are of the "mail" type and they send me tax information in everything from normal envelopes to large mailers. For those who send checks (as opposed to direct transfer to my bank account) the checks have all arrived in a timely fashion. I do not accept any credit cards.

Even though virtually all of my clients now efile (keeps the IRS off of my back!), I frequently return their records/tax returns in a one-size-fits-all Priority Mail flat-rate envelope, which I think now costs $5.60 ("any weight - any destination") and also includes free tracking and some insurance. There are also several sizes of flat-rate boxes when more capacity is needed.

FE

No need to worry about the e-flinging mandate if you file Form 8944 and obtain a waiver. It's actually pretty easy to do; I just completed mine for the 2015 year and will mail it in next week. I don't charge the client for attaching the 8948 to their return - it's an extra form, but I'm glad to do it for them (and for my own benefit)

[FEDUKE404]

Cannot efile ?

No need to worry about the e-flinging mandate if you file Form 8944 and obtain a waiver. It's actually pretty easy to do; I just completed mine for the 2015 year and will mail it in next week. I don't charge the client for attaching the 8948 to their return - it's an extra form, but I'm glad to do it for them (and for my own benefit)

So what exactly do you enter in box 7, box 8, and box 9 of Form 8944 in order to justify your personal "hardship" for not efiling to include the "50-60 personal returns" you previously cited ?

One of us must not be reading the current IRS regs regarding mandatory efiling properly.

(I think I'd just rather efile instead. . .)

FE

[Black Bart]

...As for the (USPS) mail service, I've had absolutely zero problems...

"No Problems" Duke, eh?

Dang! Misery loves company and I can't find any. Our mail went to a local center until last year when they switched everything to Memphis and its new, unimproved delivery. Oh well; congratulations on the good service, but I never expected to hear you holding up for an outfit that you usually regard as paleolithic paper pushers .

So what exactly do you enter in box 7, box 8, and box 9 of Form 8944 in order to justify your personal "hardship"...One of us must not be reading the current IRS regs regarding mandatory efiling properly...

Gosh, which one could it be? I'll stay tuned.

[Snaggletooth]

We're All Different

Duke, not all of us run our shop the way you do. Or me either, for that matter. Or anyone else. Some of us can get abrasive too
when we read a such a post.

I, too, have clients who do not wish to electronically file. And I don't think they need a reason. There is, for example, a line for
religious reasons. Most of mine state they don't want an electronic trail to their finances. Perhaps the best reason I can think of are
the people who feel they are legitimately entitled to claim a dependent but their ex-spouse races down to a storefront preparation
company as soon as W2s come out and beats to the punch.

By the way, whaddya think of David Cutcliffe. Wish we still had him at Tennessee.

[Kram BergGold]

Back to teh Topic

I only have a problem senidng to one zip code. Three envelopes I have mailed in the past 2 years have gone to Jamaica. So from now on all mail to that zip code will be sent Priority Mail so I can track it. If you are having issues then pay the extra cost for sending Priority.

[JohnH]

So what exactly do you enter in box 7, box 8, and box 9 of Form 8944 in order to justify your personal "hardship" for not efiling to include the "50-60 personal returns" you previously cited ?

One of us must not be reading the current IRS regs regarding mandatory efiling properly.

(I think I'd just rather efile instead. . .)

FE

I just tell them the truth. I enter the total number of returns I prepare. I line through the word "file" on the 8944 and change the word to "prepare". Then in the explanation section I tell them I prepare the returns and deliver them to the client via mail or pickup/delivery in order for the CLIENT to file the return. I also tell them I'm approaching retirement and I am scaling back. I don't know which of those is the most relevant information, although I have my own theories about it. I do know each of my applications has been filled in truthfully, it has been approved, and I receive a waiver number each year. As long as that continues to happen I'll continue to prepare returns. If my application is ever denied, I'll have to make a decision on whether to pull the plug or jump on the e-flinging bandwagon.

[ATSMAN]

Here is a suggestion. Try it. I was told by a client (a postal worker) to use Zip+4 where possible. You can go to the USPS site and verify an address and get zip+4.

In my town we have 2 post offices. One of them is actually a regional sort center. I always drop my business mail in that post office (a 3 mile drive). I find I can get a first class letter to my clients the next day most of the time.

[JohnH]

That's a great suggestion about the Zip+4. I always use it on everything I mail out. Some time after IRS introduced it, i decided to test the Zip+4. I traveled around quite a bit at the time, so I'd take a few envelopes with me which had absolutely nothing on the outside other than the Zip+4. No name, no address, no return address, etc. I'd drop them in mail boxes in various states and locations. Every one of them showed up in my mail within a day or two.

The USPS has a locator for finding the Zip+4 for any address.
I have it bookmarked on my computer.

I enter address, city, and state (but not the zip) and see what it returns.
In addition to giving me the +4, it also tells me the proper zip code.
It's interesting how many times people will accidentally give you the wrong zip code.

https://tools.usps.com/go/ZipLookupAction!input.action

[ATSMAN]

Zip+4 Best thing since sliced bread!

I use zip+4 now for all USPS mail. If USPS wants to promote its usage they should keep the old first class rate for people using zip+4!

Just picked up 100 Forever stamps on Friday before the price increase on 1/26.

[FEDUKE404]

About those relevant efile rules

Duke, not all of us run our shop the way you do. Or me either, for that matter. Or anyone else. Some of us can get abrasive too
when we read a such a post.

I, too, have clients who do not wish to electronically file. And I don't think they need a reason. There is, for example, a line for
religious reasons. Most of mine state they don't want an electronic trail to their finances. Perhaps the best reason I can think of are
the people who feel they are legitimately entitled to claim a dependent but their ex-spouse races down to a storefront preparation
company as soon as W2s come out and beats to the punch.

By the way, whaddya think of David Cutcliffe. Wish we still had him at Tennessee.

I am always impressed how some participants on these boards take personal umbrage at comments made. Guess it might now be appropriate for me to push that "abrasive" button for a bit:

FOR THE RECORD: It is my understanding that the IRS has, among other things done to tax preparers in recent years, placed a requirement that any preparer who prepares more than ten returns must efile all tax returns. In absence of doing such, the preparer must "justify" to the IRS his/her reason for not following that protocol. Hence, enter Forms 8944 and/or 8948. It is also my understanding that merely stating (perhaps erroneously?) that "the taxpayer chose to file this return on paper" cannot be routinely used as a convenient excuse for all returns....and could be subject to reviewable proof provided by the tax preparer. A client statement of some sort may even be required? (I have not yet had to cross that particular bridge.)

If "cite" (non-fragrant or otherwise...) is still a banned phrase here, the following "information" is hereby offered:

INFORMATION ITEM #1: Starting January 1, 2012, any tax return preparer who anticipates preparing and filing 11 or more Forms 1040, 1040A, 1040EZ and 1041 during a calendar year must use IRS e-file (unless the preparer or a particular return is administratively exempt from the e-file requirement or the return is filed by a preparer with an approved hardship waiver).

INFORMATION ITEM #2: Even if you are an authorized e-file provider, clients for whom you prepare one of the returns identified above may choose to file on paper if the return will be submitted to the IRS by the taxpayer. As described in Rev. Proc. 2011-25, tax return preparers in this situation should obtain and keep a signed and dated statement from the client. (See http://www.irs.gov/pub/irs-drop/rp-11-25.pdf , specifically page 5.)

If there are legitimate religious reasons against not paper filing, that is fine. (Also another bridge I have not crossed.)

For better or for worse, that is my understanding of "the rules." Whatever someone else chooses to do has absolutely zilch to do with "how I run my shop," although I will admit that I do my very best to "run my shop" in full compliance with IRS regulations in place. As for clients erasing an "electronic trail to their finances" by not efiling, I find that reasoning borderline ludicrous. I assume someone living in a cave without credit cards, bank accounts, social security records, medical records, and other stuff could perhaps live incognito without any electronic trails. Of course, this same person who paper filed would also have to assume nothing was ever entered into the nationwide IRS computers. As they say on TV.... REALLY?!?

Regarding Coach Cutcliffe, from all I've seen he is a class act and generally respected by all. The NCAA needs more coaches like him.

Peace.

FE