Puiblic embarressment-nt

[New York Enrolled Agent]

Maybe that having to file a Schedule C was the reason that a paid preparer had to be used. He might have been able to self-prepare his own return.

I have clients that for years filed their own return without any C, E, or F. Then when they added a Schedule C, E, or F they needed assistance because of depreciation or Schedule SE and just wasn't sure, I would put the total prep fee on that schedule.

Your argument might have some credence in your scenario ( though RevRuling 92-29 probably suggests otherwise) but looking at the returns prior to any Schedule C on these returns, it seems significant tax prep fees were listed on Schedule A for the Pence returns. Given the dollars involved in the income for Schedule C business versus other income on the return, I think Kathy's point is well taken.

[Jiggers]

I love to peruse the candidates tax returns. In most years the firm that prepared Pence's returns took the entire prep fee of 600-800 as a deduction on his wife's small Sch C which had average revenue of around 1K per year. Ooops!

Maybe that having to file a Schedule C was the reason that a paid preparer had to be used. He might have been able to self-prepare his own return.

I have clients that for years filed their own return without any C, E, or F. Then when they added a Schedule C, E, or F they needed assistance because of depreciation or Schedule SE and just wasn't sure, I would put the total prep fee on that schedule.

[kathyc2]

I love to peruse the candidates tax returns. In most years the firm that prepared Pence's returns took the entire prep fee of 600-800 as a deduction on his wife's small Sch C which had average revenue of around 1K per year. Ooops!