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    #16
    It's an election year!

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      #17
      Originally posted by ATSMAN View Post
      This is NOT the time to dicker over emission standards etc. We got a GD emergency on our hand that needs immediate attention.
      I don't know what "GD" means, but are you saying we have some kind of tax emergency that needs immediate attention? I thought the issue of tax payments and extensions was already more or less resolved, pending software updates by IRS and our vendors.

      "You said it, they'll never know the difference. Come on, we'll paint our way out!" - Moe Howard

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        #18
        Originally posted by Rapid Robert View Post

        I don't know what "GD" means, but are you saying we have some kind of tax emergency that needs immediate attention? I thought the issue of tax payments and extensions was already more or less resolved, pending software updates by IRS and our vendors.
        Hello anybody home? We are talking about the Cares Act and getting the $1200/$2400 in the hands of taxpayers. The extension matter is old news!

        This is how our state's genius DOR administration is handling state extensions: "DOR is aware that the IRS has issued guidance with respect to tax returns and payments due April 15th. We are working on a plan to provide relief with respect to Massachusetts returns and payments." Is this ignorance or laziness??
        Taxes after all are the dues that we pay for the privileges of membership in an organized society. - FDR

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          #19
          Originally posted by ATSMAN View Post
          Hello anybody home? We are talking about the Cares Act and getting the $1200/$2400 in the hands of taxpayers. The extension matter is old news!
          How is getting money from the federal gubernmint into the hands of workers an emergency for tax professionals? Hello anybody home?, indeed.

          Wouldn't it be something we deal with, if at all, a year from now on 2020 tax returns? There might be a slight planning issue if it is treated as an advance refundable credit with reconciliation, but at that dollar level and time frame I still don't see how it is a tax professional emergency.

          Maybe the "extension matter" isn't really old news if you take states into account? :-)

          For myself, I will rely on TheTaxBook to provide timely updates when things are settled and not just speculative. The Update Service already has several articles about Covid 19 tax related changes. I see I need to read through "Families First Coronavirus Response Act" which is actually a law at this time (update posted on 3/19).

          TheTaxBook does have state by state details (have you ever read the "Tax Patterns for State Returns" document? It's really nice). But it might be asking a lot for day by day updates of each state's response to 2020 filing and payment delays.
          Last edited by Rapid Robert; 03-23-2020, 08:37 PM.
          "You said it, they'll never know the difference. Come on, we'll paint our way out!" - Moe Howard

          Comment


            #20
            My clients consider it an emergency to get their refunds to buy food and prescriptions after getting laid off and are anxious for me to complete their 2019 returns.. But, I consider it important for me to get more sleep to keep myself from getting this virus or any other illness. So, I'm slowing down a bit. If someone needs a 2018 return now, instead of thinking about that a year ago, I will prepare it after I prepare 2019 returns.

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              #21
              How is getting money from the federal gubernmint into the hands of workers an emergency for tax professionals? Hello anybody home?, indeed.
              Perhaps you and I live in a different country but in my area there has been several layoffs at small businesses. I have several clients impacted by this and in particular one family where both husband and wife are in layoff status and their health insurance ends 3/31 and COBRA premiums are $900 per month. They have two small children. One child has a medical condition. It is an emergency for them to get some much needed cash in their hands.

              I am just sick of certain politicians who believe never let a crisis go to waste and make the most political gains from it! The pending bill should have been voted and passed by the weekend and on President's desk on Monday!
              Taxes after all are the dues that we pay for the privileges of membership in an organized society. - FDR

              Comment


                #22
                Originally posted by ATSMAN View Post
                Perhaps you and I live in a different country but in my area there has been several layoffs at small businesses.!
                I'm pretty sure my area is harder hit than yours, since the shelter in place started sooner. I have several members of my immediate family, including one with a one month old child, that are presently out of work.

                My point was, I don't understand why you think your personal opinion about "dicker[ing] over emission standards etc" belongs in a discussion forum for tax professionals. It's funny how some posts that try to introduce accurate facts about tax law (not this thread) are flagged as inappropriate, but your attempt to inject partisan politics gets a free pass.

                "You said it, they'll never know the difference. Come on, we'll paint our way out!" - Moe Howard

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                  #23
                  I guess we have a deal now at least on the Senate bill. Let's hope it is signed into law ASAP!
                  Taxes after all are the dues that we pay for the privileges of membership in an organized society. - FDR

                  Comment


                    #24
                    This is the language in the Senate bill that just passed:

                    Subtitle B - Individual Provisions Sec. 2201. Recovery Rebates for Individuals.

                    This provision would provide $1,200 for singles and heads of households ($2,400 for married couples filing joints returns). The provision also provides $500 per qualifying child dependent under age 17 (using the rules under the Child Tax Credit). A family of four would receive $3,400. Rebates phase out at a 5% rate above adjusted gross incomes of $75,000 (single)/ $122,500 (head of household)/ $150,000 (joint). There is no income floor or phase-in – all recipients will receive the same amounts, provided they are under the phaseout threshold.

                    Tax filers must provide Social Security Numbers (SSN) for each family member claiming a rebate (adoption taxpayer identification numbers accepted for adopted children). An exception on SSN is made for spouses of active military members. The rebates are fully available to residents of U.S. Territories, including Puerto Rico. The rebates will be paid out as advance refunds (in the form of checks or direct deposit) on the basis of taxpayers’ filed tax year 2019 returns (or tax year 2018, if a 2019 return has not yet been filed). Non filers generally need to file a tax return in order to claim a rebate, although IRS may coordinate with other federal agencies in some instances to get checks out.
                    Taxes after all are the dues that we pay for the privileges of membership in an organized society. - FDR

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                      #25
                      So I am assuming these rebates are for filers whether there is a tax liability or not for 2019? If this is an ADVANCE refund, then what happens if it exceeds their liability for 2020? Payback?

                      Comment


                        #26
                        Originally posted by FEDUKE404
                        Is this payment scenario not unlike something that existed in the early Obama years?
                        If so, I foresee next spring another huge increase in client complaints when their "refunds" shrink and they can't quite figure out that they already received a large part of same in the late spring of 2020.
                        FE
                        And we still don't know if this reconciliation is going to be based on 2020 Income Tax Liability or Total Tax Liability (which includes self-employment taxes.)

                        Comment


                          #27
                          So we are not quite sure if these payments are advances on next year refunds, to be reconciled next year ? Simply, do you think these will have to be paid back. Or paid back only if the taxpayers income exceeds the threshold in 2020 ?

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                            #28
                            I believe in 2020 return the reconciliation will be based on 2019 figures because the payment was based on 2019 if available or 2018 if not available at the time payments were calculated.

                            So it is very possible that based on 2018 figures a person qualified and got paid now BUT when 2019 return is filed 7/15 their AGI was higher and they don't qualify. So now what to do? Do the they have to pay back 100% or a portion keeping the min $600 that was in the bills language before??
                            Taxes after all are the dues that we pay for the privileges of membership in an organized society. - FDR

                            Comment


                              #29
                              Wait until it's a law!

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                                #30
                                I am concerned about all those NRTF returns that don't show anywhere like my 70+ year olds.

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