Nightmares

[veritas]

Some weeks ago I prepared a return for a friend. Nothing special about it just wages and qualified for EIC. About three nights ago early in the wee hours of the morning I awoke. What was different this time, I awoke recalling a very vivid dream where I was looking at my friend's W2 which had advance EIC on it.

When I got to work that day I looked at the return and the offending W2 and discovered that I had in fact not accounted for the advance EIC.

I promptly amended the return.

I have worked out vexing problems in dreams before but this one puts a new wrinkle on things

[S T]

Gotta Luv

I think most of us here, all eat, sleep and whatever tax issues, at least during the tax season.

All of those returns that we do and then go to sleep and wake up the next morning wondering if we did it right, did we sign the returns we sent out yesterday and the multitude of other items, that go along with the filings.

But then there have been many nights that I awake and all of a sudden have found an answer to a perplexing tax problem that I had been mulling over for days, and somewhere in my dream and sleep state, the answer rang clear, well at least clear for me. My poor husband has been awakened several times when that has happened.

Do you think that maybe we as professionals and tax preparers are a little overtaxed!

Veritas, at least you caught the error and corrected it as soon as possible, so that is a positive, let us hope you don't have too many more of these kind of sleepless nites.

Sandy

[DTS]

Problems

Many times, I'll wake up and the answer came to me in sleep. It's wonderful, I think. It's a state we should understand about ourselves.

The other day, my eyes were so tired, as was I, so decided to take 15-20 minutes to refresh myself on the couch and get away from returns for a few. Went out immediately and in no time, I was dreaming that a client and I was in my backyard. He came over to me and put his hands on my shoulders and I thought he was going to tell me what a great job I did on his return. No. He kneed me, you know where and when I doubled over in shock and pain, he gave it to me in the chest and then the head. The last words in my dream I heard was his wife yelling at him to stop punching me in the face.

Got up and thought it was time for a couple cups of coffee! So much for quiet time.

Dennis

[Koss]

Advance EIC

Some weeks ago I prepared a return for a friend. Nothing special about it just wages and qualified for EIC. About three nights ago early in the wee hours of the morning I awoke. What was different this time, I awoke recalling a very vivid dream where I was looking at my friend's W2 which had advance EIC on it.

When I got to work that day I looked at the return and the offending W2 and discovered that I had in fact not accounted for the advance EIC.

I promptly amended the return.

I have worked out vexing problems in dreams before but this one puts a new wrinkle on things

That's a great story. I'm sure the neurologists would explain it by hypothesizing that you "saw" the advance EIC when you did the original return, but your mind didn't register it... later, when your mind was at rest, you were finally able to process the information.

And that's probably what really happened. But there could be more to it.

You see, now, you can legitimately say things like:

"This return is so simple, I could do it in my sleep."

or

"I'm not really sure how to report this item. Let me sleep on it."

and

"I've been doing this for so many years, I even do taxes when I'm dreaming."

It could also be some sort of divine message about the stimulus payment...

'cause when you read the ESP legislation, the stimulus check is really just...

well, it's an advance on a credit that will be available on the 2008 tax return.

Isn't that an awful lot like advance EIC??

[SueBaby]

Some weeks ago I prepared a return for a friend. Nothing special about it just wages and qualified for EIC. About three nights ago early in the wee hours of the morning I awoke. What was different this time, I awoke recalling a very vivid dream where I was looking at my friend's W2 which had advance EIC on it.

When I got to work that day I looked at the return and the offending W2 and discovered that I had in fact not accounted for the advance EIC.

I promptly amended the return.

I have worked out vexing problems in dreams before but this one puts a new wrinkle on things

In the quite hours of sleep I do my best taxes. Or I should say my mistakes. Some stranger in town will talk of something and I would 'think' that would be good on her taxes. When do we STOP taxing?

[MRTAX4EA]

Software didn't catch this

I am wondering what software you were using and why the software didn't catch this?

I greatly identify with the comments on this thread. My wife thinks I am crazy when I get excited seeing advance proof copies of tax forms!

[Jesse]

Some weeks ago I prepared a return for a friend. Nothing special about it just wages and qualified for EIC. About three nights ago early in the wee hours of the morning I awoke. What was different this time, I awoke recalling a very vivid dream where I was looking at my friend's W2 which had advance EIC on it.

When I got to work that day I looked at the return and the offending W2 and discovered that I had in fact not accounted for the advance EIC.

I promptly amended the return.

I have worked out vexing problems in dreams before but this one puts a new wrinkle on things

I had the same nightmare but w/ box 10 dependent care! Makes me feel like such an idiot. I have a note on my monitor to remind me check EVERY box on W-2 - seems so simple but it basically reminds me to slow down! I let the client rush me, not that this is an excuse as it was still my error, but I try not to let the client rush me because that is when I tend to make a stupid mistake as such.

[Richcpaman]

That's and EXCELLENT reason to have them come back the next day.

Errors like the Advance EIC issue are the reason that I never interview/release/complete/review a return all in the same day. I always wait a day.

Client in a hurry? Fine. But they are not going to pay me to do it twice.....

Rich Graves, CPA

[Gretel]

Some weeks ago I prepared a return for a friend. Nothing special about it just wages and qualified for EIC. About three nights ago early in the wee hours of the morning I awoke. What was different this time, I awoke recalling a very vivid dream where I was looking at my friend's W2 which had advance EIC on it.

When I got to work that day I looked at the return and the offending W2 and discovered that I had in fact not accounted for the advance EIC.

I promptly amended the return.

I have worked out vexing problems in dreams before but this one puts a new wrinkle on things

Why do you call this a nightmare. You got warned and protected. I believe this is the only reason to do a good job with so many rules and things to watch out for. Nobody can do this alone.

[myerstaxes]

That Box 10 is My Nightmare

A couple of years ago I forgot the dependent benefits in box 10...Well of course IRS caught up with it and sent the client a notice...Boy was he mad!! I paid the penalty and interest of course...I found out later that he is bad mouthing me that I do not know what I am doing...I use a highlighter now for everything on that darn W2!!

Last night a client called me and said she received a letter from IRS that they owed $33K in taxes for underreporting $95K...I thought I would have a STROKE!!!...Turns out that she sold some stock (the sale of course is not in my files) I recorded some other sales they had, but they said that was all...Turns out she thought because she invested the $$'s in some other securities that she thought that it was just a rollover like an IRA...I told her we could fix it (she was in stroke mode too!) just get me the basis and we would prepare the Corrected Schedule D...WHEW!!! That was scary for a moment, as I wondered how on earth did I miss $95K in income on that return...That was one I went over and over because they had so many transactions, and 1099Rs and just messy...

[taxxcpa]

Non-IRA rollovers

Often people switch from one fund to another in a mutual fund family and think they haven't had a transaction.

Others seem to think that the entire sale of stock is all I need to do the return since I should know what they paid for it ten years ago.

Almost everyone thinks they have to pay tax on inheritances.

[zeros]

Advanced Earned Income Credit

Is there a block on the w-2 that indicates this?

[DTS]

zeros

Is there a block on the w-2 that indicates this?

W-2, Box 9

[oceanlovin'ea]

Would IRS catch this?

If we make a mistake on the amount of withholding on a return, the computers will catch it when it processes with IRS.
If they have the W-2 information, I am wondering if the omission would be caught and they would actually get the correct amount of refund.

Linda

[Super Mom]

I thougt there was something unique about the fact that I prepare tax returns in my sleep. There's nothing like a problemed return to keep you dreaming all night!!! I too have gotten the answer to tough questions and saw the need for ammendment and recheck in my sleep!!