Possible additional deductions coming

Technical topics regarding tax preparation.
#51
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Frankly wrote:
novacpa wrote:Your "Capitol Hill Connections" didn't know about this? "Virtually Zero"...hahahaha
It has been widely reported that with the passage of the tax bill, extenders were virtually dead.


"Widely Reported". Riiight.

In the Trump era anything to do with anything is ALWAYS reported with a political slant against him whether it's an insider or an actual reporter. If somebody has inside sources they really need to understand their politics. If they're against the prez I wouldn't believe a word they say. These extenders were discussed at the Drake seminar I attended last December. It was known that these extenders were not included BUT it was also assumed that these would get done and it would be at the very last minute.

We had meetings in the office to make sure to be aware of these items for the few early filers who've come in and we've been holding a few of them back just for this issue. Frankly (no pun intended) it just didn't make sense that these would be allowed to die. Imagine the headlines: "Family lost their home and now has to pay TWENTY GRAND in taxes". All because the COD income exclusion for a foreclosure didn't get extended. For something like that everybody would get hammered not just Trump.

The same thing will probably happen with a corrections bill for the TCJA. It will get attached to something much bigger and may not get reported either until it's done but it will get done.

Bob
 

#52
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This is absolutely absurd that this was allowed to happen. What do these people do all year that they couldn't figure out the 2017 tax code and they made a major change in the middle tax season. I can't believe i'm going to have to amend some returns that would have benefited from things such as the college tuition deduction and Mortgage Insurance deduction.
 

#53
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Sorry, it's not absurd it's been SOP for several years now. When you have both sides doing everything they can to completely torpedo the other side EVEN WHEN WHAT THEY'RE ARGUING IS AGAINST THE EXACT SAME THING THEY WERE PROMOTING just a few months ago this is what happens. Call it absurd if you want, that's the reality of it.

Keep this in mind next year and ignore the tea leaves readers. When we go to our CPE seminars the presenters are insiders who have connections in DC. They usually get the scoop and pass it along to us. Well, forget it. They no longer know what they're talking about because their sources are either so partisan you can't believe anything they say or they will get blindsided along with everybody else.

Bob
 

#54
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Even though the President signed it on February 9, the software I use, ProSystemFX, will not yet process a return for efile, that has the mortgage insurance premium deduction. I get a message the deduction is not allowed while they're waiting for further guidance from the IRS.

The planes continue to circle the airport waiting to get clearance to land. The gift that keeps giving.
 

#55
jon  
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Ultra tax gave us an explanation already discussed that said they could not do anything until the IRS said to do it - IRS said we do not plan on doing anything until May. I sent my two with mortgage insurance in last night and they were accepted. I think here in MN it is impossible to get anything accepted with 100% bonus.. Can they make this anymore fun!!??? The two accepted I am sure will not give A deduction for the insurance.
 

#56
JAD  
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Lacerte hasn't done anything either, understandably. They can't do much until the IRS tells them how to report the changes. If the IRS isn't going to address the changes until May, then I guess this means we either have to file and plan to amend, or extend.
 

#57
Lmaris  
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basisschedule wrote:What are the odds of the 2% misc deductions being extended to 2018 and beyond? What about when every truck driver, salesman, and skilled tradesman start writing angry letters to their Congressman?


You think Congressmen care? There is overwhelming support for immigration reform, background check expansion for weapon purchases, gun show loophole closure, and assault weapon bans, yet Congress won't move on any of these.

Their funding comes from their corporate donors, not John Doe. They fear losing that gravy train more than a few voters complaining, most of whom don't bother to vote anyway.
 

#58
gmhksgp  
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Interestingly, not even the IRS has updated the forms the last I checked yesterday. Both 1040 and Sch A still show "Reserved for Future Use".
 

#59
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jon wrote:IRS said we do not plan on doing anything until May.


Just curious, where did you see that? I'm holding a couple tax returns for this issue.
 

#60
sfbcpa  
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Has anyone heard when the updated Schedule A and Form 5695 will come out? I have a pile of tax returns with mortgage insurance premiums to claim and residential energy credits.
 

#61
chris  
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FWIW, Drake is supposed to be issuing an update tomorrow that will reactivate line 13 on sch-A (PMI), and also provide support for Tuition/Fees deduction.
Site admin and software developer for TaxProTalk.com and https://TheSiteFactory.com
 

#62
CathysTaxes  
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chris wrote:FWIW, Drake is supposed to be issuing an update tomorrow that will reactivate line 13 on sch-A (PMI), and also provide support for Tuition/Fees deduction.


This is what I've been waiting for
Cathy
CathysTaxes
 

#63
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chris wrote:FWIW, Drake is supposed to be issuing an update tomorrow that will reactivate line 13 on sch-A (PMI), and also provide support for Tuition/Fees deduction.

So did they? Anyone heard anything? I have 30+ returns on hold. This is nuts.
 

#64
chris  
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yes, Drake dropped an update yesterday; I pulled it in and quickly checked sch-A - line 13 is turned back on now.
Site admin and software developer for TaxProTalk.com and https://TheSiteFactory.com
 

#65
MEMCPA  
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But were you able to efile?
 

#66
chris  
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I haven't tried yet. I thought I had read somewhere that the sch-A change was ready to go but tuition and fees, not yet.
Site admin and software developer for TaxProTalk.com and https://TheSiteFactory.com
 

#67
CathysTaxes  
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I efiled a return with mortgage insurance premiums deduction today.
Cathy
CathysTaxes
 

#68
gmhksgp  
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Intuit ProConnect Tax Online, ProSeries, and Lacerte all went live today with the extenders.
 

#69
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Crickets with ProSystemFX
 

#70
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gmhksgp wrote:Intuit ProConnect Tax Online, ProSeries, and Lacerte all went live today with the extenders.


Just updated proseries and tuition and fees and pmi are back. Still nothing on energy credits, but that is only a handful of clients. Pmi is the big one for me. I will try to efile a few today and report back.

I am pissed though. Not a word, alert, email...nothing from proseries on the update. You would think they would be bombarding me.
 

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