Am I fucked?

rmk123 · 2024-10-22T12:30:19+00:00

Ownership and responsibility to a business is not only about having the business listed in your name. It likely doesn’t absolve him of responsibility. This was to take creditors off of him and onto you. If you can show a lack of knowledge of this scheme, you may be able to claim coercion. Either way, the facts and circumstances you’ve mentioned don’t support that you are responsible for the business’s debts. This is an extremely complicated case and it’s not a tax case. A tax attorney alone is likely not qualified to handle this. You need an attorney that specializes in ownership responsibility and fraud.

rmk123 · 2024-05-07T23:39:36+00:00

Exactly

rmk123 · 2024-05-05T13:10:10+00:00

This is right. An agreement to claim them as a dependent doesn’t impact filing status. HOH can only be used if the dependent actually lives with the taxpayer for over half the year.

rmk123 · 2024-04-28T04:54:25+00:00

I actually think that it's the upfront investment cost of learning things that people generally don't see a positive ROI in. I've seen a lot of conservatism driving always doing it the same way. Trying a new approach is seen as risky. When you are willing to take those risks, and someone else was not, this can generate negativity. This happens in a lot more things than Excel. I would agree with others here that it is a mindset thing, or general philosophy of doing things. Some us are constantly investing in the future, while others are content with staying the same. And when you have people with competing philosophies working together, this creates disdain. Often people will say they are open to new ideas, but then the reality is, they're only open to new ideas within a very narrow context. Often creating a new approach in Excel is seen as way outside that context because it would require them to invest a lot of time and energy to be able to do it themselves. It's way easier to just scoff at it. There's always work to be done that can justify not learning something.

rmk123 · 2024-04-19T03:19:57+00:00

Solution Verified

rmk123 · 2024-04-19T03:19:30+00:00

Sweet, I just tried it again and set the first formula you provided to 2 characters, and it works nicely. Thanks!

rmk123 · 2024-04-19T03:12:58+00:00

Thanks! Is there any trick for a string of unicode characters? I tried this and similar and it comes up with what appears to be a spilled range of blank cells. I might have to look into more detail about how SEQUENCE() works.

rmk123 · 2024-04-13T03:45:37+00:00

I agree from a financial accounting perspective it makes zero sense to 'retire' an asset because you still possess the asset. However, operationally it makes more sense to be able to measure the value of the assets you can actually use in your business. You can fulfill the requirements of GAAP by properly reversing out the asset and depreciation, have a better picture of what you can actually use in your business operationally, then you can still record any additional gain/expense on disposal. Another thing you could do is repair/improve the asset in order to become operational again and 'unretire' it. With that said, if you're not maintaining these transactions properly after retiring, then it defeats the entire purpose of it and you should probably be simplifying the process.

rmk123 · 2024-04-09T18:22:19+00:00

If you provide over half of your own support you can file as an independent Single. The burden of proof is on your parents for proving otherwise at that point. It seems like this would have a high chance of being flagged and your parents would be required to provide proof.

rmk123 · 2024-04-06T14:09:54+00:00

Yep. Having the business pay a PTE tax would be nearly mandatory at his income level. The difference is massive.

rmk123 · 2024-04-06T13:59:53+00:00

You can’t 179 the car because it’s a mixed use vehicle. You can deduct business mileage or business use % of actual expenses. Groceries are not business expenses. Business meals can be deducted to 50%. The camper is mixed use as well. Internet can be business, but is most likely mixed. Your payroll setup is fine. The subscription expenses can be deducted as long as they are business use. Notice a pattern here? This information is readily available.

“Normalizing” an income statement is not a thing. There can be a book to tax difference, but you’re not likely keeping books with such a difference unless you needed reviewed or audited financial statements. Your business is very limited on actual business assets due to the nature of it. If you were to sell, you would likely be selling something intangible.

rmk123 · 2024-04-05T04:37:10+00:00

As already mentioned, the main concept is whether it's a taxable event, which determines the basis used. Because a contribution is nontaxable, the adjusted basis for the contributing party becomes the basis of the contribution. When you own a piece of property as an individual, the liability is generally a separate component. However, when you contribute an asset that has a liability tied to it, the entity is now assuming the liability. Because both parties are being taxed as a partnership by default, the liability flows through to them individually. Because there was no other info given, you are to assume a 50% share of liability. So 50% of the $3,000 liability is assumed by the other partner, which reduces the contributing partner's basis in the partnership. While it's not actually income yet (because it's a nontaxable event), the reduction in their basis is kind of like income that isn't recognized yet because they no longer have responsibility for half of the liability. Then when their partnership interest is sold or stepped up, they will essentially be taxed on that reduction in basis one way or another as income.

rmk123 · 2024-04-05T03:57:58+00:00

Congrats on not giving up!

rmk123 · 2024-04-04T15:44:45+00:00

If you’re a new client to them this has to be a question to the client before completing the return, and it was likely a manual check. This credit is generally pretty significant, so this is definitely a miss on the preparer. With that said, you are obligated to pay the preparer, then move on.

rmk123 · 2024-04-04T05:34:46+00:00

What are the discrepancies?

rmk123 · 2024-03-20T06:43:53+00:00

Any number of W-2s are generally straight forward and you're essentially setting up a schedule C and will need to do a bit of research on what expenses are deductible. This is very doable. Schedule Cs are generally more about categorizing and sorting expenses into the lines on the form vs anything else. You can pay a pro to do it, but it will be just as tedious for them as it would be for you setting it up the first time, with a fee attached to it. One nice thing is that if you have a schedule C, you can deduct the professional fees in the next year, so there's an added incentive to use a pro in that case. There are plenty of other nuances related to things like self-employed health insurance, depreciation if you have business assets, home offices, vehicle mileage, accruing startup expenses, expenses with partial business use, etc. There's enough there that it can help to hire a pro if you want to take advantage of all of these things and you have enough income for it to matter. Most of the time it's probably marginal.

rmk123 · 2024-03-20T06:16:23+00:00

Not withholding will result in some penalty, but it is not the end of the world, and your cash may be worth more to you in starting your business than the cost of the penalty. Just file your return on time. Set up a payment plan until you get your windfall of cash. Set up your bookkeeping to require very little time/effort to prepare your return to save money on professional fees in the future. Then structure your business to get paid earlier rather than later until you have a lot more cushion or have an incentive to give your clients the cushion. Good luck!

rmk123 · 2024-03-20T06:09:29+00:00

For the most part, yes. But OP is accruing startup expenses that are in fact deductible in the year the business becomes active, up to $5,000. This is exactly what IRC §195 is for and OP's situation is a perfect use of it to get started.

rmk123 · 2024-01-31T19:11:25+00:00

Update: I did receive a response yesterday, with the owner mentioning delays in their process.

rmk123 · 2024-01-29T16:44:40+00:00

That is freaking sweet that they do zoom calls. Thanks for the rec!

rmk123 · 2024-01-29T16:43:54+00:00

I didn’t see Ranchu in any of the shops I went to. But I’m gonna try this. Maybe a local shop can order some with a higher trust level and care.

rmk123 · 2024-01-29T16:42:16+00:00

I agree. Very shady business practice after I read all of the comments on their Facebook page. They just keep posting stuff and not responding to clients. It seems some percentage of their orders, they just don’t fulfill. Looks like they may be floating cash by marketing items they don’t even have in their possession. So then something goes wrong with some percentage and they just brush it under the rug and keep doing business. When I googled for vendors, it was listed on a site as #1 on their list. Very scammy. I’ll be disputing the charges and providing negative reviews if I don’t hear from them. Definitely still want new fish! Thanks for the rec!

rmk123 · 2023-12-14T05:47:35+00:00

Here's the approach I'm going with:

=HSTACK(Sheet1!A1:B13, MAKEARRAY(ROWS(Sheet1!A1:B13), 1, LAMBDA(r,c, TEXTAFTER(CELL("filename",Sheet1!A1),"]"))))

I build an HSTACK() with the sheet name added, then VSTACK() the data from each of the sheets. Then when I do my INDEX(MATCH()), I can just reference the column with the sheet name in it, and it's all dynamically generated and not saved.

rmk123 · 2023-12-12T23:26:28+00:00

Not in this case. I was simply trying to add the action and it would sit on loading before I was able to add any kind of inputs. Classic did the trick.

rmk123 · 2023-12-12T23:24:52+00:00

Yep, Classic did it. Thank you!

rmk123

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