EKS Training
Tax Law Review
Review
Day #2
 Individual Taxpayer Identification Number
(ITIN)
 Itemized Deductions
 Affordable Care Act: Exemptions
Scenario #4
5 Step Plan:
1. As a class we will review Client Notes, and
Scenario
#4
2. Intake & Interview Sheet & supporting
documents.
3. Instructor will teach Tax Law – referencing
Pub 4012 and 13614-C
4. Instructor will show you how to enter
information into TaxWise. WATCH!
5. Now Do! Students will enter information on
TaxWise
Scenario
#4
Let’s review Olivia & Brandon’s
Information:
 Pull out Interview Notes
 Pull out Intake & Interview sheet 13614-C
Intervie
w Notes
Review
 Olivia and Brandon Rodgers are married and want to file a joint return.
 Brandon retired and began receiving retirement income March 1,
2014. Brandon and Olivia selected a joint survivor annuity for these
payments.
 Olivia and Brandon paid $5,942.18 in property taxes for their home.
 Olivia and Brandon did not itemize last year.
 Brandon is a self-employed landscaper. He is a cash-basis taxpayer
who materially participates in the operation of his business.
 The total mileage on his work vehicle for 2014 was 14,325 (5,628
commuting miles). He placed his car in service on January 6, 2010 and
always takes the standard mileage rate. Brandon used Olivia’s car for
personal use.
 Both Brandon and Olivia have employer provided health insurance all
year.
 If Olivia and Brandon are due a refund, they want their refund to be
directly deposited in their checking account. If they have a balance
due, they will mail in the payment.
Review 13614-C to ensure responses match
Intake
&
Intervie
w
Let’s review 13614-C
 Everything accurate? If not, what’s
missing/wrong/needs to be changed?
Notice anything different?
Did they have all the required
documents?
Make any corrections needed on 13614-C
Publica
tion
4012
Is client eligible for VITA services?
Refer to Publication 4012 page 8-9
Scope of Services Chart
TaxWi
se
Instructor:
Start the return on Main
Information
Students: WATCH instructor
TaxWi
se
Students:
Start the return on Main
Information
 Do Not Enter Income Documents
TaxWis
e
Students:
Now, input income
documents
W2
1099-INT
Tax Law
Topic
#1
Retirement Income
Open: Publication 4012, Tab D
Pull out: Brandon’s 1099R
TaxWi
se
Instructor:
Input 1099R information
on 1040
Students watch instructor
TaxWi
se
Students:
1. Enter 1099R for Brandon
Reference Publication 4012, Tab D pages 19-22
Tax
Law
Topic
#2
Social Security Benefits
Reference:
Publication 4012, Tab D-22
Pull out Form SSA-1099 (Social
Security Benefit Statement)
TaxWi
se
Instructor:
Input SSA-1099 information
on 1040
Students watch instructor
TaxWi
se
Students:
Enter SSA-1099
 Reference Publication 4012, Tab D-22
Tax
Law
Topic
#3
Schedule C & Cez
1. What is it?
2. When does this schedule need to be used?
3. What is in scope for VITA sites?
4. What are the requirements?
Open: Publication 4012, Tab D-10
TaxWi
se
Instructor:
Input information on
Schedule C
Refer to information on
interview notes & 13614-C
Students watch instructor
TaxWi
se
Students:
1. Enter information on
Schedule C
Reference Publication 4012, Tab D-10-11
Tax
Law
Topic
#4
Capital Gain/Loss Transactions
1. What is it?
2. What is in scope for VITA sites?
3. What are the requirements?
Reference:
Publication 4012, Tab D-10 & D-3
Pull out Form 1099DIV, 1099INT,
1099B
TaxWi
se
Instructor:
Enter: 1099-DIV; 1099INT &
1099-B
Students watch instructor
TaxWi
se
Students:
Enter: 1099-DIV; 1099INT &
1099-B
 Reference Publication 4012, Tab D-10 & D-15
Tax
Law
Topic
#3
Schedule C & Cez
1. What is it?
2. When does this schedule need to be used?
3. What is in scope for VITA sites?
4. What are the requirements?
Open: Publication 4012, Tab D-10
Instructor:
TaxWi
se
Input information on Schedule C
Refer to information on interview
notes & 13614-C
Students watch instructor
TaxWi
se
Students:
1. Enter information on
Schedule C
Reference Publication 4012, Tab D-10-11
Tax
Law
Topic
#5
Affordable Care Act
1. Discuss coverage for Brandon & Olivia
2. Review minimum essential coverage
Reference:
Publication 4012, Tab ACA
13614-C Part VI
TaxWi
se
Instructor:
Enter Information for ACA,
Form 8965
Students: WATCH
TaxWi
se
Students:
Enter Information for ACA,
Form 8965
 Reference Publication 4012, Tab ACA
CA
State
Return
Completing CA portion of
return
1. Follow instructor to learn how to complete
this section
Reviewin
g and
completi
ng the
return
1. Review the federal return
Peer-Return Review
2. Finish the return
Knowle
dge
Check!
If someone comes in with a 1099-MISC, what schedule will you
complete in TaxWise?
 Schedule C
What is the maximum amount of expenses allowed, to file a Schedule
C/Cez, for VITA?
 $10,000
True or False: Most VITA clients will have taxable social security
benefits?
 False, most will have nontaxable social security benefits because they
often don’t have another source of income that makes a portion of
their social security taxable
What is the common form you will receive from a client if they have
retirement income?
 1099-R
What line do you link from on the 1040 to input a 1099-R?
 Line 16
Now
Let’s
Start the
Test!!!
Pull Out your 6744
You Can Do It!!!