We Prepare Tax Returns!

We prepare most type of tax returns:

Individual. 

S Corporation.

C Corporation.

Partnership.

Payroll.

Amended.

Gary Bode, CPA is a Master's Degreed, nation wide accountant offering tax and business services. Member of AICPA and NCACPA. Our virtual office provides excellent service to long distance and international clients. Call (910) 399-2705 for a free phone consult.

Client Video Testimonials

Click here to watch some of our clients in their video testimonials!

Client Testimonials

My husband and I had to deal with canceled debt from a Deed in Lieu of Foreclosure on a second home with our 2012 taxes. We never had to deal with this type of tax experience and needless to say, we were fearful. Owing taxes on possible additional income was stressful. We searched for CPA’s as well as info about DILs and how Insolvency worked. When we came across Gary’s website, we were impressed. We found his website 8 months prior to tax season. We kept it as a “Favorite” as we knew we would need to contact him for assistance. When it was time to get a CPA, we called Gary. We felt relieved that we actually had someone that not only understood our concerns but was an expert in this area. He walked us through the process and all the time telling us not to worry. When our taxes were completed, you cannot imagine the relief we had when we actually were able to get a refund.

Gary is a dedicated professional and attentive to his clients. We love the virtual office as it is convenient during tax time and he’s fees were fair and affordable when you consider the depth of work accomplished on our taxes!

We’ve already started recommending Gary to others. We are so blessed and grateful for all that Gary did to assist with our taxes.

 

Patty and Tim, Fredericksburg, VA

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Even though Gary enjoys helping colleagues, we no longer provide free consults to other tax preparers. He's happy to consult on an hourly billing basis if our schedule allows.

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CPA accountant discusses Amended Tax Returns | IRS Tax Form 1040-X | Virtual CPA Office

Wilmington NC tax preparation of Form 1040X

Amended tax returns sometimes generate refunds. If you get uncomfortable with IRS tax Form 1040-X or the underlying tax issues consider calling for a free consult. (910) 399-2705.

CPAs use Form 1040-X to amend a previously filed tax return.  You can amend most types of IRS tax returns e.g. business (Form 1120-S, Form 1120, Form 1065), payroll (Form 941, w-2) and personal (Form 1040). I’ll post on how a CPA accountant might approach preparing an amended tax return, in this case using Form 1040-X.

Here’s an example of when to prepare an Amended Tax Return

In 2013, you receive an IRS Notice, like CP 2000 or Form 4549, stating they received a Form 1099-C for 2011 that you didn’t include on the original Form 1040 return.  Form 1099-C reports cancelled debt, which becomes taxable income unless you can exclude it through Form 982. The IRS assumes all debt cancellation is taxable income and you have to prove them wrong. So your IRS notice demands additional tax, penalties and interest. Ouch. I’m sure some folks just pay the IRS because they don’t realize Form 982 excludes some or all of that debt cancellation taxable income.  You’re expected to pay in full, or, produce a Form 1040-X to show your side of the situation.

But you were unemployed in 2011 with plenty of bills but few assets. You fit the IRS’ technical definition of insolvency, in 2011. Form 982 is the key document here.  Here’s our post on Form 982 and insolvency.

So, amend your original tax return, via Form 1040-X, instead of just paying the IRS demand.

“If you find IRS Form 1040-X daunting, please call us for a free initial consult.”
Gary Bode, CPA accountant

The steps for IRS Form 1040-X tax preparation include:

  • Understanding the IRS Notice.
  • Ascertaining if the IRS is correct.
  • Preparing a new, correct Form 1040 for the year.
  • Noting all the changes between the original and the corrected Form 1040.
  • Filling out Form 1040-X.
  • File Form 1040-X with appropriate components of the corrected Form 1040 and associated documents.

The IRS Probably Examines Form 1040-x Carefully

It takes the IRS 8-12 weeks to process an amended tax return.  Which implies, to me at least, that they review every 1040-X thoroughly. I’ve never had the IRS deny my tax position on amended tax returns, but in a few cases they wanted to see the underlying documentation for the  Form 1040-X changes. If you don’t have documentation your CPA can help you reconstruct part of it.

We’re a Wilmington NC CPA firm specializing in tax.  But we serve a larger geographic region through our virtual office. No CPA firm guarantees a tax refund. But we’re thorough about looking at your tax situation from all angles.  We offer other services too, like financial accounting, QuickBooks training, business consulting etc.  For a free initial phone consult, call us at (910) 399-2705.

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