CheckEmoji Community · the emoji forum
🏠 Home 🆕 What's new ❓ Unanswered 🔥 Popular 📡 RSS Members 👥 0 online log in · register
Home › Edward Stewart › Posts

Posts by Edward Stewart

59 posts shown.

Accounting for Sole Proprietors: Tax & Bookkeeping Tips in Business, Accounting & Taxes ·
Emily Myers8 said:Entries in the business books for invoices through Dec 31st will be in dollars, but since the contributions for December won't be paid until 2023, they'll be entered based on the statements in dollars as you mentioned. They aren't considered expenses for 2022 and shouldn't be recorded for last year—just the bills that have actually been paid and settled.

I see where you're coming from now, and I must admit, I was starting to wonder if the old cash basis accounting principle still held any weight in this context.🙂.
Much appreciated.
Accounting for Sole Proprietors: Tax & Bookkeeping Tips in Business, Accounting & Taxes ·
I truly appreciate everyone taking the time to respond to my inquiry.

Emily Myers8 said:Payroll taxes go into the system in dollars, while the books and income tax filings stay in dollars too.

TurboTax shows a notification saying the sales tax form needs to be filled out in USD (so does the other one?), but I haven't found any specifics or examples yet.

Just look at how you entered everything for Q1 through Q3.
The Q4 sales tax payment should be in dollars.

Since all payments are in dollars now, do I need to convert everything from my old currency to pay? Is there anything else I should watch out for?

Check the FARC report before paying the sales tax, then just pay what the FARC says.

That bolded section has me feeling a bit perplexed; if that's the case, wouldn't the KPIs (or specifically the designated work orders and Ira filings) be mathematically inconsistent? It seems as though dollar amounts would be getting tangled up with the first month's invoices, which are all in euros.
Or is this distinction merely a matter of how things look on paper?
I personally rely on an application that automatically syncs transactions—pulled directly from my bank statements—with specific line items in the KPI, so any printouts I generate come straight from the software rather than being manually entered.
Accounting for Sole Proprietors: Tax & Bookkeeping Tips in Business, Accounting & Taxes ·
I am currently getting everything squared away for my upcoming payments—specifically the payroll taxes for December 2022 and the sales tax for the fourth quarter of 2022. ("dohodaš").
I noticed a notification on TurboTax indicating that the sales tax forms need to be filled out in Kuna (which implies the same for the URa?), but I haven't quite managed to track down the specific details or a helpful example yet.
Since all payments are transitioning over to the Dollar now, does that mean I have to manually convert everything from Kuna before paying? Is there anything else I should be keeping an eye on during this transition?
William Richardson12 said:So, basically, the Ryzen 9 and the non-K i9 sit somewhere in that sweet spot regarding value... and really, the deciding factor is whether you need heavy lifting from a single core or if you can lean on all of them at once.

If you find yourself stuck with massive workloads hitting just one single core, then Intel is your best bet; however, if you're diving into rendering or similar tasks (including preview effects), I’d personally lean toward Ryzen.

That logic certainly applied to the older generations, but with Zen 3 (Ryzen 5 x00) arriving, we saw such a significant jump in single-core performance that you really have to look closely at the specific software you intend to run.

granitecrane2 said:Reliability. For instance, when I'm putting together a desktop build, I want a beast that I won't have to touch again for another decade. I need a motherboard that doesn't act up and a processor that plays nice with everything. I never overclock my machines; honestly, chasing overclocking feels like throwing money down the drain. You might squeeze out an extra 10%, but you sacrifice stability, and that's just not worth it to me.

When it comes to 3D work (CPU-rendering) and those kinds of heavy-duty tasks where you can never have enough horsepower, ten years is an eternity—especially considering how drastically the landscape has shifted in just the last five years.
You seem to be mixing up hardware compatibility with how software is optimized for a specific architecture. It's highly unlikely that AMD would be "incompatible" with the 64-bit extensions they helped pioneer. For example, even Windows itself required several patches just to properly recognize and utilize all the cores on a Threadripper, and even now, plenty of software is still waiting on better optimization for high core counts.
Ever since the days of the early Pentium chips (back when we dealt with the pi-bug), reliability has had more to do with the motherboard (unpolished BIOS, driver issues, etc.) or RAM compatibility than the processor itself—all of which can be avoided by simply picking quality components. During the early days of Ryzen, motherboard manufacturers were definitely caught a bit off guard after Intel's long reign, but today, it's a very mature and stable platform.

granitecrane2 said:I just hate it when I have work to do, I turn on the computer, and it starts acting up.
Regarding Intel, I feel like they are more established and undergo stricter quality control compared to AMD, even though the underlying technology is quite similar; besides, AMD often offers slightly better performance per dollar. But that gap is so marginal it's almost irrelevant (much like overclocking).

Well, nobody likes dealing with technical headaches, but you're really pinning the blame on the processor, which is actually the most reliable component in the whole chain.
It depends on which specific models you're comparing, but that idea of "slightly better performance" has caused such a mess that I can't even kill time effectively while waiting for a render to finish anymore.🙂.
wiredotter14 As wiredotter14 once noted:
I have been giving quite a bit of thought lately to the matter of setting up a dedicated file server, a project that seems to loom on the horizon of my technical ambitions like a distant mountain range. It is one of those fundamental tasks that sounds deceptively simple when you first contemplate it—just a box full of drives, right?—but once you begin to peel back the layers of complexity regarding redundancy, throughput, and long-term reliability, the sheer scale of the decision-making process becomes rather overwhelming. One finds oneself caught in a perpetual loop of comparing hardware specifications, weighing the merits of various drive architectures, and wondering if one should lean toward a more streamlined setup or go all-out with a heavy-duty enterprise rig. I find myself looking at the different options available on the market, perhaps considering a Western Digital setup or even exploring what a QNAP might offer in terms of out-of-the-box utility. There is an inherent tension between wanting the speed of high-end drives and the quiet, unassuming stability of something like a Seagate IronWolf series, which always seems to be the gold standard for these kinds of persistent storage tasks. Of course, there is the ever-present question of capacity versus cost. Should one invest in several Seagate Exos drives to ensure maximum longevity, or is it more prudent to stick with something more consumer-oriented, like a collection of WD Blue or even some Seagate Barracuda drives for less critical data? It’s a delicate balancing act, much like trying to navigate a complex legal statute or managing a large-scale logistics operation here in the States. Every choice feels like it carries a weight of future regret if not handled with sufficient deliberation. I am still in the deliberative phase, gathering my thoughts and perhaps waiting for a bit more clarity before I commit to a specific configuration.
I am well aware that RAID isn't a substitute for a true backup—especially when you’re keeping everything under the same roof in the same office—but since we aren't looking for more than 4TB of usable space, setting up two drives in a RAID configuration just to guard against a single drive failure doesn't seem like a massive financial undertaking. Of course, if we were aiming for maximum efficiency regarding redundancy, opting for four 4TB drives in a 3+1 setup would grant us 12TB of capacity, but frankly, we simply don't have a need for that much overhead.

Well, that’s certainly true, provided you go ahead and configure them in a RAID 5 or RAID 6 setup.
I was contemplating a more functional division of labor here—essentially splitting things up so that one portion serves as the primary file server, while the other is dedicated strictly to backups. My thought process is that the backup segment should be accessible only by the administrator or via internal NAS processes; this way, you create a much sturdier defense against any potential malware or viruses originating from Windows machines and general users. By isolating the data like that, you can also properly implement snapshots to ensure everything stays secure and recoverable.
If you have the physical room to spare, I suppose one could certainly apply that same principle using smaller drives—say, 2TB or 3TB models—though, if we are being practical, those 4TB units tend to be the sweet spot for value right now. It’s all about that price-per-gigabyte ratio, isn't it?

wiredotter14 As I was reflecting on our previous discussions, it occurs to me that we should perhaps revisit the core of the matter. It seems to me that there is a certain nuance being overlooked here, much like how one might miss the subtle complexities of a classic piece of literature if they were only skimming the surface. I find myself contemplating whether our current trajectory aligns with the broader objectives we initially set out to achieve. One cannot simply rush headlong into a decision without considering the long-term implications, much like an investor carefully weighing the risks before committing to a major position in the S&P 500. What do you all think? Is it possible that we are overcomplicating what should be a relatively straightforward process, or am I perhaps being too cautious in my assessment? I would be quite interested to hear your thoughts on this, provided you have the inclination to share them.
If we find ourselves in need of some clean, dedicated storage down the road, it would be quite simple enough to just pop a hard drive into one of our workstations; at the moment, though, we're strictly running on SSDs.
If we find ourselves needing more breathing room down the road, we could always pick up a 4-bay unit for the office, and then simply migrate this 2-bay setup back home. I suspect we could figure out a way to integrate some sort of remote backup system as well—it seems like something that should be quite manageable if we stick with Synology.

I must say, I find myself agreeing that our modern NAS units are remarkably well-equipped these days from a software perspective; indeed, that seems to be where their true value lies, particularly when you consider the sheer utility of integrated features like VPN support, robust backup solutions, and all those other helpful little tools that make life so much easier.
If we look strictly at the hardware itself, I still maintain that one could potentially assemble a much more cost-effective setup by utilizing standard PC components rather than specialized gear.

wiredotter14 said:File server.
I get that RAID isn't backup, especially if it's sitting in the same office, but we don't need more than 4TB. Dropping two drives into RAID just so we don't lose everything if one dies isn't a massive investment. Sure, 4x4TB in a 3+1 setup would be better for redundancy (giving us 12TB), but we don't need that much space.
If we end up needing raw storage later, we can just slap a hard drive into one of the PCs; right now, we're strictly SSD.
If we need more capacity down the road, we can grab a 4-bay unit for the office and move this 2-bay one home to set up some kind of remote backup. I think Synology can handle that.

The network is basic, nothing fancy, but everything is hardwired—no WiFi. Speed isn't a huge deal; we're talking about moving a few GBs at a time. Whether it takes five seconds or a minute doesn't matter to us.

What's the real difference between Toshiba N300, X300, and IronWolf?

P.S.

Just double-checking—does that Synology model support RAID 1 without any weird fine print?
Does anyone know if there are recurring subscription fees, or is it just a one-time purchase?
Basically, I just need standard RAID 1 where one disk mirrors the other.

It seems that manufacturers have gone to great lengths to segment their product lines, essentially carving them into two distinct camps. On one hand, you have what they label as the standard consumer drives—the everyday workhorses like the Seagate Barracuda, WD Blue, or even the Toshiba P300 / X300. Then, on the other side of the aisle, they position the more specialized NAS or server-grade options, such as the Seagate IronWolf, WD Red, or the Toshiba N300. It is quite a deliberate way of categorizing things, wouldn't you agree?
It is also worth noting that there are specific models engineered specifically for surveillance applications—the kind designed to handle constant, non-stop recording cycles—such as the Seagate SkyHawk, the WD Purple, or even the Toshiba S300 series.
None of that actually matters, provided you happen to have a bit of luck on your side. 🙂 At the end of the day, any of them will get the job done, because even those high-end drives from the "enterprise" lines—I'm talking about the Seagate Exos, Toshiba Enterprise, or WD Gold—can fail just as easily as the rest.

Now, one shouldn't be under the impression that RAID requires some sort of extra fee; it is truly their core functionality, after all. In fact, if you look at the offerings from Synology or QNAP, they actually include a bit of free cloud storage space to get you started.
wiredotter14 said:Seagate IronWolf is $300, this one is 1000. Not a massive gap, but it's not nothing either.

What kind of speeds am I looking at for 5900 vs 7200 rpm? It'll be running on Gigabit LAN.

It’s the same story... the bottleneck is going to be the network rather than the drives themselves (1 Gbps is theoretically 125 MB/s, though in practice you're looking at 110-115 MB/s on a solid network setup with decent NICs and cabling).
Seagate IronWolf drives are a perfectly fine choice. You might consider a Toshiba N300 (instead of an X series), and since Western Digital seems to struggle a bit with their Red line lately, I'd suggest sticking with the Red Plus—that's what should count as the "real" Red series.

What's the intended role for this NAS? Are we talking about a dedicated backup solution or just a general file server?
I ask because RAID isn't actually a backup; it's just redundancy to ensure you don't face downtime if a single drive fails. If you truly want a backup strategy, you might want to aim for a 4-bay Synology or QNAP unit, allowing you to add another drive (or a pair) to automatically back up your "primary" RAID1 set. If budget is a concern, a 3-bay QNAP TS-328 would work well for a 2+1 configuration.
External hard drive or something else? in Hardware ·
Eric Taylor55 said:Hey everyone, I’m looking for some advice on the most secure way to archive my photos, videos, and other digital files for the long haul. I want to make sure they’re actually protected and won't just vanish into thin air...
I was thinking about picking up an External hard drive, maybe around 1TB, specifically just for this purpose. But then again, is that even enough space? I’m worried I’ll run out of room before I know it 😵 🤔...
Basically, is this a solid plan, or am I missing something better? How are you all handling your family archives and precious memories?
Best,

To be honest, those 1TB external hard drives usually have a pretty lousy price-per-gigabyte ratio; you're much better off grabbing something in the 2TB to 4TB range. Only you can really determine your actual needs, but it isn't that difficult to tally up what you currently have and estimate how much your collection grows each year. It might also be wise to categorize your files by priority, since not everything carries the same sentimental weight. A truly robust backup strategy should always include a copy kept at a separate physical location.
Hard drives are essentially perishable goods, so you definitely want to consider having two separate units, and for your absolute most precious memories, maybe look into some M-disc DVD/Blu-ray media—those have a mineral layer that makes them far less susceptible to UV light or humidity compared to standard discs. My own experience with this has been quite positive, though whether they truly last 1,000 years like the marketing claims... well, I suppose we'll find out when we're all gone. 🙂
How to password protect a USB drive in IT Support ·
That option might be missing because you're likely running Windows Home right now, rather than the Pro or Enterprise editions.
If that's the case, you can always turn to third-party software like TrueCrypt or VeraCrypt instead.
It really depends on your specific needs; you could essentially "lock down" an entire USB drive, or you could create one massive file on the stick that acts as a virtual device. Once you open it using VeraCrypt and enter your password, a "new" drive appears with its own assigned letter in Windows, allowing you to work with it just like any other disk or thumb drive. When you unmount it, all anyone sees is that single large file, which remains completely unreadable without the password—though it can still be copied in its entirety, which I find quite practical when you're managing backups.
IRS and Tax Filing Issues in Business, Accounting & Taxes ·
stormybadger8 said:If you're the business...
I've actually never even used an IRS Tax Transcript or a security key. I've strictly used e-Verify for IRS Online ever since it became an option.
I'm not exactly sure how long it's been, but this is my second ID and it's valid until 2022 (my first one lasted 5 years 🤔), so I've probably been doing this for about 8 years total...

Funny enough, nobody tells you this. I found out by accident when I tried to file sales tax and—lo and behold—it worked...
I asked at the local IRS office if everything was fine, and they were basically like, "Why wouldn't it be?" I told them I didn't use the official IRS security key, but they insisted that 😁

Another thing people stay quiet about is a little detail: the Department of Homeland Security is supposed to give you your ID and a card reader at no extra charge (it's included in the ID fee).
Of course, as long as you don't ask, they won't offer it. You won't get it unless you specifically request it. 🙄

That sounds great, though I didn't have access to e-Verify when the IRS Online portal first went live, so my only real option back then was using an IRS Tax Transcript and their specific hardware key.

stormybadger8 said:If you're the business...
I've actually never even used an IRS Tax Transcript or a security key. I've strictly used e-Verify for IRS Online ever since it became an option.
I'm not exactly sure how long it's been, but this is my second ID and it's valid until 2022 (my first one lasted 5 years 🤔), so I've probably been doing this for about 8 years total...

Funny enough, nobody tells you this. I found out by accident when I tried to file sales tax and—lo and behold—it worked...
I asked at the local IRS office if everything was fine, and they were basically like, "Why wouldn't it be?" I told them I didn't use the official IRS security key, but they insisted that 😁

Another thing people stay quiet about is a little detail: the Department of Homeland Security is supposed to give you your ID and a card reader at no extra charge (it's included in the ID fee).
Of course, as long as you don't ask, they won't offer it. You won't get it unless you specifically request it. 🙄

Exactly, that isn't mentioned in any of the paperwork; they didn't tell me anything when I set up my e-Verify, so I went ahead and bought a card reader myself, even though I see now that it wasn't strictly necessary—but honestly, a one-time expense for something so incredibly useful isn't such a huge grievance.
What truly stands out, however, is how the bureaucracy continues to demonstrate just how incompetent, arrogant, and fundamentally hostile they are toward the very citizens who fund their existence. It is rather striking that the entire IRS Online project was funded by the European Union, yet these officials would likely continue to harass us with endless paperwork and redundant stamps for years just to justify their own bloated numbers.
IRS and Tax Filing Issues in Business, Accounting & Taxes ·
casualstag4 said:If you aren't planning on using that certificate anymore, make sure to cancel it with the IRS.

Thanks for getting back to me. That part seems like the easiest bit of this whole puzzle, yet I am struggling to find a definitive answer regarding whether I still actually need my IRS certificate—specifically, if my access to the IRS portal via my US government ID or e-filing remains contingent upon it.
It would seem perfectly logical that since my Social Security number remains the same and I don't have any employees on payroll, the requirement would simply vanish. To borrow a sentiment from Louis XIV, "the business is me." 🙂.
IRS and Tax Filing Issues in Business, Accounting & Taxes ·
My recent IRS certificate (which was stored on a flash drive) finally expired, so I went ahead and renewed it. However, for the last five or six months now, I’ve just been using my electronic ID to log into the IRS portal via the federal authentication system. This leads me to wonder: is there actually any reason to keep paying the IRS? (I expect to receive my 2021 tax bill sometime this coming January.)
Beyond the fact that their hardware is absolute junk—honestly, the drive is so finicky that it fails if you even look at it wrong, and I often have to unplug and replug it just to get it to register—the cost is also quite bothersome.
For instance, back before we had to deal with W-2 filings, I was only required to mail in quarterly sales tax calculations, one annual report, and some paperwork for HHS. That amounted to maybe six total envelopes sent by mail, costing about $50. But then this "digital revolution" happened, and instead of making things cheaper, it somehow managed to hike the costs up to $162, which is essentially a 🙂 tenfold increase over what I used to pay.
Accounting for Sole Proprietors: Tax & Bookkeeping Tips in Business, Accounting & Taxes ·
urbanwalker72 said:It gets complicated. Even if they possess an American Sales Tax ID, they are technically a foreign entity, which places you in the exact same position as if you were ordering from a reputable vendor within the European Union. Consequently, you would need to provide your tax credentials so they can apply the reverse charge mechanism; you would then report it simultaneously as both an input credit and a taxable supply—making it a net-neutral transaction for you.

Essentially, you won't get a clean input tax deduction as you would with a domestic American corporation.

If you happen to receive an invoice that explicitly lists American Sales Tax, it is fundamentally incorrect.

You might be better off buying tires from someone else.

To build upon the question originally posed by Quote: The Best NFL player... I wonder, does this same logic apply to the DigitalOcean web shop?
They possess an American SSN (which I verified via the IRS website), they accept payments through local American banks, and they issue invoices addressed to the customer including their SSN and our local Sales Tax (25%)... yet, the header of the invoice clearly lists the company's headquarters in Vienna.
Can such an entity truly be considered a domestic firm? Specifically, how should one properly include such an invoice when filing with the IRS alongside the Sales Tax calculations?
Best external hard drives to buy right now? in Computer Peripherals ·
I find myself sitting here, contemplating the sheer weight of the silence following such a brief contribution. It is quite curious, isn't it? One expects a certain level of discourse when engaging with this community, yet we are met with these singular, almost cryptic identifiers that offer no foothold for actual conversation. I suppose it is much like walking into a crowded diner in Chicago and finding someone sitting at the counter who refuses to even look up from their coffee—you want to strike up a chat, you truly do, but there is simply nothing to grab onto. It makes one wonder if the intention was to say something profound through brevity, or if perhaps the keyboard was simply tapped by accident while reaching for a napkin. Still, I shall remain patient, for I have always believed that even the most quiet individuals possess a reservoir of thought waiting to be released. kaže:
Greetings to everyone in the community; I find myself in somewhat of a predicament and would be most grateful for your collective wisdom. I am currently in the market for a high-quality hard drive, but I find myself at a bit of a crossroads regarding which specific model might best serve my needs. If anyone could offer some guidance or perhaps share their own experiences with reliable brands, I would truly appreciate it. $333For keeping all those precious little snapshots and the most important documents of the baby safe and sound... 🤗
Thank you ever so much!

I assume you’re inquiring about external drives—you know, those USB sticks or the standard 2.5" portable ones—but the truth of the matter is that any storage medium can fail without warning. It is my firm belief that when one is dealing with such critical documents, a more prudent approach would be to secure two separate drives; after all, in this imperfect world, there really is no such thing as a flawless backup solution.
When you look at the capacity options, it’s actually quite clear that the 2TB models offer the best bang for your buck, as those prices start just north of... $167If you're looking for a sense of what things actually cost, I’d suggest taking a quick look over at Bloomberg; they tend to have much more reliable data on current market pricing.
It might strike some as a bit old-school—perhaps even a touch antiquated to those obsessed with the latest cloud subscriptions—but I can’t help but feel there is a profound wisdom in burning a few high-quality DVDs or Blu-Rays onto M-Disc media. There is something fundamentally reassuring about that "archival grade" layer; knowing the data is physically etched in a way that resists temperature fluctuations and UV degradation far better than your standard consumer discs. In an era where digital formats seem to vanish into thin air if you blink, having a physical, tangible backup feels like a very sensible safeguard for one's most precious memories.
Regardless of which device you’re using or how you prefer to manage your digital archives, I find it is never a bad idea—not even a little bit—to perform a thorough cleansing of your photo library before you commit to any permanent storage. It really helps to prune away those redundant shots, ensuring you aren't cluttering up your hard drives with five nearly identical captures of the exact same moment when only one truly captures the essence of the scene.
Accounting for Sole Proprietors: Tax & Bookkeeping Tips in Business, Accounting & Taxes ·
Brenda Chase3 said:Why don't you just enter the data directly into the IRS e-file portal? A lot of third-party accounting software hasn't been updated with this new version yet and isn't set up for submission, but you can always log into the official IRS site and input everything manually. It’s pretty standard procedure; just leave that bottom section for monthly obligations blank if you haven't been a taxpayer since 2020.
If you aren't comfortable filling it out yourself because of the varying tax rates or if you're just feeling unsure, let us know. We can help walk you through the manual entry process.

I appreciate the help, I really do, and I have actually tried, but I haven't hit "submit" just yet because it feels completely counterintuitive to use this new version for the 2019 tax year. I am struggling to grasp what exactly is being levied here; is the amount for 2019 supposed to be calculated based on the income reported from 2018? I haven't been able to find a clear explanation anywhere.
Since I haven't been required to file under this specific classification since 2020 (specifically activity 6209 at a rate of 0.102%), does that mean I'll still be making a payment in 2020 based on my 2019 figures? It is a relatively small sum, so I would honestly prefer to just settle it all at once rather than dealing with monthly installments.
Accounting for Sole Proprietors: Tax & Bookkeeping Tips in Business, Accounting & Taxes ·
I am currently attempting to figure out the most efficient way to complete and submit the standard form for the 2019 tax year.
It appears that since the new legislation took effect on January 1st, the IRS has already implemented a revised version—it’s now labeled the TZ-1 and can be found nested within the corporate income tax section of the online portal.
The complication arises because the layout looks quite different; specifically, the various fields now cite entirely different sections of the tax code, even though the underlying logic remains largely identical (you’re still dealing with total revenue, location-based rates depending on the business sector, the grand total, and those monthly installments, which are just the sum divided by twelve).

In an attempt to save some time, I tried opening my previous filing from 2018 and simply adjusting the figures for 2019, but the system keeps throwing an error message stating that such a filing cannot be submitted in its current state.

Does anyone happen to know the proper procedure for handling this transition?
IRS and Tax Filing Issues in Business, Accounting & Taxes ·
Joseph Fisher2 said:On a related note—but also totally unrelated—
Do they send the invoice before or after the certificate actually expires? Since the certifications last for two years—I mean, when exactly does that bill show up?

It’s an annual thing, sent out the month after it expires.

If I might build upon that inquiry, I am wondering whether a new high-level digital ID with a chip (Level 4) could effectively serve as a replacement for both a physical USB token and a standard federal digital certificate for small businesses using a single Tax ID?
I have attempted to test it on a laptop equipped with a card reader, and everything appears to be functioning quite smoothly; however, I didn't have any actual tax forms on hand at that moment to truly verify the signature process or the final submission—not to mention my current federally issued certificate is still valid and paid for.
Up until now, I have simply been logging in through the standard government portal using a basic password (Level 2 access), which allows me to view my records on the IRS website, but nothing more.
IRS and Tax Filing Issues in Business, Accounting & Taxes ·
Is anyone else running into issues with the new login process for the IRS via the national authentication system?
For my small business tax filings, I usually rely on a USB flash drive containing certificates issued by the Federal Reserve.

I keep getting blocked by this error message:
"Dear user, authentication could not be completed. It is possible you declined the offered certificates or you do not possess the required personal DigiCert."
And sometimes, when I try a different computer or browser, I get this:
"Dear user, to log in via the national authentication system, please select your personal DigiCert."

Every single time, I select the USB flash drive from the Federal Reserve (Federal Reserve level 4); the drive is plugged in and recognized perfectly—the Microsoft Management Console shows all the certificates clearly—so I enter my PIN, and everything seems to be functioning correctly.

In the past, logging into the IRS was a direct process where the browser would communicate straight with the USB flash drive and prompt me for a PIN, whereas for other government services, I’d just use a password (ePass, level 2), which worked fine even on various other computers.

I wonder, is the issue stemming from the fact that an individual and their business share the same SSN, and does this mean I need to set something up differently under these new rules?
With level 2 access (ePass), I can view the IRS portal, but I am completely unable to actually create, sign, or submit any forms.
Accounting for Sole Proprietors: Tax & Bookkeeping Tips in Business, Accounting & Taxes ·
Lisa Nelson4 said:I had a quick question about filing the electronic P-DOH with the IRS. Up until now, I’ve always done everything on paper—which meant I just handed over all the supporting documents along with the forms—so I was wondering, do you guys still upload everything as PDFs, or do they just give you a call if something looks a bit off?
Also, I’m dealing with a bit of a messy situation regarding our point-of-sale records. Last year, we took a lump sum from a customer as a cash deposit—basically, we processed three of his separate bills all at once—but we totally missed making the void entries for those original transactions on the bank account, and we didn't issue new, properly registered cash receipts either. Is there actually a way to fix this mess? Or should I just play dumb and pray to God that we don't get audited?

Last year, I attached the Kazan and Township calculations, though the DI and all the IRS filings are visible to them directly through the online portal anyway.

To follow up on my previous thoughts regarding the PPI and DI forms... well, I just successfully cleared my audit.🙏
Regarding the PPI, following the suggestion made by Nathan Kim5, you should put the depreciation under section II.3, though you can also—but certainly don't have to—input it into II.4 (I chose to do so, which resulted in the line items matching up perfectly).
As for the DI, the system accepts it even if you input the actual write-off rate for the specific year (in my case, based on a two-year schedule, I had 7 months in 2018, the entirety of 2019, and 5 months in 2020; so for 2018, I entered 29.17% in column 7, then the corresponding portion of the amount in column 8, and the remainder in column 9. Of course, one must remember to manually update the totals at the bottom since the software doesn't handle that automatically).
It is quite convenient that you can actually repurpose last year's DI so you aren't stuck re-entering every single entry from scratch. If you haven't saved a copy of last year's DI, you can simply open the submitted version, select "Save," strip away the digital signature, and then feel free to update it by adding new entries or merely adjusting the year on the cover page.
Accounting for Sole Proprietors: Tax & Bookkeeping Tips in Business, Accounting & Taxes ·
Nathan Kim5 said:Because of that mathematical inconsistency you pointed out, I personally feel like depreciation ought to be listed under non-cash expenses, because if you try to put it under write-off rate expenses, the form just throws an error message at you...

Regarding the depreciation percentage on the DI form, you just enter the standard 50% rate without doing any manual conversions. Since the form asks for the asset purchase date, it’s implied that you've already calculated the depreciation proportionally based on the specific number of months...

I appreciate you getting back to me on this. After weighing everything I've read, I find myself landing on that same conclusion—it seems to be the only logical takeaway from the data available. However, I can't help but feel a bit restless about the "why" behind it all. I would truly value understanding the underlying reasoning that leads us to this specific point.
I have never personally dealt with in-kind expenses, so I’m still trying to wrap my head around what exactly falls under that umbrella. It leads me to wonder if it makes sense to assume that everything gets lumped into section II.3—including depreciation—and then section II.4 exists merely as a way to specify how much of that total amount is actually depreciation? In my specific situation, those two figures would end up being identical. I haven't actually sat down to input the DOH or the PPI into the IRS system yet, but my working theory is that as long as II.3 is greater than or equal to II.4, the system shouldn't trigger an error message.

Nathan Kim5 said:Because of that mathematical inconsistency you pointed out, I personally feel like depreciation ought to be listed under non-cash expenses, because if you try to put it under write-off rate expenses, the form just throws an error message at you...

Regarding the depreciation percentage on the DI form, you just enter the standard 50% rate without doing any manual conversions. Since the form asks for the asset purchase date, it’s implied that you've already calculated the depreciation proportionally based on the specific number of months...

It strikes me as somewhat illogical, if I may be so bold, because back when we were navigating the old DI system, there wasn't even a Column 7 dedicated to the "write-off rate." There was only the "write-off amount," which is what we see today sitting over in Column 8.
It would honestly make far more sense if the breakdown were structured as 29.17% for 2018, followed by 50% for 2019, and finally 20.83% for 2020; after all, the total depreciation period is clearly displayed right there in column 6 under "Useful Life."
Accounting for Sole Proprietors: Tax & Bookkeeping Tips in Business, Accounting & Taxes ·
I’ve been pouring over the IRS instructions, and even though this was touched upon earlier in this thread—specifically on page 223—I’m still feeling a bit lost regarding 🤔 where exactly one is supposed to enter the depreciation amount within Part II ("Expenses") of the PPI form.
Item II.9. states that the total expenses are calculated as 1+2+3-7-8. Now, Item II.4. ("write-off rate expenses") seems like the logical place for depreciation, but since it isn't added to the sum, the figure doesn't actually impact the total expenses, which ultimately means it doesn't touch the net income. So, where (and more importantly, why) should the depreciation amount be recorded? Should it go under II.3 ("in-kind expenses") or II.4 ("write-off rate expenses")? (I recall a fellow forum member previously suggesting it belongs in II.4)
I didn't have any depreciation to deal with in previous years, so I never really noticed this quirk, but I seem to remember from a few years back that the breakdown of receipts and expenses was much more intuitive—it showed subtotals alongside depreciation, making the total expense figure, and consequently the final total (income = receipts - expenses), perfectly clear.

Since I’m already burning through my ink 🙂 I have one more question... when entering the depreciation percentage into the DI form on the IRS website, does the number of decimal places matter? (For instance, I have 7 months of a 2-year depreciation cycle, which would work out to 29.16666% of the value). Does that mean next year I'll be entering 29.17 + 50, or just a flat 50% for 2019?