Unanswered Tax Questions
CPAs - answer tax questions, and introduce your practice to potential tax clients.
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charitable contributions
I see that charitable deductions do not have to be itemized it it is under 250 dollars. How many charitable deductions can I deduct and for a total of?
Asked Monday, February 12, 2024 by Richard C.Sign in to Answer
What are the tax implications for two brothers who sell land they own together?
My husband was given 11 acres of land by his deceased aunt many years ago. Several years before we married, he added his brother to the deed to insure it would remain in the family. After we married, we have paid the property tax on the property for the last twenty years. The two brothers have now decided to sell the land. The question is what do we have to report in income and who must report it? For inherited properties, do you take the value it sold for minus the value when it was when it was inherited, and if so, how do you determine that value from many years ago? Also, do the brothers pay the tax upfront and then split the proceeds, or split the money and each report their half as income?
Asked Sunday, February 11, 2024 by Donna Gold H.Sign in to Answer
Incorrect 1099
How do I handle an incorrect 1099 that the issuer admits is incorrect but refuses to reissue?
Asked Saturday, February 10, 2024 by Robert W.Sign in to Answer
Sales Tax Payable
What are the required documents and steps to reconcile sales tax payable?
Asked Saturday, February 10, 2024 by Dee H.Sign in to Answer
Foreign Owned LLC Now Active after 5 Dormant Years, Need to file NIL Income Taxes
I have a single member LLC created in 2019. I am in good standing at the state level, but have never filed taxes Federally with the IRS. I have had NO business income during this time. My company will finally be active this year, and I need to get my house in order. What should I do? **Note my LLC is foreign owned - I am a Canadian citizen and resident who does business in the US and MIGHT relocate officially in the next 3 to 4 years.
Asked Friday, February 09, 2024 by Jared A.Sign in to Answer
Capital gains tax on sale of residence
We (a married couple) bought our home in CT in 2006 for $302,000. It would likely sell for around $400,000 now. For the past eight years we have been snowbirding from CT to FL to our condo there. Our residence for tax purposes is FL, although we spend at least five months at our home in CT each year. Neither property has ever been rented out. For capital gains tax purposes of living in the CT home for at least two of the past five years prior to sale, would the time we spent in the CT home (at least five months of every year - 25 months over a five year period) count toward the two year requirement to avoid capital gains tax or does it have to be one 12 month consecutive period to count for a year?
Asked Friday, February 09, 2024 by Hal R.Sign in to Answer
QDRO cash settlement in divorce taxed or not
If I receive cash out of my husband’s 401K in a divorce after filing a QDRO, will that money be taxed on my tax return?
Asked Wednesday, February 07, 2024 by Tracy W.Sign in to Answer
Are after tax contributions to Trad IRA subject to RMD and how is it taxed?
Traditional IRA has a sizable Required Minimum Distribution. Form 8606 shows basis pre and post tax, right? So when RMD is taken, the distribution report from the custodian isn't going to show what was pre and post tax. So how is the distribution reported for taxes? Is the full amount taxed? Is the portion of post tax contribution even subject to RMD? If not, that would affect the calculation of RMD. Don't want to pay tax twice!
Asked Wednesday, February 07, 2024 by Edward L.Sign in to Answer
Tax-Free Restructuring or Sale of Foreign Subsidiary and Dissolution of US Parent Company
Hi there! On behalf of a business client, I am looking for a tax expert who will advise us from a US perspective on the pros and cons of different options regarding a potential tax-free restructuring or sale of a foreign subsidiary and dissolution of US parent company. Happy to provide more information by email.
Asked Friday, February 02, 2024 by Marco F.Sign in to Answer