Unanswered Tax Questions

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Payments and Penalties

Future annual salary growth percantage calculation

Dear Sir/Madam, I would like to find out, what percentage of growth can be used to calculate a future wage increase for my employee for the next 25 years. I would like to take annual average inflation and annual average salary growth into consideration. I would like to multiply his current annual salary with that growth percentage and keep multiplying it for the next 25 years and later add the years up.. If you could please write down reasoning behind your calculation of the percentage rate, that would be very helpful. Many thanks

Asked Sunday, April 02, 2023 by Tamas B.
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Tax Filing Tips

Dividend Payments, Business Expenses

Hello, quick question: In 2021 I started a graphic design business with a partner, and we were paid out in dividend payments for a total of 9355. How do I file this, and also file for business expenses at the same time? a T777 requires a T4 so I'm confused.

Asked Sunday, April 02, 2023 by Justony R.
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Education

Scholarships for future years

My daughter is a first year college student. This year's tuition is covered by the state. She recieved a local $500 scholarship and we anticipated applying that to her 3rd year (when the state stops paying). Is the scholoarship still tax free since we plan to pay for tution in a future year or do we have to claim it as income now this year since it was recieved this year?

Asked Sunday, April 02, 2023 by Travis H.
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Deductions and Write-Offs

Is the profit (long term capital gain) from a sale of a house part of the AGI ?

Is the profit (long term capital gain) from a sale of a house part of the AGI when determining how much medical premiums/costs can be deducted? Under our just our normal income, we get to deduct a fair amount of medical expenses. But we sold our house of 12 years for a good profit last year (which we'll pay long term capital gains on), which we are wondering if it gets added to the total AGI that the 7.5% applies to (which will make us ineligible from having any medical expense deductions)?

Asked Sunday, April 02, 2023 by Tom D.
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Deductions and Write-Offs

Property tax deduction

if i pay my 2022 property tax in 2023 and my 2023 property tax in 2022 can i deduct both payments on my 2023 taxes

Asked Sunday, April 02, 2023 by Casey G.
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Business Formation

New Mexico LLC - Transfer on Death Clause

Hello: My wife and I are non-US persons. We are foreigners and we reside in Mexico. We want to form a New Mexico LLC. The LLC would open a US stock brokerage account to hold assets invested in the stock market. Can a New Mexico LLC Operating Agreement contain a Transfer on Death clause in order to avoid probate? For example; If New Mexico LLC has one member and that person dies can the governance and economic rights of the deceased person be automatically transferred to a non member thus avoiding probate? OR if a New Mexico LLC has two members and one member dies can the governance and economic rights of the deceased person be automatically transferred to the surviving member? Is the law the same for US persons and non-US persons? Thanks.

Asked Sunday, April 02, 2023 by Maurice D.
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Tax Filing Tips

Incorrect W2 and also sent incorrect 1099 forms from employer

Asked Sunday, April 02, 2023 by Anna T.
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Personal Taxes

Dependents

Am 55 with a 17 yr and 20yr old living at home . For withholding should I claim 1 or 0? And when I file do I claim 3 or 2

Asked Sunday, April 02, 2023 by Ramona B.
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Personal Taxes

Notice CP2000 amount

I received notice that I did not report a 1099-c, which I never received. The card was jointly held with my ex husband. It appears the debt was cancelled in 2021. Am I responsible for reporting the full amount as Income?

Asked Sunday, April 02, 2023 by Lisa C.
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Personal Taxes

Head of household status

My parents live with me in the house I rent in my name. I pay the utility bills, phone bills, and other living expenses. My parents currently do not have valid Visa and cannot work in United States. I want to know if I can be qualified as head of household in this situation. Also to prove that I do qualify as head of household, what are the documentation that I need?

Asked Sunday, April 02, 2023 by Joshua L.
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