Unanswered Tax Questions
Questions Asked by Users That Have Not Recieved a CPA Response.
View All Tax QuestionsTaxable income
Asked onWednesday, March 29, 2023 by DonaldMy wife had a cancer policy. She was diagnosed in 2022. She received a check as payment on the policy. Is it taxable as income?
Capital Gain Exclusion on house sale
Asked onWednesday, March 29, 2023 by LoriMy husband (then fiance) bought a home 2/17/2017 and sold it 5/6/2020. The profit was $95,000. He paid no capital gains on it since he owned it for more than 2 years. 9/6/20 we got married.We bought a home on 8/7/20. We sold the home 8/16/22. We made a profit of $45,000. Will we have to pay capital gains on the sale of our house?
SSD & INVESTMENTS
Asked onWednesday, March 29, 2023 by MikeWondering if I'm allowed to personally manage my investments without incurring taxes/penalties or negatively effecting my SSD?
Capital Gains taxation
Asked onWednesday, March 29, 2023 by HughHello, I sold my home in 4/2021 and rented through 10/22 while I built a new home. I have now been there for a little over 6 months and am looking at selling the home. I need to know if the proceeds from the sale are going to be subject to Capital Gains tax?
Having a child before we are officially common-law
Asked onWednesday, March 29, 2023 by DeborahMy partner and I moved in together in Feb 2022. My understanding is under Canadian law we wouldn't be considered common-law until Feb 2023; however, we had a child in Nov 2022. Do I put myself as single or common-law on my taxes? When would the 'start date' of our relationship be? If I put myself as single then I am asked if we share custody?
PFIC
Asked onWednesday, March 29, 2023 by SalmanI am looking to invest in a foreign corporation set up as REIT which has developed and actively manages a shopping mall and commercial office space for leasing. Is it a PFIC?
Debt relief
Asked onTuesday, March 28, 2023 by CassandraNot sure if I’m to do taxes on my debt relief this year. They to me to ask you.
Calculating basis when selling partnership share
Asked onTuesday, March 28, 2023 by julieI sold my share in a partnership on 12/31/22 (let's call it in Company Z) and have a few questions about my basis. First, does Company Z report my basis to the IRS and does my basis calculation when I file my taxes and report the sale have to match what Company Z reports (if they report)? Second, how would you recommend dealing with this situation: I had a client with my own company (let's call it Company A) who ended up paying fees they owed to Company A, to Company Z. My understanding is Company A will need to report this money as income, and pay tax on it. Which Company A will do. But my question is about how to ensure this increases my basis in Company Z. How can I ensure this is handled properly? Does I, or Company A need to issue any forms/documentation to Company Z (e.g. K-1, 1099, etc.) to 'get credit' for this money that was paid to Company Z (that should have been paid to Company A)? What pitfalls are there with this situation? What records do I need to keep regarding this?
How do inherited IRAs and non-qualified accounts get taxed
Asked onTuesday, March 28, 2023 by JosephI have inherited several accounts from my mother's estate. There are some that are listed as IRAs and some listed as non-qualified accounts. I am wondering how these accounts will be taxed when I withdraw the money from them. How is the percentage to be withheld determined? Is it a fixed inheritance percentage? Is it determined by my most recent filing's tax bracket (AGI)? Are both state and federal taxes in play for these (I live in Massachusetts)? Will any of these count as income for my household when we next file taxes? thank you for any info
Box 14c on K-1 (Form 1065)
Asked onTuesday, March 28, 2023 by julieDoes the amount listed in box 14C of the K-1 on Form 1065 impact the tax I will owe? Or do I only owe on what is in box 14A? (Assuming I'm not using the nonfarm option method - which I'm not 100% sure I understand, but it seems like it's a very narrow criteria and wouldn't apply to most people). This is a business I was actively involved in but have subsequently sold my partnership share (on 12/31/22).